Shoup Legal - December 2023

The Fall of Airbnb and Short-Term Rentals What Do These Bans Mean for the Housing Market?

Almost everyone has stayed in an Airbnb or at least heard of the global short-term rental company. Since its inception in 2008, Airbnb has offered listings worldwide. The company has been providing budget options and, more recently, high-end lodging for every type of traveler. But the golden age of Airbnb may be over. U.S. cities have recently tightened restrictions on Airbnb hosts and anyone renting short-term accommodations. The reason is that Airbnb listings have caused local rent prices to skyrocket, especially in tourist destinations like New York City.

Cities in California battling inaccessible housing have also released new regulations on Airbnb hosts. Even in San Francisco, where the company originated, hosts must be full-time residents and cannot rent out listings for more than 90 days a year.

Dallas has been the most recent to establish regulations, asserting that all short-term rentals are banned from neighborhoods of single-family homes. Short-term rentals in communities with multifamily dwellings are still allowed but must pay the same taxes and fees as hotels.

How will the housing market be affected?

According to Jorge González-Hermoso, a research associate at the Urban Institute, the Big Apple recently showed more Airbnb listings than actual apartments for rent. More tourists than established owners/renters were living in residential dwellings. Airbnb regulations vary. So, how are cities working toward preserving their communities? By implementing tighter restrictions that severely limit the types of short-term rentals allowed. New York City was one of the first to put what Airbnb called a “de facto ban” on these accommodations. In 2022, the city prohibited owners from renting out a unit for less than 30 days at a time without the host being present in the unit. Andrea Shoup Brings Home the Spirit of the Entrepreneur Award! We are thrilled to share the exciting news that Andrea was recently honored with the prestigious Spirit of the Entrepreneur Award! The Spirit of the Entrepreneur Awards is a distinguished platform that recognizes the resilience and accomplishments of local entrepreneurs who have made significant contributions to the business landscape in the Inland Empire. This year’s annual gala, held on Nov. 15 at the Riverside Convention Center, brought together top entrepreneurs and business leaders to celebrate the spirit of entrepreneurship and announce the deserving award recipients. The candidates for the award are selected by an independent panel of judges made up of previous award winners and other regional business leaders. Judging is based on financial metrics as well as the nominee’s accomplishments, innovative approach, and entrepreneurial spirit. “I’m so honored to not only receive this award but also to be in such an amazing room and to see so many amazing business owners and entrepreneurs, I am humbled to be amongst you all,” said Andrea. “As an entrepreneur, we

As the bans continue to roll out in cities worldwide, many hope this will bring more low-priced properties into the market. While plenty of talk about these changes may encourage real estate investors and homebuyers, the truth is that it might not make a difference. Experts say these short-term rental owners won’t simply start selling their property. Instead, they’ll work around the restrictions and likely transform listings into long-term rentals. Don’t get your hopes up!

know that we can only do so much on our own and it’s our amazing teams that really allow us to do all that we are able to do.”

Andrea went on to state that she founded Shoup Legal on the idea that visiting an attorney’s office should be a pleasant experience, not an uncomfortable one. “I’m so proud to have created that. I work with an amazing team.” Andrea’s dedication, innovative spirit, and commitment to excellence have shaped Shoup Legal and positively impacted our local communities. As we celebrate Andrea’s achievement, we would also like to recognize you, our clients, our friends, and our families for your continued trust in our firm.

Congratulations, Andrea, on bringing home the Spirit of the Entrepreneur Award and embodying the spirit of entrepreneurship!

Plan today for peace

2 | (951) 445-4114

Made with FlippingBook Ebook Creator