Nightly rental regulations and enforcement continue to be a leading topic for legislation in every Colorado ski town. A newer ordinance in Summit county (Breckenridge) continues this trend but ironically is supported by most in the industry. What is in the new ordinance and what does it mean for nightly rentals in Colorado ski towns? What are two other new proposals targeting the nightly rental industry?
What is in the new ordinance in Summit county?
A law passed by the state legislature last year, House Bill 23-1287, allowed counties to obligate vacation rental services to require a rental license number in any listing on their websites. The state law also allows the vacation rental services to remove a listing from their website if the county notifies them that a short-term rental license has been suspended, revoked or has been issued a notice of violation for not having a license. The proposed ordinance in Summit County would adopt these regulatory provisions.
In essence, the new ordinance would make it exponentially easier for Summit County to enforce nightly rental licensing regulations.
Does the nightly rental industry support this ordinance?
Most of the people that I have talked to agree with the new ordinance. There is almost near universal agreement that everyone should play by the same rules and that the rules needed to be enforced to weed out bad actors in the industry. This is one of the few ordinances that I have seen the nightly rental industry and local governments on the same page. I assume ski towns throughout Colorado will follow suit in order to ensure compliance with various laws and regulations.
What are the real life impacts of the new ordinance?
I don’t think this new ordinance will have too much of an impact one way or another, there will be some unlicensed rentals that will be removed, but I don’t foresee monumental impacts one way or another to the industry
Bigger impacts on the horizon
The Colorado Association of Ski Towns advocating for legislation that would enable local communities to ask voters to approve a tax on vacant homes (I’ve got a whole blog scheduled on this new proposal in the next few weeks) that could include properties that are rented to vacationers. Another proposal by Colorado Counties Inc. would raise the cap on lodging taxes levied by counties to 6% from 2%, just like Colorado municipalities.
Summary
Although better tracking of nightly rental licenses is not monumental, the huge changes to the nightly rental industry are still at their infancy. The last legislative session had a proposal to tax nightly rentals as commercial properties. This ultimately failed, but the legislature is by no means done with nightly rental regulations.
As tax collections wane due to the economy, the legislature is going to be scrounging for money and short term rentals are going to once again be in the cross hairs as we can see from the two recent proposals to increase taxes. Unfortunately our legislature is spending substantially more resources on increasing taxes than actually cutting expenses.
Additional Reading/Resources
https://coloradosun.com/2024/08/30/colorado-short-term-rental-owners-regulation/
https://coloradohardmoney.com/who-owns-nightly-rentals-in-colorado/
We are a Colorado Private/ Hard Money Lender funding in cash!
If you were forwarded this message, please subscribe to our newsletter
I need your help! Do not worry, I’m not asking you to wire money to your long-lost cousin that is going to give you a million dollars if you just send them your bank account! I do need your help though, please like and share our articles on linked in, twitter, facebook, and other social media and forward to your friends/associates I would greatly appreciate it.
Glen Weinberg personally writes these weekly real estate blogs based on his real estate experience as a lender and property owner. He is the owner of Fairview Commercial Lending. Glen has been published as an expert in hard money lending, real estate valuation, financing, and various other real estate topics in Bloomberg, Businessweek ,the Colorado Real Estate Journal, National Association of Realtors Magazine, The Real Deal real estate news, the CO Biz Magazine, The Denver Post, The Scotsman mortgage broker guide, Mortgage Professional America and various other national publications.
Glen resides in Colorado, lends in Colorado, owns property in Colorado, and services loans in Colorado which provides a unique real estate prospective of what is actually happening on the ground both in Denver and throughout Colorado. My goal of this real estate blog is to provide an honest assessment of what I see happening in Colorado real estate and how it will impact real estate owners, buyers, realtors, mortgage professionals, etc…
Fairview is the recognized leader in Colorado Hard Money and Colorado private lending focusing on residential investment properties and commercial properties both in Denver and throughout the state. We are the Colorado experts having closed thousands of loans throughout the Front range, Western slope, resort communities, and everywhere in between. We also live, work, and play in the mountains throughout Colorado and understand the intricacies of each market.
When you call you will speak directly to the decision makers and get an honest answer quickly. We are recognized in the industry as the leader in Colorado hard money lending with no upfront fees or any other games. Learn more about Hard Money Lending through our free Hard Money Guide. To get started on a loan all we need is our simple one page application (no upfront fees or other games)
Tags: Denver hard money, Denver Colorado hard money lender, Colorado hard money, Colorado private lender, Denver private lender, Colorado ski lender, Colorado real estate trends, Colorado real estate prices, Private real estate loans, Hard money loans, Private real estate mortgage, Hard money mortgage lender, Hard money mortgage lender, residential hard money loans, commercial hard money loans, private mortgage lender, Hard Money Lender, Private lender, private real estate lender, residential hard money lender, commercial hard money lender, No doc real estate lender