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NC lawmakers mull blocking cities, counties from regulating Airbnbs

Republican state House leaders are backing a measure to block cities and counties from regulating the use of residential properties as short-term rentals like Airbnbs.

Posted Updated

By
Laura Leslie
, WRAL Capitol Bureau chief
RALEIGH, N.C. — Republican state House leaders are backing a measure to block cities and counties from regulating the use of residential properties as short-term rentals like Airbnbs.

Several cities around the state have implemented or are working on regulations on short-term rentals, including Raleigh, Chapel Hill and Asheville.

Mark Zimmerman, senior vice president for NC Realtors, says it’s a question of property rights. He says many people rely on the income from short-term rentals, and property owners have the right to use their property as they see fit.

"They’re just normal people, and they have one or two properties as a way that they either can afford to stay in a house that they normally couldn’t stay in, or they’re saving for retirement, or it’s a house they use part time and not other times," Zimmerman said.

Scott Mooneyham, spokesman for the North Carolina League of Municipalities, says that’s not always the case, citing Charlotte as an example.

"An investor comes in, buys these properties and turns them essentially into commercial properties in single-family neighborhoods. That has the potential to really change the complete character of a neighborhood," Mooneyham said.

"If they're being utilized full-time as a commercial property, being rented out all the time, would you not want some regulation of that?" Mooneyham added. "Essentially, you're turning a residential home into a hotel."

Cities and counties are against the regulation ban. Mooneyham says people who own the neighboring homes in those single-family neighborhoods have property rights too, and local governments are best suited to balance those competing interests. The bill would take it out of their hands.

"Those people need to be protected, their quality of life needs to be protected, and the investment – the most important investment most people will ever make – needs to be protected," he said.

While Mooneyham says different communities may come to different conclusions about short-term rentals, Zimmerman says the rules should be the same for property owners anywhere in the state.

"Is it fair to someone who happens to live in one neighborhood, you can have this use of your property, and you live over here and you can’t?" Zimmerman said. "Many people across this state choose to rent their homes. Some choose to rent them long-term. Some choose for various reasons to rent them short- term. It's been our longstanding belief that people should have the right to decide the length of term for that rental."

Airbnbs are a major competitor of the hotel industry. Lynn Minges, chief executive of the North Carolina Restaurant and Lodging Association, told WRAL News in an email that her group also supports a city-by-city approach to regulating short-term rentals.

"A one-size-fits-all approach does not work for this complex issue," Minges said.

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