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Penn State Extension: Regulating Short-Term Rentals
July 18 @ 12:00 pm - 1:15 pm
Regulating Short-term Rentals
The short-term rental (STR) market for using rental services such as Airbnb and VRBO has grown significantly in recent years. These services allow property owners to realize the economic benefit of renting all or part of their properties as an STR. However, there are corresponding concerns raised by neighboring property owners who feel STRs could result in the loss of a sense of community given the transient nature of such a use.
Recent Commonwealth Court cases highlight the difficulty that municipalities have in attempting to regulate short-term rentals under zoning ordinances that do not specifically address the use. In the cases, the municipalities attempted to regulate STRs by determining that the use was not a permitted single-family dwelling use but rather was a use not permitted in the underlying zoning district such as a “lodge,” “tourist home” or “transient lodging business.” In all three cases, and others, the Commonwealth Court looked at the definitions in the zoning ordinances and found that the use categories relied upon by the municipalities were not applicable and the STRs were not prohibited.
A case study of how a Pennsylvania township adopted a Short-term rental ordinance will be discussed. A history of what happened in the township prior to the adoption of the ordinance and what has transpired since with a focus on how the township is regulating, rather than restricting, this new use.
Approved for 1.25 CM credit