Controlling vacation rentals may become even harder

In the fight over vacation rentals, it’s the property rights of rental owners versus the rights of neighbors whose lives are disrupted.

The Legislature this year settled the issue doing what it does best: preempting what cities and counties can do to regulate rentals and giving the state more power. In perhaps a recognition of how problematic their bill is, lawmakers carved out an exemption from some new requirements that only benefits Flagler County, where House Speaker Paul Renner, R-Palm Coast, lives.

The debate over vacation rentals isn’t only about rowdy party houses in quiet neighborhoods. It is also about the housing crisis in South Florida.

Vacation rentals alone certainly cannot be blamed for the lack of affordable housing, but studies suggest that they do contribute to the issue nationally, even if by small amounts. Properties taken off market to be vacation homes may be decreasing long-term housing for Floridians, a 2023 Florida Atlantic University study found. A report by the New York City Comptroller found that, between 2009 and 2016, Airbnb contributed to 9.2% of the city’s overall rent increases and 20% in areas with a heavy concentration of listings.

Let’s look at Miami Beach as a case study. There are 5,852 shortterm rentals registered with the city, but the real number could be as high as 10,000, according to a city study.

The Beach had a total of 50,725 housing units in 2023, mostly condos, according to city data That means short-term rentals might represent anywhere from about 11% to 20% of Miami Beach homes, though it’s hard to tell if those estimated 10,000 rentals are an entire unit or just a room in someone’s home.

Is that enough to tighten the long-term housing market? The answer is not definitive, but there are other issues with vacation rentals, too. In Fort Lauderdale, a shooting at a short-term rental killed a 20-year-old man last month, scaring neighbors in a residential area. Miami Beach cited the owners of an Alton Road house where another shooting was reported last year for running an unregistered vacation rental. Neighbors told News7 that late-night noise and cars blocking driveways were a big issue there.

Commissioner Alex Fernandez told the Herald Editorial Board such rentals equate to commercial enterprises in residential areas that don’t have the infrastructure to deal with more traffic, visitors, garbage and noise.

Homeowners, of course, should have some leeway to make money off Airbnb or Vrbo. And local governments shouldn’t scapegoat short-term rentals for their failure to grow the supply of affordable housing. But those officials are the ones who directly respond to citizens when a vacation rental goes wrong. If Gov. Ron DeSantis signs Senate Bill 280, there will be less they can do.

While it makes sense to have rules that are consistent across the state, too often that results in a one-size-fits-all regulation, impractical in urban areas like South Florida. More than 20 Republicans — including Sen. Ileana Garcia and Rep. Fabian Basabe, who represent Miami Beach — joined Democrats in opposing SB 280.

The bill creates state rules that property owners and advertising platforms must follow and eliminates regulations by local governments created after 2011 (Coral Gables is among the communities with pre-2011 rules).

Cities and counties would still be allowed to charge “reasonable” registration fees, fine property owners and suspend and revoke registrations. But municipalities and counties would be prohibited from setting occupancy limits with the state now dictating that. Up to two people would be allowed per bedroom, plus two in a common area, but more than two would be allowed per bedroom if there is at least 50 square feet per person. Miami Beach currently imposes a limit of two people per bedroom.

The bill also bans current Miami Beach rules that regulate advertising platforms and require owners to show what portions of a unit are being rented, permission from a condo association, proof of insurance and fire code compliance, Fernandez said.

These rules didn’t address the city’s housing affordability crisis — that remains a big issue — but if we can’t prevent vacation rentals from worsening the housing crisis, communities should at least be able to stop vacation rentals from becoming a nuisance.