Friday, May 14, 2010

“Short-term vacation-home rentals violate Gilbert code” plus 1 more

“Short-term vacation-home rentals violate Gilbert code” plus 1 more

Short-term vacation-home rentals violate Gilbert code

Posted: 14 May 2010 10:56 AM PDT

Dozens of vacation rental homes in Gilbert each year attract visitors from cold-weather places like New York, Minnesota and Canada.

The vacationers sometimes travel with large groups, making it impractical or uncomfortable to squeeze into a hotel room. Instead, they rent a house where they can relax, barbecue or lie by the pool.

It can be a lucrative proposition for investors who rent out fully furnished properties on a nightly, weekly and monthly basis.

It's also illegal.

Gilbert's zoning code prohibits owners from renting or leasing residential properties for less than 30 days, said Adam Adams, code-compliance officer. Such short-term rentals are interpreted to be a hotel-type usage, which is prohibited in single-family zoning districts.

Nonetheless, dozens of Gilbert rental properties are listed on vacation websites, including houses in communities like Power Ranch, Wind Drift, Greenfield Lakes and Circle G at Highlands West.

Some Wind Drift residents are concerned that vacation homes are causing noise and traffic problems in their neighborhood near Elliot and Lindsay roads, said former Mayor Cynthia Dunham.

The complaints caught the attention of town officials, who have sent a letter to the owners of two houses on East Tradewind Drive. The houses are owned by four individuals who live in Rockford, Ill., and intend to retire to the Valley.

Gilbert officials typically encounter 10 to 12 code-violating vacation homes per year, Adams said. The town delivers a 10-day notice, then follows up to make sure the owner has stopped the violation.

If the owner refuses to comply, the town can issue a $225 fine for the first infraction, but owners generally cooperate before the fine is issued, Adams said.

While the town code already prohibits short-term rentals, the Wind Drift Master Community Association has also drafted its own resolution forbidding owners from leasing their properties for less than 30 days. The resolution was approved by the HOA board on Tuesday.

Most HOAs already have rules on short-term rentals written into the deed restrictions, Valley real-estate agent Karen Pokorney said. Many do not allow leasing for a period shorter than three months, she said.

Still, not all neighbors share the Wind Drift residents' concerns about the rental properties. Eric Fulton, who lives in Sonoma Ranch, said Canadian investors purchased a foreclosed house next to his. The new owners cleaned up the previously unkempt front yard and renovated a swimming pool that had been condemned by the town.

The vacation homes are usually well-furnished and sometimes opulently decorated. A six-bedroom house in the Seville community offers a game room with a home-theater system and stone flooring. It costs $2,500 per week to rent.

A home listing in Sonoma Ranch goes for $700 per week. That house is already booked for most of January, February and March.

In the spring, vacation homes are often used by Major League Baseball players, Pokorney said.

Pokorney said some owners find ways around the restrictions.

For example, an owner could offer a longer-term lease but then allow the vacationer to terminate the lease early.

At the end of the day, a vacation property is still preferable to a foreclosed home fallen into disrepair, Pokorney said.

"It will help the other houses increase or at least hold their value," she said.

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Modest rebound seen for Harwich vacation rentals

Posted: 14 May 2010 09:34 AM PDT

It doesn't appear that tourist season 2010 will be the big comeback year everyone is hoping for – but it isn't looking too bad, either.

Bookings of vacation rentals are running about 15 percent ahead of last summer, said Joanne Logie, of New England Vacation Rentals in Harwich Port. With the economy still in a shambles, summer 2009 didn't get off to a great start, but Logie said that, when all was said and done, and counting all the last-minute bookings right through August, last year ended about 13 percent ahead of 2008.

It's a challenge for rental home marketers because there's more inventory every year, Logie noted.

"Second homeowners need the additional income, and people who used to rent their houses for four to six weeks every summer now are renting them for all 10 weeks," Logie said, adding that she estimates there are 400 vacation homes for rent in the Harwiches. Her company handles 100 across town.

"We have houses all over – Harwich Port, in the town center, East Harwich, West Harwich," Logie said, giving her a big-picture view of the local market.

 

What people want

Logie's idea of the perfect rental, the one that will sell out every week at top dollar, is within walking distance of water and has been recently redecorated and updated.

Being open to accommodating pets also is a big plus in today's market, she said.

"Four years ago, we had just three pet friendly houses. This year, due to demand, we have 17 rentals that will accept pets. But the most important thing about a vacation rental is the 'Wow!' factor when people see the photos on line or walk in the door. It has to look good. It has to be bright and clean and it has to say 'Cape Cod.' That's what people want," she said.

It's the homes that haven't been updated that don't rent well," Logie added. "A lot of people who have been renting their homes for 20 or 30 years don't want to invest any money."

There's more competition for vacationers – both domestic and international – these days, too, she said.

"I took a vacation to New Zealand last year and it didn't cost much more than a Cape Cod vacation. Other destinations are putting together great packages – New Zealand is one, also Australia and Hawaii. People are being more selective about where they're going to vacation," said Logie.

Logie credits town events, such as the summer Music Strolls in the Port, with bringing people to Harwich.

"All the new restaurants that have opened recently are great, and people are going to love the farmer's markets, but Harwich needs places for people to linger – a general store, more coffeeshops, a bookstore that also sells coffee. They also want nightlife -- it isn't just the beaches anymore that draw people here," she said.

 

A wider view

The On line booking firm weneedavacation.com, which markets 3,500 homes in the Cape and Islands, agreed that advance bookings of rental homes are running well ahead of 2009.

It said rentals on the Cape are so far up 18 percent over 2009, rentals on the Vineyard are up 12 percent, and those on Nantucket are up 17 percent. 

"Given that 2009 bookings overall were running a dismal 23 percent behind [2008] at this point, it's not surprising that we are not yet back to 2008 levels," the company said in a statement.

But the increased level of interest from vacationers bodes well for an overall stronger rental season, it added, particularly if the trend continues for vacationers to book later in the season. 

The company said it often takes two years to recover from a soft season like last year's.  Vacationers procrastinate during a difficult year but are nevertheless able to find last-minute rentals (often discounted), so they tend to delay their decisions again the following year, despite it being the first year of economic recovery.

 

 

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