The multifamily industry is increasingly dealing with the implications – both positive and negative – of peer-to-peer short-term rental services like Airbnb, VRBO and HomeAway. Although these services have led to areas of uncertainty for the multifamily industry and the wider economy, the “sharing economy” is booming. With such growth, oversight is likely to increase at a local, state and federal level.
As an Owner or Operator, How Does this Affect My Business?
While these services are growing in popularity with consumers, they raise potential issues for apartment companies including tenant lease violations, on-site security concerns, and questions around liability and property insurance. There are numerous pending regulations and pieces of legislation, at the local and state levels, that would potentially prevent apartment firms wishing to participate in the home sharing and short-term rental sector from doing so.