Short Term Vacation Rentals

The Idaho Legislature passed House Bill 511 on March 15, 2016 and it is currently on the Governor’s desk to be signed into law or vetoed. House Bill 511 takes aim at homeowner’s association’s ability to regulate short-term rentals in their neighborhoods and communities. Short-term vacation rentals have become more and more prevalent with the expansion and success of websites like airbnb.com and vrbo.com. House Bill 511 will make it more difficult for homeowner’s associations to react to the new market for vacation rentals. Specifically, House Bill is a limitation on the ability to amend CC&Rs to restrict a current property owner’s ability to rent their home as a vacation rental. If approved by the Governor, going forward, homeowner’s associations will have to get each current property owner’s permission to enforce a short-term rental prohibition against that owner, if the prohibition was enacted after the owner purchases its property. The law will not affect homeowner’s association’s ability to enforce short-term rental prohibitions on owners that move to their communities after a valid prohibition is enacted by the association and its members. Homeowner’s associations should carefully review this new law and may want to act fast in amending their CC&Rs to restrict short-term rentals so that they can enforce against all incoming owners and take advantage of current cooperative and aligned ownership and use ideals. 

For more information please contact Thomas E. Dvorak or Jeffrey W. Bower or any member of Givens Pursley's Land Use Practice group