Question of the Day - 30 May 2019

Second question first. We’ve heard of rental scams perpetrated on Craigslist, both for long-term and short-term rentals. Craigslist is particularly fertile for this sort of scamming. If you search for Las Vegas > Housing > Vacation Rentals, you’ll see lots of great short-term apartments, condos, and houses — and no contact information other than a blind email address specific to the website. That’s not true in every case, but when it is, all the arrangements are made via email, usually at a distance from Las Vegas, with parties unknown and unverifiable. Buyer beware big time in these cases.

That’s why dedicated vacation-rental websites like AirBnB and VRBO are highly preferable; they vet their providers in many ways and the rating and review system from guests goes a long way toward putting minds at ease. There’s also an insurance system for all concerned in the rare event something goes wrong. (It’s not perfect, to be sure, but it’s better than the Craigslist shot in the dark.)

Many cities around the world are in a kind of war with AirBnB and other vacation-rental and home-sharing websites and their property-owner providers. Though all the reasons for that are beyond the scope of this answer, the city of Las Vegas is one of them.

A few months ago, the city approved an ordinance that strictly limits permits for short-term residential rentals. The new regulation restricts such rentals to homes that are owner-occupied (for example, homeowners renting a room, suite, or in-law to strangers, which the city estimates accounts for 15% of existing short-term rentals) for less than 30 days, have no more than three bedrooms, and are at least 660 feet from the closest other short-term rental. There is no mechanism for requesting an exemption from the new regulations, though existing rentals, previously approved and having paid a $500 annual business-license fee, are unaffected.

But at least the grandfathered short-term rentals are allowed. Home-sharing isn’t specifically prohibited in Henderson and North Las Vegas, but property owners can’t rent out a home without a business license and as far as we know, none has been approved in either city.

Unlicensed rentals for fewer than 30 days are forbidden in residential areas of unincorporated Clark County. Where they're allowed, short-term rentals must be licensed and pay a $300 annual business-license fee, plus a short-term lodging tax. 

Though offending homeowners can be fined $1,000 a day and there's been a push to catch culprits in the county over holiday weekends, we suspect that plenty of listings on AirBnB and other home-sharing sites are in violation of that law. 

According to AirBnB reports, homeowners in the Las Vegas metropolitan area hosted nearly 720,000 guests in 2018, collecting roughly $100 million in rental fees. Compared to the 40 million or so visitors who stay in hotels and motels, it's a negligible number, but AirBnB says that it's providers in Las Vegas have been growing significantly as visitors look for less expensive accommodations with no resort or parking fees and an opportunity to live like locals during their stays.

More than 5,000 greater Las Vegas homeowners offer rooms or homes for rent through home-sharing services. AirBnB reports that 16% of them are 60 or older, as "many seniors are home sharing to earn supplemental income to age in place.”