Karla Arens: Host initiative could displace long-term tenants | TheUnion.com

Karla Arens: Host initiative could displace long-term tenants

In April, the City of Santa Monica joined a growing number of municipalities including Calistoga, Healdsburg, Huntington Beach and New York City (to name a few ) that have banned or restricted short term housing often known as ARBNB and VRBO.

The reason for this ban, summarized by the City of West Hollywood, is that “short term rentals have a negative impact on the availability of affordable housing.”

It doesn’t take an economist to realize that for the investor, vacation rentals for single nights and weekends are more profitable than the same property rented on a yearly lease or even month to month.

At the current time, Nevada City prohibits short term vacation rentals. This was decided by a voter initiative. If this ordinance is overturned as is proposed in the “Host Initiative,” investors would be free to snap up properties already in limited supply, thereby creating an even greater dearth of housing. We know who would benefit from this, but we must consider the possible displacement of many of our friends and families who are currently long-term tenants — the 42 percent of all households in Nevada City.

Karla Arens

Nevada City

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