Ultimate guide for investors wanting to navigate the thriving marketplace of short-term rentals in Asheville, North Carolina

Welcome to tylermellor.com, your ultimate guide for investors wanting to navigate the thriving marketplace of short-term rentals in Asheville, North Carolina, nestled within Buncombe County.

Our region is a hotbed of opportunity, attracting both tourists and investors to its hub of over 5,000-holiday homes. However, finding the right investment in this bustling terrain can be challenging due to the absence of a publicly accessible listing of these properties and their owners.

While there are no mandatory registration or permitting requirements for vacation rental owners in Asheville or Buncombe County, this doesn't necessarily simplify the process. Data such as tax records, which could shed light on ownership details, are confidential and inaccessible. Furthermore, major platforms like Airbnb, Vrbo, and Expedia have agreements allowing them to remit tax distributions in bulk, leaving the individual owner's details undisclosed.

This anonymized tax payment process has resulted in an information gap, complicating the auditing process and rightful tax collection at the County level. Buncombe County primarily depends on these blanket tax payments, without receiving in-depth details about the units or the property locations.

There are an estimated 179 legally operating vacation rentals within Asheville, a number deduced without any registration or permitting obligation for these units. The city relies heavily on public whistle-blowing to maintain checks and balances, penalizing off-the-radar, illegal short-term rental operations.

Investors should also keep an eye on State Senator Tim Moffitt's pending bill in the General Assembly. If passed, this legislation could lift Asheville's current ban on short-term rentals, granting property owners more rights to lease their properties freely.

In addition, private planned communities such as homeowners associations are revising their declarations to oversee both long and short-term rentals within their bounds.

We strongly emphasize the importance of consulting with the city and local government planning departments to familiarize yourself with the specific rules and requirements for short-term rentals in Asheville and Buncombe County.

Welcome to TylerMellor.com, your ultimate guide to investing in short-term rentals in the beautiful city of Asheville, North Carolina. Commercially thriving Buncombe County, encompassing Asheville, has witnessed a surge in the popularity of vacation rentals, though the lack of transparency makes it somewhat challenging for potential investors to determine property ownership and adherence to local laws.

Public records do not provide a direct list of vacation rentals and their proprietors, nor the exact quantity within Buncombe County or Asheville City. Confidential tax records and agreements like those held by Airbnb with the state of North Carolina, where lump sum tax payments are made without disclosing property or owner information, add an extra layer of opacity for investors.

Tax considerations indeed form a substantial part of your investment planning as these vacation rental giants, including Vrbo and Expedia, remit lump sum tax amounts without revealing supporting details. This setup often makes auditing tax payments a challenging task for the local governments. Nevertheless, Airbnb assures it collaborates with tax authorities by providing auditable data to validate their tax collection and remittance accuracy.

As an investor, it's crucial to be aware of the city’s regulations. Asheville currently prohibits short-term rentals for entire properties, with exceptions for areas designated as "resorts". You can, however, consider investing in Homestays, permissible by permit, where one or two bedrooms in owner-occupied residences can be rented for less than 30 days.

Asheville's regulations do allow for pre-2018 vacation rentals to persist, with an estimated total of 179 existing units. The level of oversight is largely complaint-driven, with authorities taking action based on reported grievances.

The impending legislation sponsored by State Senator Tim Moffitt could potentially make regulation of these rentals more difficult, arguing for the protection of private property rights while contending that local rules often hinder tourism and infringe on property owners' rights. This could lead to Asheville's current prohibition on short-term rentals becoming unenforceable.

Concurrently, the rental market also faces scrutiny within private planned communities, with locals expressing concerns over the potential depreciation of property values and nuisances. In response, Homeowner associations are revising their declarations to govern short- and long-term rentals within their boundaries.

While the landscape may initially seem complex, armed with this knowledge and vigilant of market trends, you can make a smart, worthwhile investment in Asheville's short-term rental market. Here at TylerMellor.com, we are dedicated to guiding you through the process every step of the way.

Review Tyler's post on Pisgah Property Group's Website here and search for your next investment!