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Short-term rentals in small cities in Oregon: Impacts and regulations

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  • DiNatale, Sadie
  • Lewis, Rebecca
  • Parker, Robert
Abstract
Governments across the country struggle to manage the impacts of short-term rentals (STRs), like Airbnbs, and the sharing economy more generally. Existing research is sparse and tends to focus on large cities or metropolitan areas. Focusing on 237 small cities in Oregon, this study relies on descriptive data from Airbnb, AirDNA, Oregon Department of Revenue, and the U.S. Census to examine the prevalence and characteristics of Airbnbs, revenue potential from lodging taxes, and the impact on long-term housing supply. This study also summarizes the findings from a statewide survey of city managers and planners on regulation and perceptions. We find that the prevalence of Airbnbs varies drastically across cities and is highest in tourist areas. Airbnbs are present on over five percent of the housing stock in 16 cities. While hosts generated $82 million in revenue, only 11 cities and four counties charge lodging taxes. In total, 38% of Airbnbs are whole homes that are rented more than 30 days in a year, signaling potential impacts on long-term rental supply. Finally, while cities perceive Airbnb to be an issue, only 35% of survey respondents are currently regulating Airbnbs. We find that cities need to understand prevalence and characteristics of STRs and respond with appropriate regulatory controls. Airbnb provides lodging and tourism where hotels have not been available in some cities, but in other cities, Airbnbs place pressure on tight housing markets and draw complaints from residents.

Suggested Citation

  • DiNatale, Sadie & Lewis, Rebecca & Parker, Robert, 2018. "Short-term rentals in small cities in Oregon: Impacts and regulations," Land Use Policy, Elsevier, vol. 79(C), pages 407-423.
    • Handle: RePEc:eee:lauspo:v:79:y:2018:i:c:p:407-423
    DOI: 10.1016/j.landusepol.2018.08.023
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    References listed on IDEAS

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    Cited by:

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    3. Francisco José Chamizo-Nieto & Nuria Nebot-Gómez de Salazar & Carlos Rosa-Jiménez & Sergio Reyes-Corredera, 2023. "Touristification and Conflicts of Interest in Cruise Destinations: The Case of Main Cultural Tourism Cities on the Spanish Mediterranean Coast," Sustainability, MDPI, vol. 15(8), pages 1-26, April.
    4. Jianjia He & Thi Hoai Thuong Mai, 2021. "The Circular Economy: A Study on the Use of Airbnb for Sustainable Coastal Development in the Vietnam Mekong Delta," Sustainability, MDPI, vol. 13(13), pages 1-18, July.
    5. Helen X. H. Bao & Saul Shah, 2020. "The Impact of Home Sharing on Residential Real Estate Markets," JRFM, MDPI, vol. 13(8), pages 1-18, July.
    6. Michał Żemła, 2020. "Reasons and Consequences of Overtourism in Contemporary Cities—Knowledge Gaps and Future Research," Sustainability, MDPI, vol. 12(5), pages 1-20, February.
    7. M. L. Roark & L. Fox O’Mahony, 2023. "Real Property Transactions in the Network Society: Platform Real Estate, Housing Hactivism, and the Re-scaling of Public and Private Power," Journal of Consumer Policy, Springer, vol. 46(4), pages 445-463, December.
    8. Dan Wang & Liang Yan & Fangli Ruan & Xiaohuang Zeng, 2022. "An Abductive Analysis of Debates on the Impact of the Sharing Economy: A Systematic Review in a Sustainable Framework," Sustainability, MDPI, vol. 14(7), pages 1-28, March.
    9. Maria del Mar Alonso-Almeida, 2023. "Could Failures in Peer to Peer Accommodation Be a Threat to Public Health and Safety? An Analysis of Users Experiences after the COVID-19 Pandemic," IJERPH, MDPI, vol. 20(3), pages 1-14, January.
    10. Gurran, Nicole & Zhang, Yuting & Shrestha, Pranita, 2020. "‘Pop-up’ tourism or ‘invasion’? Airbnb in coastal Australia," Annals of Tourism Research, Elsevier, vol. 81(C).
    11. Hu, Lirong & He, Shenjing & Han, Zixuan & Xiao, He & Su, Shiliang & Weng, Min & Cai, Zhongliang, 2019. "Monitoring housing rental prices based on social media:An integrated approach of machine-learning algorithms and hedonic modeling to inform equitable housing policies," Land Use Policy, Elsevier, vol. 82(C), pages 657-673.
    12. Laura Serrano & Antonio Sianes & Antonio Ariza-Montes, 2020. "Understanding the Implementation of Airbnb in Urban Contexts: Towards a Categorization of European Cities," Land, MDPI, vol. 9(12), pages 1-21, December.

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