A new study from the University of Utah Kem C. Gardner Policy Institute shows Utah added more than 6,000 short-term rentals from 2021 to 2023, especially in tourist areas.
More than 60% of all short-term rentals are concentrated in three counties: Summit, Salt Lake, and Washington.
Summit County ranks first in the state with about 23% of all homes listed as short-term rentals, according to the report.
Park City has the highest number of short-term rentals of any city in the state, accounting for 41% of all housing units.
Leases of less than 30 days are considered short-term rentals. This market is dominated by online listing websites like AirBnb and VRBO. Researchers used data providers to uncover all online short-term rental properties in Utah over a two-year period covered by the study.
Researchers say that while short-term rentals boost local economies and tax revenues, they also increase property values and rents and reduce the availability of long-term housing, especially in resort communities like Park City.
Local government leaders and Utah legislators are actively participating in discussions aimed at addressing these impacts through state and local regulations.
But Dejan Eskik, a senior researcher at the University of Utah, said completing the ban on short-term rentals won’t solve these problems.
“Even if we banned all short-term rentals today, we would still have a housing shortage,” Eskik said. “Tomorrow, we’re going to ban short-term rentals in Summit County. Are we going to see a lot of people move into those homes?” After all, aren’t many short-term rentals second homes? So it’s like lifting their short-term rental status, but it’s still a second home from an out-of-state resident. So will they affect supply? That’s unlikely. ”
Moira Dillow, housing, real estate and construction analyst at the Institute for Policy Studies, said property owners continue to see value in short-term rentals compared to long-term leases.
“If you were to go to Park City now, the price you would pay would be very different than the price you would pay for a short-term winter rental,” Dillow said. “The same thing is true for many of these tourist destinations. This allows these people to have variable prices instead of a fixed rent. That’s why it’s so attractive.”
Researchers found that 83% of all short-term rental properties in Utah are located within 10 miles of a state park, national park, or national monument. Additionally, nearly half of all listings are located within 10 miles of a ski area.
Read the full report here.
