Las Vegas enjoys a booming tourism industry, attracting over 40 million visitors annually.
With a total of 150,000 hotel rooms in the area, not all tourists opt for traditional accommodations.
An increasing number choose short-term rentals, which have soared in popularity within the resort corridor and various neighborhoods throughout the Las Vegas Valley.
According to AirDNA, a market data service for platforms like Airbnb and Vrbo, over 13,000 short-term rentals are listed in the region.
Jackie Flores, founder of the Greater Las Vegas STR Association, reveals that approximately 40% of these rentals are owner-occupied, indicating that homeowners are subletting a bedroom in their houses, while the remaining are entire homes rented on a short-term basis not exceeding 31 days.
Despite their proliferation, only about 7% of these listings possess the necessary licenses for legal operation.
This comes in the wake of a 2021 state law mandating local governments to implement new regulations and enhance enforcement mechanisms for short-term rentals.
Flores expressed concern, stating that a significant portion of these rentals continues to operate unlawfully.
“The vast majority of them are still operating in the shadows,” she explained.
“That’s why we have been advocating for them to create a straightforward process for licensing.
” On June 30, Flores’ organization filed a federal lawsuit contesting the short-term rental regulations set forth by Clark County and the state.
Property owners argue that these regulations infringe upon their constitutional and property rights.
She claims that the state law is overly restrictive, allowing local authorities to impose even tighter controls.
“We have the right to rent our properties, and while counties and states can regulate, we oppose regulations that compromise our constitutional protections, which is what has happened,” Flores added.
Prior to the 2021 law, Clark County had completely banned short-term rentals.
In 2022, the county established its own regulations, capping short-term rental licenses at 1% of total housing units—allowing no more than 2,940 units for 2024.
Additionally, the regulations prohibit short-term rentals within 1,000 feet of one another and within 2,500 feet of hotel-casinos, with applications accepted through a lottery system.
Flores describes the licensing process as costly and cumbersome, discouraging homeowners from pursuing rental opportunities.
As reported by the Las Vegas Sun, only 174 licenses were approved in unincorporated Clark County as of March 24.
Furthermore, about 150 have been denied, and 515 applications remain pending, with no new applications currently being processed.
Other municipalities, such as the City of Las Vegas with an estimated 126 STR licenses, North Las Vegas with 219, and suburban Henderson with 350, contribute further to the total number of short-term rentals in Southern Nevada.
Each jurisdiction enforces its own unique regulations, restrictions, and licensing protocols.
The Nevada Resort Association and the Culinary Union have emerged as formidable opponents to the short-term rental sector, emphasizing the interests of hotel-casinos in the tourist corridor.
Nevertheless, Flores argues that short-term renters often represent large groups seeking spacious, private accommodations rather than traditional hotel rooms on the Strip.
“Even though they stay on our properties, they don’t spend the entire time there,” Flores contended.
“They typically stay to sleep, cook, and enjoy the backyard, but they still venture to the Strip, spending money at restaurants, gambling, and attending shows.
” Many of these guests are in town to visit family or may require accommodations for events or tasks that do not necessitate a stay at a hotel.
Additionally, those who wish to escape the hustle and bustle of the Strip or those recovering from health issues often seek a more private setting.
The rising costs of accommodations on the Strip have also led many tourists to explore short-term rental options.
“As the Strip becomes increasingly expensive, travelers are turning to short-term rentals as a more budget-friendly alternative, making it easier for them to find accommodations that suit their needs,” Flores noted.
While less common, travel advisors may play a role in helping clients find short-term rental options.
Several property owners engage in partnerships with individuals and companies, receiving commissions for successful guest referrals.
Flores mentioned that her organization is also exploring collaborations with travel advisors to connect them with property owners.
As Las Vegas grapples with the evolving landscape of short-term rentals, the debate over regulations, property rights, and tourism continues to unfold.
image source from：travelweekly
