WMRA Study: Exploring Short-Term Rental Impact in Mountain Getaways

WMRA Study: Exploring Short-Term Rental Impact in Mountain Getaways

Nestled in picturesque surroundings and often called “Colorado’s Last Great Ski Town”, Crested Butte is home to many short-term rental properties. A recent study commissioned by the Western Mountain Resort Alliance (WMRA), supported financially by the National Association of REALTORS® and executed by RRC Associates and Inntopia, provides an impartial examination of the economic dynamics surrounding short-term rentals (STRs). The study unveils the substantial economic and social benefits STRs bring to these mountain communities, including support for local businesses, job creation, and diverse accommodation options for visitors.

Key insights from the study include:

• The significant economic contributions of STRs to the region.
• Potential effects of STRs on housing availability and affordability.
• Important considerations for managing and regulating STRs effectively.

According to a market study conducted by Western Spaces, LLC in October 2022, data from the MLS reveals interesting insights regarding property occupancy at the time of listing. In 2021, short-term rental units comprised 21% of the total, making it a significant category. This finding sheds light on the growing trend of short-term rentals and their prominence within the real estate market. Coincidentally, in Crested Butte, the increase in excise tax on short-term rentals to support affordable housing took effect last January 1, 2022. Although it’s nice to see more focus on affordable housing, the tax hike will have implications for short-term rental guests and short-term rental owners, who now must pay higher taxes.

The WMRA urges policymakers and the public to engage in informed discussions about STRs, leveraging data and understanding the unique needs of each community. Collaborative efforts can ensure that STRs continue to bolster Colorado’s economy while preserving the quality of life for residents and the character of mountain towns.

You can explore the research findings by clicking on the following links:

Read the Summit County Executive Summary
Read the Summit County Final Report
Read the Pitkin County Executive Summary
Read the Pitkin County Final Report