Potential Short Term Rental Tax Could Be ‘Devastating’ in Summit County
The issue of short term rentals, like AirBnB, and their potential effect on the state’s lack of affordable housing is once again being debated by lawmakers.
A bill filed in the Colorado General Assembly would increase the property tax rate on short term rentals from the residential rate of 7.96% to the commercial rate of 29%. Proponents of the measure say the legislation would help with the state’s housing crisis while those against the bill fear it will be devastating to places like Summit County.
“It is unbelievably dramatic and terrible,” Dana Cottrell, President of Summit Association of Realtors, told CBS4 Monday.
“It’s not good. We have more residential rentals than any other county in the state. There are some thoughts that up to 40% of people will put their homes on the market if this goes into effect which would crash our economy. It would be terrible,” Cottrell added.