While many municipalities and their support associations across the state of Michigan are fighting proposed legislation in Lansing regarding short term rental property rights for homeowners in the state arguing that it preempts local zoning and takes away local control, there are strong supporters on the other side of the fight in the form of rental property owners and real estate brokers.
One such Broker, Ryan Servatius was the 2018 Realtor of the Year at the Southwestern Michigan Association of Realtors. He has penned his thoughts on the matter, and the association has shared it today:
I am in favor of supporting Short Term Rental Property Rights for all homeowners.
I have been managing short term rentals since 2016 and I have learned a lot over the years of who short term rental owners and renters are.
At first, we are told that they are like an invasion of unwanted transient people who come here and use up all of our amenities, crowd our beaches, restaurants, parks, shops and have no respect for our communities in which they visit.
Contrary to those misleading labels that I have also found over the years are by people with their own agenda and refuse to look at data and science that shows the benefits of those who come and stay in a community. If people choose to spend their hard-earned money and time to come to a community, they do so because of the attraction that it offers, be it natural as a lake, river, parks, trails, downtown and community in which it sits.
In my years of renting short term rentals, I have spoken to many over the years and to the owners of restaurants and shop owners who rely on those vacationers to survive in the off season. What you have is families who come here to stay be it the grand parents with the parents and kids to have a week of togetherness, friends, couples who look for a quick long weekend getaway from the regular world and what you get is those telling me thank you, thank you for allowing us to stay in your place so we can relax and spend time with a loved one who they will spend time watching a sunset together and staying in a home together. One even told me that it was their grandfathers last summer trip and that he was terminally ill and how memorable it was for the family to all be together one last time to enjoy life.
You cannot do that in a hotel as there is not enough room and you sure cannot do that in a Bed and Breakfast as they do not allow children, so that leaves only buying a home, or condo, or staying in a home/condo as a short-term renter.
I would think that taking away the rights of a homeowner to rent out their home not only is infringing upon one’s rights, but also shows a clear classism attack on those who cannot afford to live here full time, nor may not want to, due to location and employment opportunities.
Saying you can only be in a community as a homeowner and not a renter sends a clear message that if you do not fit the municipalities proper and fit guidelines, you are not welcome in that community. The natural attractions are here for all to enjoy and not just the elite and wealthy. The beaches, parks, preserves, trails, shops, restaurants, museums, fishing is for all to enjoy.
When I talk to the restaurant and shop owners in towns, they tell me that they are allowed to stay open all year because of the summer renters who come and spend money in their establishments and that all of the money they make in the summer they put back into their businesses to pay for their staff to have full time employment so they can keep the doors open and not shut down and have to rehire each Spring and start all over again. This creates a sense of stability in communities and allows people to frequent the downtown and area shops all year long where if they were closed, the downtowns would be ghost towns and be empty in the winter months.
The renters also bring in money for such attractions as museums, one in particular is the Michigan Maritime Museum that has Friends Good Will. Friends Good Will goes out 3 times a day with visitors who are looking to experience a ride on a schooner and learn the history of the area. These attendees on these boats are tourists who are renting here, without them, communities would lose these attractions as they would not have the income from the renters coming in to visit and learn.
Community awareness, I am always happy to hear from our renters and what they did while they were here and what I always seem to hear is how much they learn about the area in history and knowing it seems more about our community history than locals do. The renters do this because they love the area and respect it. So much that usually after 4 seasons of renting to a family, or renter, they ask to buy a place and they rent out to help pay the mortgage off sooner so they can then retire here full time and be an active member of the community.
Short Term Rentals are positive for a community and with a great property management company the benefits of attracting people to an area is the best marketing that can be done to have new talent fall in love with an area and support it. It is a win-win-win for the community, homeowner and renter.
Thank you for your time and this is my support for Short Term Rentals —
Ryan Servatius
2018 Realtor of the Year of Southwestern Michigan Association of Realtors
Also shared by the Realtors Association today is a letter of support from the owners of a rental resort in Union Pier, Elephant Walk Resort, which is owned and operated by Fred & Erica Carli. Here is their argument in favor of short term rentals in Michigan:
My husband and I are owners of a large rental complex in Union Pier. It consists of 6 rental units on one large plot of land. We take great care of the property, inside and out, because we understand that being responsible and upstanding owners actually attracts the same type of renters. We have adopted strict rules as it relates to renter behavior that renters must review and agree to before we send them check-in docs:
- Adhering to maximum number of renters and cars/unit
- Abiding by noise rules for the neighborhood at large as well as the neighboring units
- Living by the posted public beach rules so they hold up their end to the township
- Understanding the strict consequences they will face should problems arise
It is my belief that in this world of increasing popularity of rental homes, renters actually appreciate rules. They want boundaries to understand what they can and cannot do in any given property. And, for the most part, they adhere to those rules, and they end up treating that home better than they may treat their own. Now there are definitely exceptions to this rule, no question. But when they arise, we as owners put out that fire quickly and responsibly.
As owners, being present, available and vigilant is imperative. And attracting responsible renters can be aided by adopting habits as an owner such as:
- Collect phone numbers from each renter so you can get in touch with them immediately should a problem arise
- Share township rules as it relates to public disruption and noise policies
- Provide your own phone number so you can be available at a moment’s notice
- Embrace strict rules especially as it relates to respecting the neighborhood and enforcing the strictest of consequences should they bend those rules in particular
- Forbid the use of your property for parties (this is something you can select/deselect in Airbnb)
- Ensure that the max number of renters/cars matches the property’s capacity
- Purposefully restrict the number of beds you put in each bedroom
Ninety-five percent of our renters are so happy to have a slice of paradise, a step away from their real life, they are appreciative and grateful and their actions during their stay mimic this appreciation, not exploit it. Any community disruption we’ve ever experienced in Southwest Michigan in the 15 years we’ve been in the area has far and above been from homeowners themselves, who may feel entitled as property owners. Renters engage with the community, support local businesses, bring energy and vitality to the beaches, restaurants, wineries, and we’re grateful to provide for them a retreat.
Fred and Erica Carli
Elephant Walk Resort, Union Pier
Meanwhile…the debate continues in Lansing and municipal halls all across the state. You can see some of the reasons communities like St. Joseph are concerned in this story from their action at a recent City Commission meeting:
Stay tuned.
