Is a room rental considered a short term rental?

[Carolyn460]

Is renting a room in your home considered a short term rental? My community just implemented a new rule that states all short term rentals must  be for a minimum of 90 days. I'm not sure if room rentals fall under this category. The community manager told me I could rent my rooms to anyone I want as I am the owner/occupant. I am considering finishing my basement to create a separate living space for myself and renting the upstairs as "rooms", both levels are connected by an interior staircase. In essence, I would be renting the "upstairs" of my home while I occupy the "downstairs." It's a gray area, I would like some input before I take it to the board for approval. Thanks! 

[Anonymous]

@Carolyn460  When it comes to the legal definition of "short term rentals," there's a huge range of definitions specific to every jurisdiction that regulates them. Some have loopholes for owner-occupied properties, some have minimum terms, some have maximum number of total nights per year, etc.  In this case, it will be relevant what your local jurisdiction considers to be a short-term rental. Regardless of the HOA's policy, you'll still have to adhere to the local regulations to be legal.

Community rules are often purposefully vague. What matters most here is the intention behind the rules. If the idea is that the other owners don't want a constant procession of strangers coming through the property and eroding the feeling of neighborliness, I'd expect the community to take a dim view of short room rentals. But if they're more concerned about stuff like parties, noise, and criminal activity, you can easily make the case that you'll be onsite and able to prevent these things.

[Allison2]

I'd ask more questions before proceeding.

Like Andrew says, each community is coming up with their own definitions of STR and who falls into that.

In my town renting rooms like you're describing still requires a permit based on how many "guest nights" you're hosting. (4 guests staying 1 night=4 guest nights) They expect we maintain the single-family nature of homes and explicitly ban anything that approximates a second kitchen. They wouldn't approve of your basement/upstairs plan because it's essentially making it a duplex/two-family property.

[Anonymous]

@Allison2  That is an excellent point, and I realize it also brings up the issue of zoning laws - which might also supersede the HOA policy.

[Carolyn460]

I contacted my local jurisdiction (I live in a very rural area) and they only have definitions for:

-Bed and breakfast establishment–a private residence which contains 10 or
fewer bedrooms used for providing overnight accommodations to the public and in
which breakfast is the only meal served and is included in the charge for the room.

- Home occupations and businesses–activities undertaken on residential
properties, by a resident of the property and by other persons as permitted by this
Chapter, which are carried out with the intent of earning an income. Such activities
are classified into the following two categories:
(1) Home occupation–an accessory use to a residential dwelling unit
which is permitted under the terms of this Chapter. Such uses are restricted
in size and scope, as required herein, to safeguard the residential area in which
they are located.
(2) Home based businesses–home based businesses are not considered
accessory uses but are separate independent business in a residential area on
a parcel of land of sufficient size, operated by the resident of a residential
housing unit located on the same parcel, or on a parcel adjoining the principal
residence of the owner of said business.

-Rooming or boarding house–a building containing one or more dwelling
accommodations in which at least two rooms are offered for rent, to adults aged 18
years or older, payable in money or other consideration, whether or not meals are
furnished to occupants, and in which no transients are accommodated and no
public restaurant is maintained. A school or college dormitory, fraternity or sorority
house, membership club with residents, and other similar uses is not deemed to be
a boarding or rooming house.

I inquired about STR's and they said there are no restrictions or definitions available. 

- 

[Carolyn460]

Thanks for the responses. I am allowed to have a separate living space as long as I don't meter it, so the new living space will be legal. I will most definitely check with my local jurisdiction to find out their definition of a STR.  

[Sonia848]

Each community defines STR. In this case, the minimum is 90 days. The bigger question would be is Airbnb stay considered " renting". If your "hosting" a guest overnight for a fee absent a rental/lease agreement,  not sure how the community rule would hold up. I'd say it's a question for an attorney in your state as each state has different laws regarding tenancy.  Just be certain you use the correct verbiage when speaking to neighbors, friends and such.  Airbnb hosts dont generally provide a place in which someone would consider their residence.  It's merely a place to rest your head.  I'd also ask an attorney what constitutes tenancy in your state. Often receiving mail is a component.  I'd also want to know what specifically the community is trying to limit. I personally wouldn't want to be that person to leverage a crack in the community rules.

[Paul154]

@Carolyn460 

None of us can advise you about your legal standing.  There's the law and just as importantly there's community policy and enforcement. Many laws are not enforced and are effectively worthless.

What does your community do? Do other people take in boarders? Would you have supporters? Are you running a discrete business?  Does your community tax Airbnb?

On 1/1/2019 in Seattle, they  "regulated" Airbnbs by requiring a home visist and permit. They also charge 10.5% state tax and 7% city tax. As expected, because they want the tax, they have not yet enforced the permitting regulation. I suspect they never will...

Unfortunately, this is no way to run a business. It's one thing to rent out rooms until the law or a jealous neighbor shuts you down - No harm no foul.  It's a very different thing to sink money into a project uncertain if you'll get that money back.  Good luck