Only half of Annapolis’ short-term rentals are licensed by city, report says
About 50% of short-term rental properties in Annapolis listed on platforms like Airbnb and Vrbo are not licensed with the city, according a report released Tuesday.
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“This persistent gap highlights the continued need for active monitoring and enforcement to ensure [short-term rental] activity complies with city regulations,” the report said.
When asked about the report, Annapolis Mayor Gavin Buckley said he was concerned about the proportion of unlicensed short-term rentals.
“Inspections are a matter of safety,” Buckley said. “They ensure compliance with fire codes, structural integrity, and environmental health. By identifying hazards like faulty wiring, mold, or inadequate emergency exits, we can protect visitors and neighbors.”
But the term-limited Democrat, who leaves office at the end of the year, described himself as confident that the Annapolis planning and zoning department, led by director Christopher Jakubiak, would bring those unlicensed properties into compliance with city code.
“We appreciate what well-regulated short term rentals do for the economy,” Buckley said.
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The report’s revelation of a large number of unlicensed short-term rentals in Annapolis comes as their prevalence grows: Over the past two years, the number of properties listed online as short-term rentals increased by about 17%, according to the report.
The report cited 2020 data from the U.S. Census Bureau that estimated short-term rentals account for up to 1.6% of the total U.S. housing stock. In Annapolis, the report said, 2.9% of all housing units are used as short-term rentals.
“This above-average share, approximately double the national trend, reduces the number of housing units available for homeownership or long-term rental, contributing to increased pressure on the local housing market,” the report said.
Most of the city’s short-term rentals are downtown in the historic district, near the U.S. Naval Academy, St. John’s College and the State House.
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Alderman Harry Huntley, a Democrat who represents that area and is running to retain his City Council seat, introduced legislation this summer to limit the proliferation of short-term rentals citywide.
His bill would prohibit the city from issuing new short-term rental licenses after a block reaches 10% of properties used for them. Huntley told The Banner that the short-term rental report “just underscores the urgency of” reining in the industry with his legislation.
“We need to stem the bleeding on these most oversaturated blocks right now,” Huntley said. “Those should be neighborhoods. Those should be communities. Those should be places where you can know your neighbors.”
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He has said the bill responds to concerns from his constituents who feel like they’re losing their community.
The report appeared to validate those concerns.
“The most direct and obvious impact is a transition away from traditional residential communities comprised of primarily long-term residents to more transitory communities which accommodate more tourists,” it said. “While there is still a majority of properties in the downtown area occupied by long-term residents, some blocks have seen a more substantial shift toward short-term occupants.
“This changing neighborhood composition,” the document continued, “can have wide-ranging outcomes including perceptions of places being less safe, parking impacts, properties being maintained, and other nuisance issues.”