Sedona will pay residents not to use homes as Airbnb rentals

SEDONA, Ariz. – The City of Sedona is offering an incentive for homeowners not to use their homes as Airbnb rentals.

City Council approved one $240,000 program earlier this week, it would prompt homeowners to rent their homes to local workers due to a lack of affordable housing.

According to city data, only 4% of the total number of housing units in the city are apartments, which is significantly lower than the state average of 16%.

“People working in Sedona are struggling to find housing due to soaring real estate prices and vacation rentals dominating the rental market,” city officials said.

Nearly 15% of residences in Sedona are short-term rentals, making them unavailable and financially “inaccessible” to working residents.

The Rent Local program would pay homeowners anywhere from $3,000 for a single bedroom to up to $10,000 for a three-bedroom home.

In exchange, the owner would convert his vacation rental into a long-term rental. They would be leased to a local worker on a one-year lease or sublet to a local business on a two-year lease.

The program is expected to begin accepting applications on September 1.

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