Can Restricting Property Use Be Value Enhancing? Evidence from Short-Term Rental Regulation

Jin-Hyuk Kim, Tin Cheuk Leung () and Liad Wagman

Journal of Law and Economics, 2017, vol. 60, issue 2, 309 - 334

Abstract: Short-term rentals, private residences where tourists stay, have become ubiquitous over the past decade. Many communities are divided over the trade-offs between a property owner's rights and nuisance problems created by transient populations in residential neighborhoods. This paper empirically examines the effects of regulation restricting short-term rentals on property sales prices, using a unique data set and policy experiment from Anna Maria Island, Florida. We show that nonresident ownership of properties on the island decreased following the rental regulation and that the regulation decreased property values except in areas where the density of non-resident-owned properties in a neighborhood was quite high.

Date: 2017
References: Add references at CitEc
Citations: View citations in EconPapers (9)

Downloads: (external link)
http://dx.doi.org/10.1086/694415 (application/pdf)
http://dx.doi.org/10.1086/694415 (text/html)
Access to the online full text or PDF requires a subscription.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:ucp:jlawec:doi:10.1086/694415

Access Statistics for this article

More articles in Journal of Law and Economics from University of Chicago Press
Bibliographic data for series maintained by Journals Division ().