By james art SCOTTSDALE, Ariz. — Hundreds of short-term rental properties in Scottsdale may be an attraction for vacationers, but they’re causing headaches for some people who live in the area.
Signs are popping up in a neighborhood near Old Town Scottsdale that say “Comforts, Not Hotels.”
“It’s a new one I got,” said Meg Dingman, Scottsdale.
Another sign in her yard sends a message about short-term rentals that reads, “Short-term rentals ruin neighborhoods.”
“In my neighborhood there are small, modest houses. They were, you know, perfect homes for starters, small families, Dingman said. “There are now at least 20 short-term rentals in this neighborhood. They sit empty most of the time and are owned by investors.
“People talk about the housing shortage,” Dingman said. “Well, maybe there isn’t a housing shortage. There’s just a housing shortage.”
City records show there are about 20 short-term rental properties in the neighborhood called Peaceful Valley, but Dingman isn’t the only neighbor who thinks they’re disturbing the peace.
“It only takes one to really ruin your day, literally, and your night,” said John Washington, Scottsdale.
These homeowners say that in addition to their homes, many of which have remained in the same families for decades, the rental properties now bring noise and big parties every weekend. They say a neighbor regularly deals with golf balls flying into her yard.
“She had to board up her windows because she’s afraid the balls will break her windows, and she doesn’t have a lot of money to fix it if that happens,” Dingman said.
Washington also has privacy concerns.
“We have in this neighborhood a deed restriction, a ban on buildings that are taller than two stories,” he said. “We’re always concerned when we see new construction going on.”
Washington says builders are pushing the limits of height restrictions, and he fears rooftop patios or tall windows will limit the privacy of neighbors around these new structures.
Crime is also a concern. Homeowners say neighbors have called police over the past few years to report theft, escorting and illegal drug use at some of the short-term rentals.
“You don’t feel safe because you just don’t know who these people are,” Dingman said.
They say all the trouble started with a 2016 state law that states cities and towns can’t ban vacation or short-term rentals.
“[Senate Bill] 1350 is the legislation that preempted our local ordinance. And we’re trying to put in more restrictions, or should I say, bring them back instead of just being a free-for-all,” Washington said.
Scottsdale Assistant City Manager Brent Stockwell tells ABC15 in a statement:
“Under state law, the city cannot ban short-term rentals. They are permitted in apartments, condominiums and townhouses, as well as in single-family neighborhoods, unless prohibited by private agreement, such as deed restrictions.
Stockwell says the city continues to work on legislation to address the negative impacts associated with short-term rentals, along with other cities and towns in Arizona.
“The city continues to advocate for the return of short-term rental provisions in the city of Scottsdale to where it was before it was taken away by the state legislature,” Stockwell said.
Detailed information on short-term rentals in Scottsdale is available on the city’s website and in the Good Neighbor Guide. Both sites have details on what actions residents can take if they have a problem with a short-term rental in their neighborhood.
Stockwell reminds the public that activities that are legal in a private residence are also legal in a short-term rental. These include gatherings, playing in the yard, swimming, playing music at a reasonable level, smoking tobacco or marijuana, and drinking alcohol. Someone renting a property can invite guests to park on the street unless there are private restrictions.
Likewise, short-term rentals such as private residences cannot be used for disorderly parties, illegal gatherings, or other criminal activity.
Additional city data shows that short-term rental stays are down 5.7% from the 2022/2023 fiscal year. There were 274,300 stays in Scottsdale this year, compared to 258,700 stays in FY 2023/24.
There was also a 20% drop in licensed short-term rental properties over the past year: In June 2024, Scottsdale had 3,060 licensed units, compared to 3,852 licensed units in June 2023.
Although short-term stays in Scottsdale have declined, they still generated $15.6 million in tax revenue in FY 2023/24. That’s up nearly 7 percent from the previous year, when the city collected $16.6 million. By comparison, motels and resorts brought in $43.7 million.
In addition to regular patrols, Scottsdale police have also created a special task force dedicated to short-term rentals. Police laid 738 charges relating to these properties in the 2023/25 financial year. This is a 30% increase on just 25 charges the previous year.
Over Labor Day weekend, Scottsdale police responded to 21 calls related to loud music or parties at these rental properties. Three people were cited from three separate incidents. One was for allowing a nuisance party, another was for a minor’s liquor violation and permitting a nuisance party, and the third was for making a false alarm or disobeying a police officer.
Short-term rental companies contacted by ABC15 have not yet returned a comment.
AirBnB, which is not tied to any of the homeowners’ allegations but operates in Scottsdale, has a global no-party policy. It prohibits disruptive and unauthorized parties on AirBnB listings, and guests who violate the rules may face account suspension or removal from the platform.
As of 2023, AirBnB has seen a drop of over 50% in the percentage of reports of parties worldwide since the introduction of the party ban in 2020.
Also starting in 2020, AirBnB implemented anti-party systems in certain areas at certain times of the year, which can usually lead to disruptive parties. For example, on Halloween last year, about 1,000 people were deterred from booking an entire home in Arizona because of these protections.
AirBnB’s neighborhood support line allows neighbors to speak directly with the company if they have urgent concerns about a property in their community.
Short-term rental platform Vrbo says guests planning an event should make sure the property allows events before booking.
The company says it has a detailed house rules section for each property.
Vrbo notes that they have policies in place to protect their hosts, properties and the surrounding community from unauthorized or disruptive gatherings. Guests who violate house rules or policies may not be able to book on the site in the future.
