Legislation puts residential neighborhoods at risk

Montanans need to wake up to defend our homes and to help defeat Bill 336 — a bill now before the House of Representatives. The bill will make it impossible for towns, counties and homeowners associations to protect our family-friendly neighborhoods against short-term rentals, aka, weekend party houses. 

Montana judges have respected and confirmed the longstanding legal distinction between residential use and commercial use of our houses, the difference between homes and motels. Residential use applies equally to both owner and long-term renters. 

The defining difference is duration: How long we intend to stay. Homes are where we reside, where we live, not just a place to spend the night. Homes are where we know the folks next door — our neighbors — not a bunch of out-of-state strangers whom we’ve never seen before and will never see again. Homes determine where our kids go to school, what sports teams they play, and where they come back to at the end of the day. Homes determine where we vote and pay taxes. None of this is true of transient overnight guests at motels or short-term rentals. The supporters of House Bill 336 conveniently ignore these important differences 

So, who will be the winners and losers if this legislation becomes law? The winner’s circle is very small — mostly out-of-staters who are buying homes in residential neighborhoods and then flip them into short-term rentals to pay their mortgages. The Montanans who sell and/or manage these short-term rentals are also making big bucks that they did not before. They are lobbying to support it. 

The losers’ circle is much larger. It starts with all of us who live in safe, family-friendly neighborhoods and want to keep them that way. It includes younger Montanans who are looking to purchase their first house — their first home — at an affordable price. The short-term rental crowd will always pay more for a house because they know their new daily fees will pay for the higher purchase price. 

Short-term rentals also make it more difficult, more expensive for younger Montanans looking for affordable rentals. Finding affordable housing is already a critical problem in Montana’s many resort communities — such as Flathead County — for workers in the tourist/hospitality businesses. 

Last but not least, hotels, motels and traditional bed-and-breakfast operations also see their client base shrink as short-term rentals expand.  

House Bill 336 would open up our neighborhoods to unrestricted short-term rentals and the risks they bring. If you care about keeping your neighborhood safe and family-friendly, then you need to oppose HB 336. 

Ted Morton is a retired professor of political science who resides in Whitefish.