Proposed Regulations on Lake Norman Short-Term Rentals Draw Debate

Thousands flock to the shores of Lake Norman in North Carolina every year, increasingly staying in short-term vacation rentals. But the rise of sites like Airbnb and VRBO has brought disruption to the area, drawing complaints from full-time residents. Now, Lincoln and Iredell counties are taking steps to regulate these properties in hopes of reducing nuisance issues.

Proposed regulations in both counties would require short-term rental owners to obtain permits and restrict renters from hosting big parties. The rules aim to rein in some of the most common grievances cited by residents at recent county meetings - raucous late-night gatherings, excessive noise, and safety hazards.

One Lincoln County resident, Craig Amick, shared a harrowing story of taking cover with his family when over 70 shots were fired at the short-term rental next door. Others complained of constant loud parties at nearby rentals disrupting their lives. In Iredell County, residents cited data showing rental boats associated with short-term properties were causing a majority of severe injuries on the lake.

Beyond rowdy renters, residents voiced concerns about the lack of oversight and accountability for these properties. A key question raised was how occupancy limits and other rules could realistically be enforced when renters come and go so quickly. Both counties are still working out the details of how compliance would work.

While acknowledging some problem properties, short-term rental operators argued that the disruptive incidents make up only a tiny fraction of overall stays. The CEO of StayLakeNorman, which manages 50 upscale rentals in the area, said they'd had only 12 evictions out of 50,000 total bookings. He stressed that reputable managers don't want properties used for raucous parties.

The proposed regulations aren't sitting well with all short-term rental owners in the two counties. Some feel measures like requiring trash collection services unfairly target their properties. Others say rules like mandating one parking spot per bedroom would pose an undue burden on owners of duplexes or multi-unit buildings.

One owner called the new permit mandate in Lincoln County "double taxation," since rental properties already must follow laws that apply to other single-family homes. She argued the regulations should be simple and avoid overly restrictive requirements as long as the properties meet zoning codes and don't violate neighborhood rules.

After airing all views at Monday's public meeting, Lincoln County commissioners voted unanimously to create a task force to rework their proposed regulations. The group will include county officials and stakeholders on both sides of the issue. While compromise won't satisfy everyone, the county hopes the task force can find a middle ground.

Iredell County took a similar pause at their Tuesday meeting, opting to table a vote on short-term rental rules until mid-October. Their hope is to use the extra time to craft a proposal that, even if not perfect, both residents and rental owners can accept.

The debates unfolding in these two counties mirror those happening in communities across the U.S. grappling with the rise of short-term rentals. As these properties proliferate, questions arise over how much regulation is needed to maintain neighborhood character and quality of life for residents. But, imposing too many constraints risks stifling a new industry.

Striking the right balance is never easy. For now, Lincoln and Iredell counties are listening to all perspectives as they work towards compromise solutions that allow short-term rentals to thrive responsibly. Their efforts will lend insights for communities everywhere seeking that elusive regulatory sweet spot.