There’s a new Sedona short-term rental requirement that you have to know about if you’re serious about any short-term rentals, as it will heavily impact your potential cash flow.
If you’re already a client, then you likely already know that permitted short-term rental garage conversions are where it’s at. It’s one of the best ways to boost your cash flow and in some cases push cash flow to over 20%.
There is a brand new Sedona planning and zoning adjustment that’s going to drastically change the approach on this.
The city is making it harder, more expensive, and more time consuming to get this done. I had predicted that this change was going to be occurring over the next 6 months. I started saying that about three months ago. And it’s, happened a little sooner than I forecasted. Right now most contractors, architects, and realtors are not aware of this change. It’s brand new, but the architects and the contractors that do more STR’s are aware of this change…
The new change is: 1500 square foot or larger single-family homes anywhere in Sedona now require that when you convert a garage into one or more bedrooms, that you actually replace those parking spaces that you removed with enclosed parking. Meaning, replace the garage with a garage. Many investors would say, “Why not just build a guest house? Why go through all that? Wouldn’t that be cheaper?”
In most cases, believe it or not, it actually makes more sense to convert the garage to bedrooms, and then add a new garage somewhere else. This is due to Sedona’s strict requirements on detached guest houses.
It’s important to note that while the 1500+ sq ft homes have new, stricter requirements, smaller homes, (under 1500 square foot) are still flexible- for now. If you have a STR friendly home in Sedona that’s under 1500 square feet, or if you’ve got your eyes on something on the market- this is the next big change that’s coming. And again, I’m going to predict this change within 6 months.
Beyond that, schedule a call, or just reach out directly, let me know what I can do to help you, whether you’re buying or you’re selling.
look forward to meeting with you.