Ray: the dark side of Scottsdale vacation rentals

There seems to be a dark side to the vacation rental industry that has become so popular in Scottsdale.

This industry is popular in many resort communities but it does have a dark side that needs to receive some attention. Not everything should revolve around dollar signs although this seems to be the new norm in Scottsdale and other resort-type communities.

Many smaller condominium-type communities are being taken over by investors and others related to the vacation rental industry. Their goal is to take over your small condo community and turn it into a cash cow. They use a number of rather unsavory techniques to accomplish this goal.

They often buy up units using a variety of names, LLCs, etc in order to make it difficult to determine how many units might actually belong to one entity. They attempt to take over the HOA board and change documents and bylaws to make it easier for them to operate as a vacation rental community and push legitimate owners out.

It amounts to a “legal” way of taking your property. They have also been known to buy up units and rent them to less than ideal tenants (those who engage in criminal activity) in order to lower property values so your units can be sold for far less than they may be worth.

I know this because it is happening in my community and according to information I have received from a Realtor who has worked in other resort communities, this is an issue that many have experienced and one that needs attention. People should not be forced to give up their property to satisfy unscrupulous vacation rental entities/investors whose only motive is profit.

Smaller HOA condo communities need to review their documents and be aware of this new threat to residents quality of life.

Editor’s note: Ms. Ray is a resident of Scottsdale

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