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Lexington Council Approves New Short-Term Rental Regulations

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Rural home in Lexington, Kentucky

News Summary

The Lexington-Fayette Urban County Council has unanimously approved new regulations for short-term rentals in rural areas of Fayette County. The rules prohibit unhosted short-term rentals for properties under 10 acres and require permits for hosted rentals within agricultural zones. This initiative aims to balance the booming rental market with community concerns. New occupancy limits and a tipline for violations have also been established. These changes will take effect starting January 1, 2025, impacting property owners and guests alike.

Lexington Council Votes for New Short-Term Rental Rules

In an exciting development for Fayette County, the Lexington-Fayette Urban County Council held a meeting on Thursday where they unanimously approved new regulations affecting short-term rentals in rural regions. This is part of a larger effort to get a grip on the booming short-term rental market in Lexington, the second-largest county in Kentucky.

A New Era for Short-Term Rentals

So, what exactly does this mean for homeowners and visitors alike? For starters, the new rules put a stop to unhosted short-term rentals, which are places where the owner isn’t living on-site. If a property owner has less than 10 acres, they can no longer offer unhosted rentals. This aims to create a more friendly environment for both the community and visitors, making it less disruptive for neighbors who may have been dealing with issues from transient guests.

If you own a property and live there, you can offer hosted short-term rentals, but there’s a catch: they can’t be located within one mile of another short-term rental. This is also true for bed and breakfasts operating within agricultural zones. It’s all about keeping the charm of rural living intact while respecting those who live nearby.

New Challenges Ahead

For anyone thinking about venturing into the short-term rental business in the agricultural zones, there’s an added hurdle! You’ll need a conditional use permit from the Board of Adjustment. You might be wondering how this impacts the bustling urban core. In the city, rentals can operate within 600 feet of each other, offering a bit more leeway for owners in the heart of Lexington.

There’s also a health aspect to consider. If you’re considering renting out your rural property and it uses a septic system, you’ll need approval from the Lexington-Fayette County Health Department. Given that many rural homes rely on septic tanks, these inspections are vital to ensuring safety and functionality.

What’s Happening Now and Later

Interestingly, just last year in July, Lexington implemented its first set of short-term rental rules for urban areas and offered folks a six-month grace period to get in compliance. Fast forward to August 2024, they had to tighten the reins further by limiting the number of rentals in urban service boundaries. This move mainly responded to neighborhood complaints about the sudden surge of Airbnbs and VRBOs sprouting up like wildflowers!

Until this recent approval, short-term rentals were completely off-limits in Fayette County’s agricultural zones, making this a significant change. However, Councilmember Chuck Ellinger, while supporting the initiative, expressed concerns that more discussion was necessary regarding the tweaks made to the ordinance during a recent work session.

Occupancy Limits and Neighborly Considerations

To ensure a peaceful environment, the Council put some occupancy limits in place! Hosted rentals can only accommodate up to ten people at a time, keeping gatherings manageable and noise levels reasonable. Moreover, rentals within 1,000 feet of residential zones cannot exceed 2% of total units. On top of that, a new tipline has been set up for reporting any violations like noise complaints or flouting occupancy limits.

If you’re caught violating these ordinances, the fines can be hefty – up to $500 per day for non-compliance! To put it into perspective, Lexington currently has over 700 registered short-term rentals, with about 400 suspected of operating without the necessary licenses.

A Look to the Future

Starting January 1, 2025, Lexington County will implement its own regulations for short-term rentals, requiring owners to pay an annual fee and secure a zoning permit. This change promises to tackle noise issues while managing traffic and sanitation concerns that rentals can bring to the community.

It’s important for owners to keep in touch with their renters about complying with the new regulations, as their permits could be revoked for failure to adhere. With all these changes in the pipeline, it’s clear that Lexington is committed to shaping a welcoming environment for both guests and residents alike!

Deeper Dive: News & Info About This Topic

HERE Resources

Changes in Lexington-Fayette: New Committee Heads and Billboards
Kentucky’s Political Landscape: Key Issues and Community Action
Lexington Implements New Regulations for Short-Term Rentals to Address Community Concerns
Lexington Council Approves New Short-Term Rental Regulations Amid Mixed Reactions
Lexington Named Top Travel Destination for 2024, Highlighting Kentucky’s Rich Charm and Natural Beauty
Lexington Residents Rally Against Short-Term Rentals Amid Rising Community Concerns
District 12 Residents Prepare to Vote for City Council Amid Key Issues of Housing and Education
Lexington Homeowners Challenge Short-Term Rental Legislation as Airbnb Pushes for New Regulations
Georgetown Planning Commission Approves New Developments Amid Traffic Concerns from Residents
Lexington Council Moves Towards Permitting Short-Term Rentals in Rural Fayette County

Additional Resources

Lexington Council Approves New Short-Term Rental Regulations

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Author: HERE Lexington

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