On March 26th, an email containing the following was sent to a small group of homeowners in Desert Mountain. These homeowners expressed anger toward the Board for not showing an adequate force of strength on the short-term rental restriction issue despite the fact that 100% of the Board and DMMA’s resources allocated to this issue have gone to support a short-term rental restriction:
GROUP OF HOMEOWNERS: Two important events this week. We need your attendance. Short notice but please find your way there. Please tell other members to attend these meetings.
If you do not attend and a motel-like rental pops up near you……..
HOA MEETING: This afternoon 3pm Fairways office. (near contractor entrance).
PEOPLE WHO RENT THEIR HOMES WILL BE PRESENT.
1) What is the HOA’s plan to counter mis-information spread by Mr. Moselle and company?
2) We need correct information sent to members so they can base their opinions on correct information, rather than distortions. WHAT IS YOUR PLAN?
3) What is the HOA doing to stop the increasing number of disturbances caused by renters in OUR neighborhoods?
4) DM has rules and regulations, why are infractions not being enforced by penalizing the land owner?
5) How many members who rent their home are members of the Club? Be specific.
On the above, only 2 of the 5 questions were asked of the Board during that meeting. The Board responded to items 1 and 2 the very next day with their Setting the Record Straight Email serving only to muddy the waters more. The other items of “concern”:
GROUP OF HOMEOWNERS: What is the HOA doing to stop the increasing disturbances? DMHOC: Nothing because the disturbances are not increasing and in fact, are negligible.
GROUP OF HOMEOWNERS: What is HOA doing to penalize the land owner? DMHOC: Nothing as there are no infractions rising to the any level of severity that would warrant sanctions of some kind.
GROUP OF HOMEOWNERS: How many Club Members Rent Their Homes? DMHOC: Glad you asked. Approximately 75% of those renting, or 115 houses, belong to Club members. The remaining homes are being rented by non-Club members. Only 17% of Desert Mountain Homeowners who are not club members are currently renting their homes.
Other homeowners weighed in as a result of this email circulation and we offer the below as the DMHOC response to those circulated messages.
Concerns expressed by proponents of rent restrictions:
Despite the facts, there are owners/Club members who have expressed concerns that Short-Term Rentals present serious security issues, risks DM becoming prey to ‘the rental industry’, promote ‘party houses’, degrades property values and the DM Brand, allows strangers to come onto property & offering rates less than hotels and finally has resulted in Club abuses. All of these concerns have been previously addressed and the facts bely these claims. However, a summary follows:
• Of the 287 security calls in the past 5 years (out of approximately 7000) 97% were routine and cannot be linked to a Short-Term Rental. Any visiting family, guests or friends always present potential security risks.
• What is meant by the ‘rental industry’? Only about 8% of DM homes are offered for rent and only occasionally and only a few of these are for short-term rental. The majority of these are offered by individual homeowners for a variety of reasons. Some do not wish to have their properties unoccupied until they can become a full-time resident of DM but wish to visit frequently. Others need to defray some of their costs. This would include funds to maintain Club memberships. Thus, a good portion of the monies collected go right back into DM.
There might be a few investors in the mix – but a very few. And, any rental infractions can be handled per the authority of the current Declarations, without ‘hurting’ the many responsible homeowners who choose to rent their properties. The Club has promoted Short-Term Rentals over the years. Many sales and Club memberships have resulted. Desert Mountain is not at risk of becoming a ‘rental community’. There is no specific ‘rental industry’ – just individuals like you and me.
• What about party houses? There have been a handful of reports in which groups other than single family units have rented properties, where these have been disturbing to neighbors. Again, the CC&Rs address this abuse clearly and it need merely be ‘enforced’.
• What about property values and the DM Brand? Property values have been declining for DM properties for some time as compared to those right outside our gates. DM properties on average have been pricier than surrounding neighborhoods. The Club maintenance costs attached to most homes for sale may give pause to many buyers – especially millennials. The affluent baby boomer generation is beginning to shrink. International buyers have many options and DM being perceived as an ‘unwelcoming’ community will serve to discourage. When enforcing the CC&Rs for leasing standards will resolve rental concerns, eliminating property rights will not help to attract buyers.
The DM Brand is solid. DM IS an exclusive community – period. Excluding outsiders hurts potential sales and Club memberships. For the Club and community’s survival DM must focus on being the finest golf and recreational real estate development in North America. To be sustainable, DM should welcome visitors, celebrate diversity, and make them feel part of something really special.
• What about permitting ‘strangers’ onto DM and offering rates less than hotels. Just as homeowners may use their properties to host family, friends and guests – so may they host renters whom they have vetted so thoroughly as to be classified as guests. It is a misconception to believe that brokers or DMMA would vet tenants better than a homeowner would for their beloved property. There are very few instances in which bookings are ‘automatic’. For these few instances, the CC&R leasing standards can be enforced to ensure proper use and conduct. DMMA can take steps to eliminate ‘automatic’ bookings.
Typically, homes at DM are offered for a steep price and select for a higher caliber tenant. For those few instances in which pricing seems below average – we can monitor for problems and target these owners as may be needed.
• Club abuses by short-term renters. The Club has mechanisms to screen for unauthorized users and can hold owners accountable who are violating the rules. It turns out that many complaints involved owners’ family & guests who do not follow Club rules or exhibit common manners. The HOA has no authority over the Club’s activities. Denying ‘access’ to short-term renters to DM grounds will not resolve issues.
Taking away DM homeowners’ property rights will not resolve any of the above and will only ‘hurt’ the majority of responsible homeowners. It is far more reasonable to target offending owners via the CC&R authority for any abuses, rather than to apply a ‘one size fits all’ approach that is, in fact, counterproductive to future sales and Club memberships. Those who wanted a more ‘restrictive’ community need have addressed that at the time of their purchase. Most bought properties understanding the provisions of the CC&Rs and were attracted to not only the many features of DM but its non-intrusive HOA.
Excluding outsiders from any source hurts potential sales and Club memberships. For the Club and community’s survival DM must focus on being the finest golf and recreational real estate development in North America. To be sustainable, DM should welcome visitors, celebrate diversity, and make them feel part of something really special.
Desert Mountain Homeowners Coalition 