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Updated over 2 years ago on . Most recent reply

Short Term Rental - Neighbor Not Happy - Need Attorney Rec
Hi - I purchased a home in Sevier County last year, remodeled it, and just got it on the short term rental market. I have a COO for 12 people but listed the property on AIRBNB at 16. My neighbor, who is vehemently opposed to the short term rental called the county and apparently he has an attorney.
Does my neighbor have any type of "case"? He'd like to shut me down but other than that I am wondering what other implications there may be? It was a mistake to list it for 16 people and have since taken it down.
I'd like to start a dialouge with an attorney and may need representation at some point.
If anyone has any insights or similar experiences, particularly in TN, please let me know.
TIA,
Jeff
Most Popular Reply

Talking to the neighbor who is opposed to short-term rentals is a waste of time. He doesn't want you or it there. You're not going to change his mind - nor is it your responsibility to do so. The municipality has ordinances in place regarding its usage. But marketing your property in excess of the COO was not just wrong/code violation/more - you made yourself a target with the neighbor. His course of action against you is to file a complaint with the county and demand you be shutdown and banned from short-term renting. Can he do that? If you're violating the ordinance, absolutely - all day, any day.
My recommendations are from the lessons learned in my market where vacation rentals are highly regulated/restricted/debated - because the hotel industry is so strong here:
1. Make sure you have standing at all time - aka "be legal or be sued/shutdown."
2. Only respond to any formal municipal complaint. Chances are you're now on their monitoring list because the neighbor has reported you. Again, stay in your lane and make sure you have all documentation available to present.
3. Don't talk to the neighbors. The county has ruled on the legality of vacation rentals and the neighbors have no right to prohibit you from legally operating under the ordinance. But bad neighbors can ruin guests' vacations quickly and crash your business so be sure to book your guests under the premise that there will be no parties allowed on premises (now a requirement of AirBnb) and that to disturb the neighbors will make for an unpleasant experience for all. The best way for making sure your time and money isn't spent in an endless spitting contest is not to get stupid. Overbook, market the property incorrectly, allow parties - and I can assure you that it will get ugly fast.
And, back to your "do they have a case" question...you showed intent to knowingly violate the ordinance. That will be presented to the municipality. Be sure that you have nothing online that shows anything other than 10 guests maximum.
Know this: you stuff a bunch of guests into a property to make more money and the rating you will receive will be one that does more damage to your business than the neighbor packing attorneys. Run your business and be a respected business owner or stop now. It only takes one bad operator to make it incredibly difficult on the rest of us.