The following letter was sent to Gov. John Carney, with a copy submitted to the Cape Gazette for publication.
We are writing on behalf of the Sussex County Association of Realtors, its executive committee of the board of directors, and its 1,724 Realtors and affiliate members to urge that you reconsider your position limiting short-term rentals to in-state renters only, and instead allow rentals by out-of-state residents, with appropriate safety measures, as well.
In addition, we request that you remove the self-quarantine requirement. Renters are coming from areas that have, in many cases, more strict shelter-in-place orders than ours. This policy change would allow rental guests with a contract for a three-month or less period to enjoy the attractions that made them choose to spend time here in Delaware, rather than go to a neighboring state, perhaps never to return.
In a press briefing, you referred to the short-term rental market as “a tool” to limit the number of individuals on the beaches you’ve now opened. Use of this “tool” will have far-reaching, profound, irreversible consequences to real Delawareans - ones which could be catastrophic for coastal businesses and property owners.
You see, our concern goes beyond the considerable, long-term, negative effects on the real estate industry’s brokers and agents, and extends to the property owners who have invested in the communities, to the consumers (our short-term renters), and the countless other small businesses that depend on leisure travelers and the short-term housing available at the beach. House cleaners, restaurants and other service providers already hit hard by the COVID-19 pandemic will further suffer if the prohibition on out-of-state short-term rentals continues.
Without modification of your order, all of these core beach economic groups will experience a terrific loss. For property owners, not only is revenue lost from our local area but also to the area where they reside: Money lost here equals money not spent in their home areas.
Consumers have planned, saved for, and look forward to their well-earned time at the beach - and may not be able to recoup deposits they have paid for a property booked as much as a year in advance. It’s hard to calculate the catastrophic long-term effects of revenue lost to the ancillary businesses that rely on our visitors. Summer visitors are the lifeblood that keeps coastal Delaware’s economic engine running.
Further impact comes to our overall industry as this current approach jeopardizes our buy/sell market. Many of those who come to visit for short periods of time ultimately turn into vacation or investment home buyers or new primary residents and bring revenues to the state in the form of real estate transfer tax, property taxes, and other supportive fees experienced by our towns, county, and state.
SCAOR’s Public Policy and Rental Affairs Committees have worked together to compile recommendations for safe practices and procedures available for all short-term rental brokerages and agents, and these are currently being employed throughout coastal Sussex.
Further, these two committees have been working to seek out best practices from other resort areas to ensure consistency for the health and safety of our guests, brokerages, agents, staff, and communities.
The members of SCAOR have always been and continue to be committed to the positive growth, health, and overall welfare of the communities they serve.
We look forward to the opportunity to have more dialogue regarding our request. We can be reached by phone by calling Sandi at 302-228-8625 or Patricia at 302-855-2300, or via email at sandi.bisgood@oasir.net and patricia@scaor.com.
Sandi Bisgood
president, Sussex County Association of Realtors
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