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As Home Sharing Increases In Popularity, Denver Cracks Down On Home Owners

Air Bnb
Airbnb host greets guest

Home sharing services have become very popular in Colorado, and local municipalities are paying attention. Between Feb. 20 – 24, more than 1,000 notices were mailed to Denver hosts for being in violation of a city ordinance. The ordinance, passed last June, require hosts to have short-term rental licenses and collect Denver’s 10.75 percent lodging tax.

Once hosts obtain a license, they must post it on their listing in order to avoid any fines. The license fee is $25, and the fines for failing to obtain a license can range from $150 to nearly $1,000.

Recipients of the notices have 14 days to respond.

Home sharing services such as Airbnb and HomeAway allow homeowners to rent out rooms -- or even  their entire homes -- to people. Usually, these are short-term rentals taken out for a vacation in lieu of more traditional options such as a hotel or cabin.

According to statistics from Airbnb, Denver is the most active host city in Colorado. Number two on the list is Boulder, which saw a nearly 90 percent increase of users and renters over the previous year and represented more business than the rest of Boulder County combined.

Airbnb has become a significant source of income for many Boulder County residents, with seven communities reporting nearly $14 million in revenue in the past year.

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