2023 SUPER BOWL Expectations and Reality for Hosts and Guests
September 30, 2022
Shamile Botzman- Psy. D, SFR, E-PRO, CCIM
Agenty CRE-By Cluff RE
2021 Commercial Real Estate Broker of the Year
Welcome to investors’ paradise. This thought is first to mind when the Phoenix market gets brought up among investors’ conversations. There is no doubt that the beautiful year-round weather, hiking trails, over three hundred highly ranked golf courses, nightlife, great dining, and sporting events make Phoenix one of the best places to live, retire and vacation.
The latter has persuaded investor landlords into becoming hosts, with thousands of active short-term rental listings ready to face the Super Bowl tourism demand. Let’s discuss how to prepare if you are planning to host or rent a short-term rental.
How will the Super Bowl impact Arizona in 2023?
In 2015, Arizona hosted the Super Bowl reporting $1.2 million in host-generated income during the big game weekend, Airbnb spokesman Haven Thorn reported.
With increasing demand for sporting events, we see a significant income projection for hosts. The city will reap the benefits of high economic output in the form of job and tax revenue created by the visitors this upcoming February.
Short-term rentals are forecasted to contribute $180 million in economic activity citywide. Airbnb booking numbers skyrocketed to a record 102.1 million during the 2022 first quarter bookings per the company financial records.
Short- term rentals statewide generated $2.8 B in income, supported 75,000 jobs in 2021 and visitor activity contributed over $6.6B to Arizona’s economy, according to the statistical report completed by Arizona-based Rounds Consulting Group.
“I am banking on the high demand of the Super Bowl peak to recover from the slow season we have during the last few months. Maintaining good cleaning standards, providing plenty of amenities, and keeping a good rating so ensure future bookings”, said Cindy Herrera, the manager of a four-bedroom Airbnb in Glendale.
How Much is My House Worth During Super Bowl Week?
Both the hospitality industry and short-term rental hosts are already starting to see booking requests. Hotels in the Glendale and Peoria area almost sold out of rooms, according to Expedia and Priceline search engines.
Currently Glendale’s Airbnb results near the State Farm Stadium show 639 properties available as of September 4. Pricing varies drastically based on number of guests at a starting average price of $1900 a night to a larger home in the same area running you $14000 a night. Make note that pricing varies per area and amenities available. Some hosts have even decided to include vehicle access during the Super Bowl and the Waste Management Open for an additional cost as a convenience add on.
Making the Experience Memorable for All.
Many homeowners have entertained renting their personal properties for the upcoming sporting events. Future hosts can potentially face serious consequences should they lack the information in the subject of renting properties that can only be used for residential use.
Early on, short-term rental properties in Arizona had very few limitations. Gov. Doug Ducey signed a law in 2016 preventing municipalities from placing restrictions on such rentals. Law makers since then have approved a bill to restrict large events in 2019.
Glendale has approved new rules through their City Council whereby short-term rentals and vacation homes are required to be registered and licensed as of June 2022. Paradise Valley and Scottsdale are enacting similar legislation.
When deciding to become a short-term rental host it is important to be aware of the ordinances that may restrict your hosting ability.
In some cities, owners are required to provide contact information in case of a disturbance. Glendale could issue fines and financial penalties for nuisance by law enforcement if a disturbance is reported. The City of Scottsdale has recently adopted similar ordinances and regulations to follow.
“The goal of the bills, laws and City ordinances is to create healthy parameters to protect both neighbors and the vacation rental industry”, stated Senator Mesnard.
Potential future hosts are urged to consult their tax advisor, insurance agent, and all city regulations to safely venture in the hospitality industry.
Shamile Botzman is owner and founder of Agenty CRE- Powered by Cluff Re Brokerage. She is a multiyear and nationally recognized as a Commercial Broker of the Year and Residential Agent of the Year by many organizations. As an investor herself and owner of both short term and long-term rentals across the state she recognized the importance of having an expert guide you in this process.