Demand for short-term rentals like Airbnbs has Murray changing its city policy. 

The Murray City Council voted on a new ordinance that would officially allow and regulate short-term rentals within city limits, following years of debate on the issue. 

Murray wants to address Airbnb demand but doesn’t want to lose a bunch of homes to Airbnb and create a housing crunch, so city leaders came up with a balance and passed an ordinance 4-1 allowing some short-term rentals. 

The council previously discussed short-rental regulations in 2021, but ultimately didn’t pass an ordinance. 

Now, starting in January, people can legally own and operate one type of short-term rental in Murray. During a City Council meeting, Planning Division Manager Zachary Smallwood gave the council his proposal for which type they should allow. 

“Right now, all we’re proposing is ‘hosted sharing,’ which means owners are present during the guest stay,” Smallwood said. 

That means traditional Airbnbs – which allow renting the whole house while the homeowner is gone – still won’t be allowed, but Murray didn’t want to outlaw them altogether. 

“We understand that some people need to rent out a room every once in a while, so we want to allow people to do that,” Smallwood said. 

In recent months, the city has been grappling with what to do with short-term rentals, with some council members expressing concern over the impact of short-term rentals on housing affordability, echoing similar debates happening across Salt Lake County. Now, city leaders think they’ve got it figured out. 

“It will require a permit through the city, and it will allow you to rent a portion of your home for less than 30 days,” Smallwood said. 

Residents say Murray’s convenient location and community make it an attractive place for short-term rentals. 

Many support regulating short-term rentals rather than keeping them entirely illegal. 

Currently, Murray allows only long-term rental properties – those renting for over 30 days – and prohibits short-term rentals. But Smallwood estimates there are between 150 and 400 short-term rentals operating in the city, depending on the time of year. 

The city plans to grandfather in other types of Airbnbs already in Murray but not allow any more. City leaders figure they need to get ahead of it now because they heard the state legislature is planning to address short-term rentals in the spring. λ