- Special Sections
- Real Estate
In coming weeks, all residents in Mammoth will be receiving a letter from the Town of Mammoth Lakes notifying them of the existing codes as they relate to TOT, or Transient Occupancy Tax.
TOT is a 13 percent tax that applies to rentals that are under 30 days in duration. While some of the information that will be provided is new, much of it has been in effect for many years and is now going to be more strongly enforced.
The TOT tax makes up more than 60 percent of the revenue that drives the town and includes everything from paving roads and paying employees to snow removal and police protection. What is likely to follow the TOT enforcement process are future discussions on whether or not single family homes should be included as permitted nightly rentals.
As it stands, current town codes prohibit the nightly rental of most single family homes within the town of Mammothâ€™s Transient Occupancy Tax. Nearly all nightly rentals are limited to hotels and condominium units with a business license and TOT certificate.
Having spoken to many clients and fellow real estate brokers, the idea of allowing single family rentals as nightly rentals is a very mixed bag of controversy.
Some of the PROS for allowing single family homes to be rented on a nightly basis are: Possible income potential for the single family property owner, possible additional income for Town of Mammoth Lakes and added options for visitors when visiting Mammoth Lakes.
Some of the CONS for allowing single family homes to be rented on a nightly basis are: Disturbance impacts from nightly renters on full time residents, financial impacts of single family rentals on rental agencies and hotels and permanent residents not knowing who is staying in a neighboring property.