Short-term rental boom creates housing shortage in Two Harbors

So riddle me this. How does the Schultz family, being a single-income household to the best of my knowledge, with 5 kids, afford 6 rental properties in such a short period of time? Good ol’ Mayor Swanson must be handing his employees boatloads of money or maybe he is keeping all the grants secret to put his buddies on the short list for free cash.

Sad part is Swanson whines and cries at the council meetings saying we need to get past all of this nonsense and focus on things that really matter in this town, like housing. We have a complete moron as mayor. Just go away already.

Owning a home is the single biggest factor in the average person getting ahead or progressing financially. There will always be a need for long-term rentals for those who cannot qualify for loans, are young and/or not committed to a specific area indefinitely, or are unable/unwilling to do maintenance and upkeep. However, absorbing an abundance of properties that can never be bought keeps people in a renting status with no option of return in equity. Controlling the housing market also controls who gets ahead and stays ahead as well as ensuring some will never have the opportunity to try. It’s a slow kill of the community. Short-term rentals cater specifically to those who don’t and probably never will be a part of the community. If this area wants to preserve what they’ve had for so many years, they need to get a grip on the renting situation. This will become increasingly apparent if things don’t change.

Another great and timely article. Thank you!

Brilliant article. Of course, making explicit that Swanson and his cronies are ravaging Two Harbors locals is important. But so is the effect on all communities, especially the lightly populated counties of Lake and Cook.

Well done, Monitor.

I’ve been watching real estate listings over the past eight years or so, as I’ve been considering moving to the North Shore area. Being on a fixed income and currently unable to get a mortgage, I haven’t seen much of anything affordable since around 2019. As for STR’s, the problem is the great increase in popularity for vacationing. Besides the problems for people wanting to buy a home (to live in), the lack of affordable rentals for workers has greatly contributed to the labor shortage.

Some possible solutions are: County/City governments could start requiring that STR’s be owner occupied, putting an end to absentee ownership by individuals or corporations. To help with neighborhood stability, a “STR Zone” could be established as part of existing commercial areas.

Are STR’s paying the standard tax rate for commercial lodging?