Jessica Webb
editor@thesmokymountaintimes.com
If you answered the housing survey for Swain County recently, you may have noticed a few questions asking if you knew of property that could be used as a long-term rental that is either in need of repair or currently being used as a short-term rental. These questions were a first step in a plan from the Swain County housing committee to work up a solution to address the need for more workforce housing.
Committee members met on Tuesday, Aug. 2, and Isaac Herrin shared sample letters that could go to property owners and the proposed plan the committee will bring before the Swain County Board of Commissioners.
The first letter reviews the need for workforce housing and the committee’s goal to match people with affordable housing in the county to help the local labor market. The goal is to increase long-term rentals in the county by 40 homes by the end of 2022.
A second letter reveals more details about the program and a third letter stressed how it would benefit the property owners.
The proposed plan is to incentivize vacant homeowners to turn the vacant homes into income-producing long-term rentals. Second homeowners with short-term rentals that aren’t high performing as well as people who have homes that are not in use will be invited to participate. The goal is to include properties that would work for the model, generally those with tax values under $250,000, according to Herrin.
The incentive is $2,500 stipend to use for capital improvements for the long-term rentals. The housing committee is proposing the funding for this come from the Swain County Tourism and Development Authority and includes a $50,000 umbrella fund that would be set aside to cover any damages to the homes that go beyond the deposits and insurance policies.
Repairs for properties would be approved by the housing committee before the funds were allocated.
Such projects could include needed updates and repairs such as grading driveways or new appliances. These properties would then become long-term rentals for at least 18 months.
If adopted the county commissioners would select a local licensed property management company for the program and both the property owners and renters would sign an agreement.
“If the people don’t pay their rent, what happens?” asked Gina Wiggins.
“That’s the duty of the property manager to begin an eviction,” Herrin said.
The other piece for this plan to work is to promote the properties to people in the local workforce in need of housing and have the homeowners agree to the proposed pricing model.
“They’d also be buying into this pricing model,” Herrin said. “I think that’s affordable in today’s market.”
The homes have to be in living condition and maintained and the property manager would be charged with checking properties to make sure tenants are respecting the properties.
“People are desperate for a place to live because they are people are selling their houses or turning it into a short-term rental,” Wiggins said.
She was not sure property owners would like the proposed funding model.
“Even though I think it is affordable, you should add $50 onto the bedrooms,” she said.
The proposed pricing model begins at $575 for a one-bedroom, one-bath and would be $875 for a three-bedroom, two-bathroom.
With committee approval, the proposal is set to go before county commissioners next month.