[Tea Party Terrorist]

That is exactly right and that’s why many HOA rules prohibit short term rentals.

But is it the Gov’t right to say if you can rent out your property for a short term rental? This has nothing to do with protecting property values, but in protecting hotel owners and collecting taxes.

[Alberta's Child]

In many jurisdictions a short-term rental is considered a commercial land use, not a residential one. That can make a huge difference for any legal considerations, even aside from the revenue/tax side of it.

Homeowners who use their homes for short-term rentals should realize that other outside parties may have something to say about it, too. For example, your homeowners' insurance policy may clearly prohibit this type of arrangement. Your mortgage may also be at risk, if you have been extended a residential mortgage that has clear terms and conditions that govern the use of the property.