Consultants tell Sedona council short‑term rentals shape prices but data limit clear workforce impact

Consultants from Rounds Consulting Group presented an expanded analysis of short‑term rentals and housing affordability at a Sedona City Council discussion, urging more data work and offering policy options while warning of limits in the models. The presentation was delivered by James (Jim) of Rounds and data analyst Ethan; city staff including Annette and licensing staff Teresa participated.

The consultants told the council that Sedona is “very unique,” and that the city’s visitor and retiree population complicate the standard housing‑affordability calculations. Jim said the analysis identified patterns the firm expected and some it did not, and that the team expanded its original scope to address workforce housing in addition to the initial question about price effects from short‑term rentals (STRs).

Why it matters: city staff and councilors are weighing whether local policy or state‑level fixes should be pursued. Rounds reported that roughly 18% of housing units were identified as STRs in one city dataset, but city staff and some councilors said an adjusted measure that excludes gated HOAs and other non‑convertible parcels could show concentrations “between 30 and 35 percent” in some neighborhoods — a difference councilors said would affect the political case for change.

Key findings and…