Well, if you rent a 2-3 bedroom apartment at 75% of hotel rates, you can make a lot of $$ in the extended summer season for vacationers = shop local, cook in kitchen. For the dead season you can rent to tech educators, week/month by week/month at 50% of hotel rates. This things were bought with corporate loans at 1.5% = they make a lot. A bit less now as rates floated up. Local managers runs the show, clean etc, you even charge a cleaning fee as they depart. Hotels are screaming - how does the city find them, the cities hate them? They would need an army of inspectors with repeated visits etc. The B&B and corporate types make sure they do not rent to party groups. These stealth rentals have locked up 10-15% or rentals are are one of the major driving factors in the housing shortage. Business taxes and hotel taxes are one way. Hotels pay both of these in addition to realty taxes.