Wildfire Risk and Homeowners Insurance in Rim Country
By Dennis Riccio, President, Central Arizona Association of REALTORS®
Short-term rentals remain one of the most discussed topics among Rim Country property owners, brokers, and local officials. With strong investor demand on one side and rising community concerns on the other, STRs have become a defining issue for how our region grows. Their influence on the Rim Country real estate market is unmistakable. Across Payson, Pine, Strawberry, and surrounding communities, investor interest remains steady. AirDNA data shows nearly 650 active STR listings across the region, supported by strong visitor demand, a $223 average daily rate, and an annual revenue average of $36,000. For many buyers, these numbers reinforce Rim Country as an attractive STR market.
To give this scale some context for brokers: as of December 9, 2025, there are 377 active residential listings in the entire Rim Country MLS footprint, including Payson, Pine, Strawberry, Star Valley, Tonto Basin, Young, and others. With roughly 377 active residential listings in the MLS and nearly 650 active STRs across the region, short-term rentals now outnumber traditional listings by a wide margin, an imbalance that few other markets in Arizona experience. This contrast underscores how significantly STRs influence local housing availability and neighborhood character, particularly in communities like Pine and Strawberry, where residents increasingly express concern about noise, turnover, parking pressure, and affordability.
From Pine to Strawberry and Star Valley, many full-time residents report feeling the effects of increased STR density: more frequent turnover, additional vehicle traffic, and a shift away from the quiet-neighborhood character that drew them here. These concerns are legitimate, and acknowledging them helps us provide better guidance to our clients.
At the national level, the National Association of REALTORS® provides helpful guidance for balancing these realities. NAR affirms that property owners have the right to rent their homes on a short-term basis as an extension of fundamental property rights. At the same time, NAR supports reasonable local regulation that addresses legitimate community impacts, including health, safety, nuisance, and neighborhood integrity. In essence, NAR’s stance is: protect property rights while encouraging responsible operation and thoughtful regulation.
Our own Arizona REALTORS® lobbyist has shared that AAR’s position mirrors this approach. The association is generally supportive of STRs as a matter of property rights but is “pro, in a measured way”, noting that irresponsible operators pose the biggest threat to the industry. Bad actors don’t just disrupt neighborhoods; they invite restrictive regulation that harms both responsible owners and future buyers. This aligns closely with the dynamics we see in Rim Country.
In addition to national and state policy perspectives, our local market data paints a clear picture of how STR activity is evolving in Rim Country. Local data further reinforces the need for a balanced perspective. More than 55 percent of STRs are available year-round, meaning a majority function as full-time income-producing properties rather than occasional vacation homes. Only 18 percent are rented fewer than 90 nights a year.
Why this matters: This chart helps brokers understand how deeply STRs are embedded in our regional housing stock, and why residents feel their presence so strongly.
Minimum-stay patterns also shape neighborhood experience. Nearly 64 percent of STRs allow two-night stays, and over 20 percent allow one-night bookings—conditions that often increase guest turnover, cleaning traffic, parking demand, and noise levels.
Why this matters: This chart gives brokers a clear visual tool for explaining how booking behavior contributes to both market performance and community tension.
As real estate professionals, we are uniquely positioned to guide buyers toward responsible STR ownership. That includes counseling clients on quiet-hour expectations, parking limitations, fire safety considerations, septic realities, trash handling, and the benefits of professional property management. These conversations reduce conflicts, protect neighborhood character, and support sustainable growth in our tourism-driven economy.
Rim Country is a unique place: valued by long-time residents, welcomed by newcomers, and enjoyed by visitors from across the state. Sustaining that balance requires professionalism, data-driven insights, and a commitment to good stewardship. By helping clients understand both their rights and their responsibilities, we uphold the values of our industry and the quality of life that makes Rim Country special. CAAR will continue to support data-driven decision-making, responsible ownership, and open dialogue to ensure Rim Country remains a place where residents, visitors, and investors all thrive.
Dennis Riccio
President, Central Arizona Association of REALTORS®
Interested in what CAAR does and how you can get involved? Contact us below to talk to our team.