YELLOW tier · AZ

Sedona

Sedona / Verde Valley

Thesis

Premium red-rock destination. AZ state preemption blocks STR bans but SB 1168 (2022) restored local permitting teeth. Sedona has weaponized that — $210/yr permit, $500-$3,500 fines, neighbor notification, $500K insurance, declared housing emergency Feb 2025 blaming STRs. ADR premium ($325 median, $463 peak Oct) but rent has caught up. Best angle: VOCA (Yavapai unincorporated) post-Apr 2026 ruling voiding HOA STR ban.

Regulatory note

State preemption guarantees by-right STR in residential zones, but Sedona is the most aggressive enforcement city in AZ — declared housing emergency Feb 2025, $500-$3,500 fines, March 2025 amendments tightened per-unit permits and killed late-renewal grace. Margin compression real as rent caught up to ADR.

Coming soon

Sedona deep-dive: full report ships with your first pack.

Permitted zones, banned zones, HOA-permissive buildings, friendly PMs, ADR/LTR benchmarks, seasonality, and red flags — all delivered alongside your 50 ranked leads.