Austin Short-Term Rental Regulations

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Permit & Licensing

Short-Term Rental Operator's License

Renewal: a maximum of two years from the date of issuance, subject to a onetime extension of 30 days at the discretion of the director

Application Process

To obtain a new operator license, a person must apply on a form approved by the director and pay any fees required by this chapter. At a minimum, an applicant must provide the following information: a certification by the applicant and the applicant's agent that the housing unit is not subject to outstanding City Code or state law violations; the applicant's name, street address, mailing address, electronic mail address, and telephone number; the local contact's name, street address, mailing address, electronic mail address, and telephone number; the proposed short-term rental's street address; a self-certified safety checklist; the name of each platform that will be used to advertise or promote the short-term rental; proof that a lessee applicant is responsible for payment of utilities; authorization from the owner in a form to be prescribed by the director. The director must provide notice to each property located within 100 feet of the short-term rental. An operator must own or lease the housing unit that will be operated as a short-term rental.

Tax Obligations

Collection: Hotel owners, operators or managers must collect state hotel occupancy tax from their guests who rent a room or space in a hotel costing $15 or more each day. Persons leasing their houses must collect hotel occupancy tax from their customers in the same way a hotel or motel collects the tax from its guests. Property management companies, online travel companies and other third-party rental companies may also be responsible for collecting the tax.

Filing: Reports and payments are due on the last day of the month following each quarterly reporting period.

Zoning & Restrictions

In February 2025, the Austin City Council adopted changes that made STRs an additional (accessory) use to all residential uses in all zoning districts as long as they have a valid operating license.

Insurance & Safety

Insurance

Insurance is not required by Austin.

Safety & Operating Requirements

• An applicant must provide a self-certified safety checklist. An operator must make a list of fire extinguisher locations in the short-term rental available to each guest. A short-term rental must be habitable. Before issuing an operator's license, the director may require the applicant to obtain a third-party inspection that demonstrates the housing unit does not pose a hazard to life, health, or public safety when the short-term rental is the subject of one or more state law or City Code violations within the prior 24 months.

Penalties for Non-Compliance

• A person who violates a provision of this chapter is guilty of a separate offense for each day the violation of this chapter continues. Each offense is punishable by a fine not to exceed $500. A culpable mental state is not required and need not be proved. The director may issue a delist notice for a short-term rental if the director determines that the short-term rental is not the subject of a valid license.

Platform Requirements

A platform must require each user to include a license number in a short-term rental advertisement or promotion on the platform. A platform must remove an advertisement or promotion for a short-term rental within 10 days from the date the director sends a delist notice. A platform must make documentation available to users that demonstrates the amount of hotel occupancy taxes collected on behalf of the user. The documentation must be accessible to a user on at least a quarterly basis. A platform may not accept a fee to facilitate a booking for a short-term rental if the short-term rental is not the subject of a valid operator's license.

Compliance Checklist

1. Meet the safety requirements
   • An applicant must provide a self-certified safety checklist. An operator must make a list of fire extinguisher locations in the short-term rental available to each guest. A short-term rental must be habitable. Before issuing an operator's license, the director may require the applicant to obtain a third-party inspection that demonstrates the housing unit does not pose a hazard to life, health, or public safety when the short-term rental is the subject of one or more state law or City Code violations within the prior 24 months.
2. Apply for the permit
   • $836.30
   • How to apply: To obtain a new operator license, a person must apply on a form approved by the director and pay any fees required by this chapter. At a minimum, an applicant must provide the following information: a certification by the applicant and the applicant's agent that the housing unit is not subject to outstanding City Code or state law violations; the applicant's name, street address, mailing address, electronic mail address, and telephone number; the local contact's name, street address, mailing address, electronic mail address, and telephone number; the proposed short-term rental's street address; a self-certified safety checklist; the name of each platform that will be used to advertise or promote the short-term rental; proof that a lessee applicant is responsible for payment of utilities; authorization from the owner in a form to be prescribed by the director. The director must provide notice to each property located within 100 feet of the short-term rental. An operator must own or lease the housing unit that will be operated as a short-term rental.
3. Collect and remit tax
   • Filing schedule: Reports and payments are due on the last day of the month following each quarterly reporting period.
   • How the tax is collected: Hotel owners, operators or managers must collect state hotel occupancy tax from their guests who rent a room or space in a hotel costing $15 or more each day. Persons leasing their houses must collect hotel occupancy tax from their customers in the same way a hotel or motel collects the tax from its guests. Property management companies, online travel companies and other third-party rental companies may also be responsible for collecting the tax.
4. Renew your permit
   • $385.30
   • Renewal period: a maximum of two years from the date of issuance, subject to a onetime extension of 30 days at the discretion of the director

Frequently Asked Questions

Do you need a permit to run a short-term rental in Austin?

Yes.

Permit: Short-Term Rental Operator's License

How to apply: To obtain a new operator license, a person must apply on a form approved by the director and pay any fees required by this chapter. At a minimum, an applicant must provide the following information: a certification by the applicant and the applicant's agent that the housing unit is not subject to outstanding City Code or state law violations; the applicant's name, street address, mailing address, electronic mail address, and telephone number; the local contact's name, street address, mailing address, electronic mail address, and telephone number; the proposed short-term rental's street address; a self-certified safety checklist; the name of each platform that will be used to advertise or promote the short-term rental; proof that a lessee applicant is responsible for payment of utilities; authorization from the owner in a form to be prescribed by the director. The director must provide notice to each property located within 100 feet of the short-term rental. An operator must own or lease the housing unit that will be operated as a short-term rental.

How much does a short-term rental permit cost in Austin?

Initial fee (Short-Term Rental Operator's License): $836.30

Renewal fee (Short-Term Rental Operator's License): $385.30

Renewal period (Short-Term Rental Operator's License): a maximum of two years from the date of issuance, subject to a onetime extension of 30 days at the discretion of the director

What taxes do you pay on a short-term rental in Austin?

State Hotel Occupancy Tax: 6%

City of Austin Hotel Occupancy Tax: 11%

Filing schedule: Reports and payments are due on the last day of the month following each quarterly reporting period.

How the tax is collected: Hotel owners, operators or managers must collect state hotel occupancy tax from their guests who rent a room or space in a hotel costing $15 or more each day. Persons leasing their houses must collect hotel occupancy tax from their customers in the same way a hotel or motel collects the tax from its guests. Property management companies, online travel companies and other third-party rental companies may also be responsible for collecting the tax.

What are the penalties for short-term rental violations in Austin?

Maximum penalty: Each offense is punishable by a fine not to exceed $500. A person who violates a provision of this chapter is guilty of a separate offense for each day the violation of this chapter continues.

Penalty: A person who violates a provision of this chapter is guilty of a separate offense for each day the violation of this chapter continues. Each offense is punishable by a fine not to exceed $500. A culpable mental state is not required and need not be proved. The director may issue a delist notice for a short-term rental if the director determines that the short-term rental is not the subject of a valid license.