Short-Term Rentals in Fort Collins, CO

If you live in Fort Collins or are thinking about moving there, short-term rentals are one of those things you probably won't think about until they affect you directly. Fort Collins has 9 specific rules on the books covering different aspects of short-term rentals, and some of them might surprise you.

Repeat Violator Strikes

Fort Collins does not use a strikes system for short term rentals; a single revocation locks the dwelling out for a full year. Sec. 15-649(c) bars the property from getting a new license for twelve months after any revocation, regardless of who owns it.

Key details: Governing section: City Code Sec. 15-649(c). Ineligibility period: One year from date of revocation. Applies to: The dwelling unit, not just the licensee. Alternative to revocation: Conditional suspension under Sec. 15-649(b). Enforcing officer: Director of Community Development and Neighborhood Services.

Fraud, tax noncompliance, or failure to meet license terms under Sec. 15-649(a) can result in suspension, revocation, or non-renewal. A revocation triggers the one-year dwelling-unit ineligibility in Sec. 15-649(c), and Sec. 15-650 separately allows a fine or imprisonment under the general penalty in Sec. 1-15 for violating any Article XVIII provision.

Compared to other cities, Fort Collins takes a harder line on repeat violator strikes. The enforcement and penalty structure reflects that.

Short-Term Rental Parking Rules

Every short term rental license in Fort Collins is conditioned on compliance with the Land Use Code's parking standard for the use. City Code Sec. 15-644 folds Land Use Code Section 5.9.1(K)(1)(k) directly into the licensing checklist, so a parking shortfall can block or cost a license just like a missing tax certificate.

Key details: Governing section: City Code Sec. 15-644(a)(3) and (b)(3). Cross-referenced standard: Land Use Code Section 5.9.1(K)(1)(k). Continuing duty: Repeated as a license condition in Sec. 15-648(3). Legacy exception: Pre-Oct. 31, 2017 applications under Sec. 15-646(b) exempt. Enforcing office: City Financial Officer and Director.

Failing to meet the Land Use Code Section 5.9.1(K)(1)(k) parking standard is a failure to comply with the terms of the license under Sec. 15-649(a)(3), which lets the Director suspend, revoke or refuse to renew the license. A revoked license bars the dwelling from a new short term rental license for one year per Sec. 15-649(c), and Sec. 15-650 exposes a licensee who keeps operating in violation to a fine or imprisonment under the general penalty in Sec. 1-15.

Taxes & Fees

Short term rental hosts in Fort Collins must hold sales, use, and lodging tax licenses before they can get a rental license under City Code § 15-644(a)(2). The City's lodging tax runs three percent of the nightly price under § 25-242, on top of sales tax, and lodging providers file a return with the Financial Officer by the 20th of every month.

Key details: Lodging tax rate: 3 percent of the lodging price, § 25-242. Prerequisite licenses: Sales, use, and lodging tax licenses required. Filing deadline: Monthly return due the 20th, § 25-250. Lodging license fee: No fee for the lodging provider license. Revenue use: 75% tourism promotion, 25% cultural programming.

Failing to obtain or maintain the sales, use, and lodging tax licenses, or failing to remit the taxes collected, is grounds for the Director to suspend, revoke, or refuse to renew the short term rental license under § 15-649(a)(2). Separately, engaging in the lodging business without the lodging provider's license required by § 25-245 is its own violation under § 25-249, punishable under § 1-15, independent of any action against the rental license itself.

Insurance Requirements

Fort Collins will not license a short term rental until the owner proves liability insurance covering renter injuries. City Code Sec. 15-644 sets this as a minimum licensing requirement for both primary and non-primary short term rentals, with the required coverage limits fixed by administrative regulation, not left to the applicant's discretion.

Key details: Governing section: City Code Sec. 15-644(a)(5) and (b)(5). Coverage limit source: Set by administrative regulation under Sec. 15-651. Ongoing duty: Insurance must stay active for entire license term. Enforcement: Financial Officer and Director of Community Development. Consequence of lapse: Suspension, revocation, or non-renewal under Sec. 15-649.

Operating a licensed short term rental without current liability insurance breaches Sec. 15-644 and Sec. 15-648(7), giving the Director grounds under Sec. 15-649(a)(3) to suspend, revoke or refuse to renew the license. A revoked license makes the dwelling ineligible for a new short term rental license for one year under Sec. 15-649(c). Sec. 15-650 also allows a fine or imprisonment under the general penalty at Sec. 1-15 for any Article violation, on top of the licensing consequences.

Primary-Residence-Only Rule

A short term primary rental license in Fort Collins can only go to the owner of a dwelling that is actually that owner's own home. Sec. 15-644(a)(1) demands documentation proving both ownership and occupancy, and Sec. 15-641 defines primary residence as nine or more months of the year, only one at a time.

Key details: Governing section: City Code Sec. 15-644(a)(1). Primary residence definition: 9+ months per year, Sec. 15-641. Only one primary residence: At a time, per statutory definition. ADU eligibility: Allowed if on same lot as primary residence. Re-verified: At every annual renewal under Sec. 15-647(b).

Submitting false or misleading documentation of ownership or residency is fraud or material misrepresentation under Sec. 15-649(a)(1), which authorizes the Director to suspend, revoke or refuse to renew the license outright. A revoked license leaves the dwelling ineligible for a new license for one year under Sec. 15-649(c), and Sec. 15-650 adds fine or imprisonment exposure under the general penalty at Sec. 1-15 for the licensing violation itself.

Short-Term Rental Permits

No one may rent out a Fort Collins dwelling for stays under 30 days without a City license. City Code § 15-642 requires the license before any short term primary or non-primary rental, and § 15-644 sets minimum requirements: ownership documentation, sales and lodging tax licenses, code compliance, and a fire and safety inspection.

Key details: License required: Before any stay under 30 days, § 15-642. Two license types: Primary rental and non-primary rental, different criteria. Tax prerequisite: Must hold sales, use, and lodging tax licenses. Term: Issued through December 31; renew annually. Transfer: Not transferable; ends when property is sold.

Renting a dwelling as a short term rental without the license is a violation of § 15-642 in its own right, on top of the general penalty in § 15-650, which allows a fine or imprisonment under § 1-15 and lets the City pursue any other legal remedy. The Director can also suspend, revoke, or refuse to renew a license under § 15-649 for fraud or misrepresentation on the application, failure to hold the required tax licenses, or noncompliance with the Article; a revoked license makes that dwelling ineligible for a new one for one year.

This is not one of those rules that cities tend to ignore. Fort Collins actively enforces its short-term rental permits requirements.

Host Presence Rule

Fort Collins requires every licensed short term rental to have a responsible person on call. City Code § 15-644(a)(7) makes the applicant name at least one person able to reach the property and respond to any renter or City complaint within four hours, at all times the unit is being rented, whether or not the host lives on site.

Key details: Response window: Four hours, any time unit is occupied by renters. Applies to: Both primary and non-primary rental licenses. Contact must have: Property access and decision-making authority. Ongoing duty: Phone number given to renter and City, § 15-648(6). Enforcement: License suspension or revocation under § 15-649.

Failing to identify a responsive contact, or failing to keep that contact reachable within four hours as § 15-648(6) requires, is a licensing violation the Director can act on under § 15-649(a)(3) for noncompliance with the Article, leading to suspension, revocation, or nonrenewal of the short term rental license after notice. A licensee who continues operating during a suspension, or after revocation, is separately punishable by fine or imprisonment under § 15-650 and § 1-15.

Noise Rules

A Fort Collins short term rental license is conditioned on following the City's Nuisances chapter, and that chapter fixes hard decibel ceilings by zoning district and time of day. Sec. 15-648(3) folds Chapter 20 into every license, and Sec. 20-23 sets the actual noise limits a licensee's guests must not exceed.

Key details: STR compliance mandate: Sec. 15-648(3), incorporates Chapter 20. Residential noise cap: 55 dB(A) day / 50 dB(A) night, Sec. 20-23(a). Measurement method: Sound level meter per Sec. 20-24. Consequence: License suspension/revocation under Sec. 15-649. Chapter: Chapter 20, Article II - Noise.

A Sec. 20-23 noise violation traced to a licensed short term rental breaches the Sec. 15-648(3) license condition, exposing the license to suspension, revocation or non-renewal under Sec. 15-649(a)(3). Separately, Chapter 20 noise violations carry their own penalty under Sec. 20-29, and Sec. 15-650 allows a fine or imprisonment under the general penalty in Sec. 1-15 for the licensing breach.

Occupancy Limits

Fort Collins does not cap the number of guests an STR can host by ordinance; instead it regulates building occupancy classification. A short term rental inside a multi-unit building may only operate if the whole structure meets R-1 Occupancy Building fire and life-safety standards under Sec. 15-647(d).

Key details: Governing section: City Code Sec. 15-647(d). Standard applied: R-1 Occupancy Building, International Building Code. No numeric guest cap: Ordinance sets building class, not headcount. Legacy alternate standard: Pre-Sept. 13, 2019 licenses, Sec. 15-648(4). Grandfather ends: At sale or ownership transfer, Sec. 15-647(e).

Operating a multi-unit short term rental in a structure that fails to meet R-1 Occupancy Building standards, without qualifying for the pre-September 2019 alternate standards, violates Sec. 15-647(d) and is grounds for suspension, revocation or non-renewal under Sec. 15-649(a)(3). Sec. 15-650 additionally exposes the licensee to a fine or imprisonment under the general penalty at Sec. 1-15.

The Bottom Line

Fort Collins is tougher than many cities when it comes to short-term rentals. Out of the 9 rules covered here, 2 are rated strict. If you are a homeowner, renter, or business owner in Fort Collins, take the time to understand these requirements before they become a problem. Most violations come with fines, and some repeat violations can escalate.

This guide is based on Fort Collins's current municipal code. Local rules can and do change, so check the individual ordinance pages for the latest details, penalties, and FAQs.