Short-Term Rentals in Westminster, CO

If you live in Westminster 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. Westminster has 3 specific rules on the books covering different aspects of short-term rentals, and some of them might surprise you.

Short-Term Rental Permits

Any person offering a short-term rental in Westminster must first obtain a City license under W.M.C. 5-24-3. The license names the licensee and the licensed premises, runs two years from issuance, and terminates automatically when the property is sold, so a new owner cannot operate under the seller's license.

Key details: License required: W.M.C. 5-24-3. License term: 2 years. Renewal fee: $200.00. Limit: One STR license per applicant citywide. Appeal deadline: 20 days to SPLB.

Operating a short-term rental without a current, active license, or after a license expires or is revoked, is enforced administratively under W.M.C. Title XI and Title I, Chapter 23 (Section 5-24-9). The City may also revoke, suspend or deny renewal under 5-24-10 for fraud on the application, nuisance conditions, or noncompliance with license terms; notice is mailed and the suspension or revocation takes effect no sooner than 20 days later.

Occupancy Limits

Westminster caps how many people can occupy a short-term rental by applying the City's general dwelling occupancy standard, W.M.C. 11-12-4, to every STR under Section 5-24-8(4). The limit is calculated from habitable floor area, not a flat headcount, with set square footage required per additional occupant.

Key details: Occupancy standard: W.M.C. 11-12-4. First occupant: 150 sq ft habitable space. Each added occupant: +100 sq ft. Sleeping room: 70 sq ft + 30 sq ft/occupant. Min ceiling height: 7 feet.

Because occupancy limits are incorporated into the STR license by Section 5-24-8(4), exceeding the 11-12-4 floor-area maximum is a licensing violation for which the licensee is responsible under Section 5-24-8(B), and repeated or serious violations can lead to license suspension or revocation under Section 5-24-10, in addition to any code-enforcement action under Section 11-12-4 itself.

Taxes & Fees

Westminster charges a 7 percent accommodations tax on every short-term rental stay under W.M.C. 4-4-2, and STR licensees must collect and remit it under 5-24-7. The tax applies to the full purchase price paid for the room or unit and is imposed on the renter, not the host.

Key details: Accommodations tax rate: 7% (§4-4-2). Tax imposed on: the purchaser/guest. Vendor duty: collect and remit the tax. Effective since: January 1, 1991. STR compliance: required by §5-24-7.

A vendor who fails to collect and remit the 7 percent accommodations tax under Section 4-4-2 is subject to Title IV's general tax administration provisions, and an STR licensee's tax noncompliance is also a violation of the STR Code itself, since Section 5-24-8(B) holds the licensee responsible for any violation of applicable W.M.C. provisions, exposing the license to suspension or revocation under Section 5-24-10.

The Bottom Line

Westminster's short-term rentals rules are a mixed bag. Some areas are strict, others are relaxed, and the details matter. The best approach is to check the specific rule that applies to your situation rather than assuming Westminster is broadly strict or permissive.

All of the above reflects Westminster's municipal code as of our last review. If you need specifics on fines, exemptions, or filing requirements, the detailed ordinance pages linked above have the full breakdown.