Primary-Residence-Only Rule
Waco does not require every short-term rental to be an owner's primary residence. The licensing code creates three rental types, and only "short-term rental type I" and "bed and breakfast homestay" licenses require the owner or a designated operator to live in the primary structure and be present for the whole rental; type II and type III properties can be non-owner-occupied investment units.
Waco Owner-Occupied Short-Term Rental Rule
Light RestrictionsWaco, Tex., Code of Ordinances § 13-465 (Short-term rental type I, type II, bed and breakfast homestay definitions)
Short-term rental type I shall mean an owner or a designated operator occupied residential property where short-term lodging is provided to only one group at a time per dwelling unit. Non-conforming single family residential properties that contain more than one dwelling unit shall rent to only one group at a time. The owner or a designated operator must reside in the primary structure on the p...