Austin does not impose an annual night cap on STR rentals like San Francisco's 90-day rule or Palm Springs' 32-day limit. However, Type 2 non-owner-occupied STRs are restricted in residential zones, and all STRs face occupancy and noise limits that effectively constrain heavy event-style bookings.
Austin's 2016 STR ordinance attempted to phase out Type 2 (non-owner-occupied) STRs from SF-zoned residential areas by 2022, but that phase-out was limited after litigation (Zaatari v. City of Austin, affirmed by the Texas Third Court of Appeals). The current regime allows Type 1 (owner-occupied, primary residence) STRs without annual night caps, meaning hosts can rent 365 days as long as the home remains their primary residence. Type 2 (non-owner-occupied) is generally prohibited in SF-1 through SF-3 zones but permitted in MF, commercial, and mixed-use zones with density caps. Type 3 (duplex/multifamily in commercial zones) has no night cap either. Unlike California destination cities, Austin has not adopted annual rental-night maximums; instead, enforcement relies on occupancy, noise, parking, and zoning. Texas Tax Code §351 imposes Hotel Occupancy Tax on every night rented (6% state + 9% Austin HOT + 2% venue = 17%), which platforms typically collect.
Specific penalty amounts for this ordinance are not published in a publicly accessible fine schedule. Contact Austin code enforcement directly for current fines, enforcement procedures, and hearing options.
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