Austin, TX Short-Term Rentals: Short-Term Rental Permits (2026)
Short-term rental permit rules in Austin, TX, also called Airbnb permits, vacation rental licenses, or STR registration, list the application steps, fees, and operating requirements for hosting.
Key Facts
- License Requirement
- Annual license required for all STRs
- License Fee
- $744 (2026)
- Insurance
- $1M insurance plus HOT registration
- Neighbor Notification
- 200-foot notification required
- License Display
- Number must appear in all listings
Summary
Austin requires every short-term rental to hold a current operating license under City Code Chapter 25-2 Subchapter E. Applications go through Development Services, require proof of insurance, HOT tax account, and neighbor notification, with annual renewal and posted license number on every listing.
Short-term rentals (STRs), residences rented for less than 30 consecutive days, are regulated by City ordinance and licensed annually by Austin Development Services Code Compliance. [...] 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. In October 2025, the following changes went into effect for property owners and tenant operators: All licenses will now be valid for two years instead of one year. A Certificate of Occupancy and proof of insurance are no longer required for new applicants or renewals. Tenants may now operate STRs, with the permission of their landlord. [...] Licenses All STR owners/operators in the City of Austin must be licensed annually through the City. [...] An operating license for a new STR is $836.30. This includes the $789 license fee and $47.30 notification fee. Fees are non-refundable.
Full Breakdown
To register an STR in Austin, an operator must: (1) obtain a Certificate of Occupancy or prove existing residential use, (2) secure $1M liability insurance with STR endorsement, (3) register for Hotel Occupancy Tax with the Texas Comptroller and the City of Austin Financial Services, (4) submit floor plan and parking diagram, (5) notify all property owners within 200 feet by mail, and (6) pay the annual license fee (approximately $744 for 2026). Licenses are issued by type: Type 1 (owner-occupied), Type 2 (non-owner-occupied, limited zones), and Type 3 (multifamily/commercial). License numbers must appear in every listing on Airbnb, Vrbo, Booking.com, and others, platforms can remove non-compliant listings. Renewals require re-verification of insurance and HOT status. Operating without a license is a Class C misdemeanor with fines up to $2,000 per day and can trigger a two-year ban. Code Department cross-references platform listings against the license database to identify unlicensed operators.
Frequently Asked Questions
How long does licensing take?
What if I list without a license?
Sources & Official References
Other rules in Austin
How Austin compares: Most Airbnb-Friendly Cities in America·Texas rules heatmap·Compare Austin to another location·View the Texas short-term rentals overview
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