Short-term rental permit rules in Castle Rock, CO β also called Airbnb permits, vacation rental licenses, or STR registration β list the application steps, fees, and operating requirements for hosting.
Castle Rock has no dedicated short-term rental permit. The Town does not regulate Airbnb/VRBO as a land use, but every operator must hold a Town business license and remit lodging and sales tax.
The Town of Castle Rock states plainly that it "does not regulate short term rentals such as Airbnb or VRBO." There is no STR-specific permit, cap, or zoning approval. Instead, an STR is treated like any other business: the operator must obtain a Town of Castle Rock business/sales-tax license through the Revenue Division and collect and remit the Town's lodging tax and sales tax. In 2020 the Town Council reviewed STRs and declined to create new rules, saying it did not see a problem. Rules apply only to the incorporated Town β unincorporated Douglas County licenses STRs separately.
Operating without the required Town business/sales-tax license, or failing to remit lodging and sales tax, exposes the operator to Revenue Division collection, penalties and interest on unpaid tax.
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