Short-Term Rental Regulations — Texas
Hosts in Austin must obtain a permit before listing their property on platforms like Airbnb or VRBO. The permit fee is $733, renewable Annual. Austin allows non-owner-occupied short-term rentals, giving investors and property managers more flexibility. There is no annual day cap on rentals in Austin. An occupancy tax of 11% applies to all short-term rental income. Airbnb and VRBO collect and remit this tax automatically.
Day Limit Notes
No limit for Type 1. Type 2 (non-owner occupied) is restricted/phased out in residential zoning.
⚠ Tax Notes
11% City Hotel Occupancy Tax, plus 6% State Tax.
⚠ Prohibited Zones
Type 2 prohibited in residential zones
Do I need a permit to run an Airbnb in Austin?
Yes. Austin requires a permit to operate a short-term rental. The permit fee is $733 and must be renewed Annual. You must obtain this permit before listing your property on Airbnb, VRBO, or other platforms.
What is the occupancy tax rate for short-term rentals in Austin?
Short-term rentals in Austin are subject to a 11% occupancy tax. Airbnb and VRBO automatically collect and remit this tax on behalf of hosts — you do not need to handle it separately. 11% City Hotel Occupancy Tax, plus 6% State Tax.
Can I rent out a property I don't live in as an Airbnb in Austin?
Yes. Austin allows non-owner-occupied short-term rentals, meaning you can list investment properties or second homes that you do not personally occupy.
How many days per year can I rent my property in Austin?
Austin does not impose an annual day cap on short-term rentals. You can rent your property for as many days as you choose, subject to other local regulations. No limit for Type 1. Type 2 (non-owner occupied) is restricted/phased out in residential zoning.
Does Airbnb collect occupancy taxes in Austin?
Yes. Airbnb and VRBO automatically collect and remit the 11% occupancy tax in Austin on behalf of hosts. You do not need to separately collect or remit this tax — it is handled at the platform level.
Are there any prohibited zones for short-term rentals in Austin?
Yes. Austin prohibits short-term rentals in certain areas: Type 2 prohibited in residential zones. Always verify your property's zoning status with the local planning department before listing.
Do I need to register my short-term rental in Austin?
Yes. Austin requires short-term rental hosts to register their property with the city. This is separate from any permit requirement and typically involves providing property information and contact details to the local authority.
Official Source
Austin City Government
Last verified: 2026-03-23 · Always confirm with your local government before listing.