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Aurora Short Term Rental Regulation: A Guide For Airbnb Hosts

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Aurora, Colorado

Disclaimer: This article is for informational purposes only and not legal advice. Regulations could have changed since this article was published. Check local zoning authorities and consult a legal professional before making any decisions.

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Starting a Short Term Rental Business in Aurora

Starting a short-term rental (STR) business in Aurora, Colorado involves several key steps to ensure compliance with local regulations. One of the primary requirements is that the property being rented out must be the host's primary residence. This means that the host must live in the property for at least 185 days of the year and be physically present during guest stays.

This regulation aims to maintain the residential character of neighborhoods and prevent commercialization of properties solely for short-term rental purposes.

To start a short-term rental business in Aurora, hosts should follow these steps:

  • Confirm that the property is their primary residence: Hosts must ensure that they meet the primary residence requirement, which mandates that they reside in the property for at least 185 days of the year. This can be demonstrated through various forms of documentation, such as a driver's license, utility bills, or tax records.
  • Obtain a city business license: Hosts must apply for and obtain a city business license from the City of Aurora to legally operate a short-term rental. This process involves providing personal and property information, as well as proof of primary residence and insurance coverage.
  • Display the business license number: Hosts must prominently display their business license number on any rental listings for stays of 30 days or less. This is crucial for transparency and accountability in the short-term rental industry.
  • Understand and comply with tax requirements: Hosts must collect and remit the city's lodger's tax (8%) and sales tax as required. This involves registering for a tax account with the city and keeping accurate records of rental income and expenses.
  • Adhere to additional HOA and zoning regulations: Hosts must comply with any additional regulations imposed by their homeowners' association (HOA) and zoning restrictions. This may involve obtaining permission from the HOA or ensuring that the property is located in a zone where short-term rentals are allowed.

Short Term Rental Licensing Requirement in Aurora

The City of Aurora requires that hosts register for a business license and display the license number on their rental listings for stays of 30 days or less. This requirement is essential for transparency and accountability in the short-term rental industry. By ensuring that hosts are properly licensed, the city can monitor and regulate the sector effectively.

To obtain a business license in Aurora, hosts must provide the following information:

  • Personal information: Hosts must provide their name, address, and contact information. This includes a phone number and email address.
  • Property information: Hosts must provide details about the property being rented, including the address, the number of rental units, and the type of property (e.g., single-family home, apartment, condo).
  • Proof of primary residence: Hosts must provide proof that the property is their primary residence, such as a driver's license, utility bill, or tax records.
  • Insurance information: Hosts must provide proof of liability insurance coverage for the property. This can be obtained through a homeowner's insurance policy or a separate policy specifically for short-term rentals.
  • Payment: Hosts must pay a fee for the business license. The fee amount varies depending on the number of rental units and the duration of the license.

Required Documents for Aurora Short Term Rentals

Hosts in Aurora must provide certain documents to operate a short-term rental legally. These include:

City business license: Hosts must obtain and display a city business license on their rental listings. This license is issued by the City of Aurora and is valid for a specific period of time.

Lodger's tax compliance: Hosts must collect and remit the city's lodger's tax (8%) on a regular basis. This involves registering for a tax account with the city and keeping accurate records of rental income and expenses.

Sales tax compliance: Hosts must collect and remit sales tax as required. This involves registering for a tax account with the state of Colorado and keeping accurate records of rental income and expenses.

Proof of insurance: Hosts must provide proof of liability insurance coverage for the property. This can be obtained through a homeowner's insurance policy or a separate policy specifically for short-term rentals.

Smoke and carbon monoxide detector certificates: Hosts must provide certificates showing that smoke and carbon monoxide detectors are present and functioning properly in the rental property.

Aurora Short Term Rental Taxes

In addition to the lodger's tax, short-term rental hosts in Aurora are also subject to sales tax. Collecting and remitting these taxes are essential responsibilities for hosts to ensure compliance with Aurora's regulations. Understanding and adhering to tax requirements is crucial for maintaining a legal and sustainable short-term rental business.

The lodger's tax in Aurora is set at 8% of the rental amount and is collected by the host from the guest. The host is responsible for remitting the tax to the city on a regular basis. Sales tax in Colorado is set at 2.9% of the rental amount and is also collected by the host from the guest. The host is responsible for remitting the tax to the state on a regular basis.

Aurora Wide Short Term Rental Rules

The state of Colorado permits short-term rentals in residential areas as a home occupation, subject to certain restrictions. However, homeowners' associations (HOAs) may have their own regulations regarding short-term rentals, which hosts must comply with.

Zoning regulations also play a role in determining where short-term rentals are allowed within the city.In Aurora, short-term rentals are generally allowed in residential zones, but there may be restrictions on the number of rental units and the duration of rentals.

Hosts must ensure that their property is located in a zone where short-term rentals are allowed and comply with any additional regulations imposed by the HOA.

Does Aurora Strictly Enforce STR Rules?

Aurora demonstrates a commitment to enforcing its short-term rental rules to maintain order and compliance within the industry. The city's regulations prioritize the primary residence requirement and licensing obligations to ensure that hosts operate within the established guidelines. While some hosts may attempt to operate outside these rules, Aurora's enforcement actions indicate a proactive approach to upholding regulations.

The city conducts regular inspections of short-term rental properties to ensure compliance with safety and health regulations. Hosts found to be operating outside the rules may be subject to fines, penalties, or even revocation of their business license.

How to Start a Short Term Rental Business in Aurora

  • Confirm that the property meets the primary residence requirement.
  • Obtain a city business license from the City of Aurora.
  • Collect and remit the lodger's tax and sales tax as required.
  • Display the business license number prominently on rental listings.
  • Comply with any additional HOA regulations or zoning restrictions.
  • Ensure that the property is equipped with smoke and carbon monoxide detectors and provide certificates to guests.
  • Keep accurate records of rental income and expenses for tax purposes.

Who to Contact in Aurora about Short Term Rental Regulations and Zoning

For inquiries regarding short-term rental regulations and zoning in Aurora, individuals can reach out to Visit Aurora via email at info@visitaurora.com or by phone at 303-326-8699. Visit Aurora serves as a valuable resource for information and guidance on navigating Aurora's short-term rental regulations.

What do Airbnb Hosts in Aurora on Reddit and Bigger Pockets Think about Local Regulations?

While specific responses from Reddit and Bigger Pockets were not provided, hosts in Aurora are likely to have varying opinions on the local regulations. Some may appreciate the structure and enforcement of rules to maintain order in the industry, while others may find certain regulations restrictive. Engaging with these platforms can offer insights into hosts' experiences and perspectives on complying with Aurora's short-term rental regulations.

On Reddit, hosts may discuss the challenges of complying with the primary residence requirement or the process of obtaining a city business license. They may also share tips on navigating HOA regulations or zoning restrictions. On Bigger Pockets, hosts may engage in discussions about the financial implications of Aurora's tax requirements or the benefits of obtaining a city business license. These platforms can provide valuable insights into the experiences and perspectives of Airbnb hosts operating in Aurora.

Some hosts may express frustration with the primary residence requirement, which can limit their ability to operate a short-term rental business. Others may appreciate the requirement as a way to maintain the residential character of neighborhoods and prevent commercialization of properties.

Hosts may also discuss the challenges of complying with tax requirements, such as the lodger's tax and sales tax. They may share tips on how to keep accurate records of rental income and expenses or how to navigate the tax registration process.

Finally, hosts may engage in discussions about the benefits of obtaining a city business license, such as increased credibility and accountability in the industry. They may also share tips on how to obtain a license and the importance of displaying the license number on rental listings.

Overall, hosts in Aurora are likely to have a range of opinions on the local regulations, but most are likely to prioritize compliance and transparency in their short-term rental businesses. By engaging with hosts on platforms like Reddit and Bigger Pockets, individuals can gain valuable insights into the experiences and perspectives of Airbnb hosts operating in Aurora.

🤔 Confused? Get your vacation rental license, tax registration and inspections done for you

Get Help

⚡️
Reveal any property's Airbnb and Long-Term rental profitability

Buy this property and list it on Airbnb.