Cocoa Beach Short-Term Rental Regulation: A Guide For Airbnb Hosts

What are Short-Term Rental (Airbnb, VRBO) Regulations in Cocoa Beach, Florida?

Cocoa Beach, a popular tourist destination on Florida's Space Coast, has seen significant growth in short-term rentals through platforms like Airbnb and VRBO. However, this growth has not come without challenges, as the city has grappled with how to regulate these rentals to balance the needs of property owners, visitors, and long-term residents.

Starting a Short-Term Rental Business in Cocoa Beach

To operate a short-term rental in Cocoa Beach, owners must comply with the city's vacation rental ordinance, which was adopted in 2020 and amended in 2023. Key requirements include:

• Registering the rental property with the city and paying applicable fees
• Limiting occupancy to 2 people per bedroom plus 2 additional occupants, with a maximum of 8 total occupants (some grandfathered properties may have higher limits)
• Providing a minimum of one off-street parking space, with a maximum of 4 vehicles allowed
• Ensuring the property meets applicable safety standards, including having at least one phone with 911 access
• Designating a local contact person available 24/7 to respond to any issues

Properties already operating as vacation rentals before the ordinance's adoption in 2020 may be grandfathered in and exempt from some of the new requirements if the owner applied for this status by June 5, 2020.

Despite these regulations, the number of vacation rentals in Cocoa Beach "is just growing by leaps and bounds," according to Mayor Ben Malik. This growth has led to some conflicts with long-term residents. For example, Venetian Way resident Frank Klotz expressed concerns about safety, noise, and parking issues related to the two vacation rentals on his block.

The Cocoa Beach City Commission has taken additional steps to strengthen its short-term rental ordinance to address these challenges. In October 2023, the commission amended the ordinance to cap the total number of occupants at 8 per rental property, with some exceptions for grandfathered properties.

However, Cocoa Beach's ability to regulate vacation rentals is limited by state law. In 2011, the Florida Legislature passed a bill preventing cities from prohibiting short-term rentals or regulating them based solely on their classification. This has tied the hands of local officials to some extent, even as they seek to address residents' concerns.

Property owners interested in starting a short-term rental business in Cocoa Beach must carefully review the city's vacation rental ordinance and ensure compliance with all applicable regulations. Failing to do so could result in fines or other penalties.

It's also worth noting that individual condo associations may have their own rules regarding short-term rentals. Prospective buyers or investors should review these rules before purchasing a property they intend to use as a vacation rental.

In conclusion, while Cocoa Beach welcomes the economic benefits of short-term rentals, the city has also recognized the need for sensible regulations to protect the quality of life for permanent residents. By working together and complying with the vacation rental ordinance, property owners, visitors, and residents can all enjoy the many benefits of this beautiful coastal community.

Short-Term Rental Licensing Requirement in Cocoa Beach

Property owners must obtain the necessary licenses and registrations from the city and county to legally operate a short-term rental in Cocoa Beach. The key requirements include:

1. Vacation Rental Registration: All STRs located in the RS-1 Single Family Residential zoning district must register with the City of Cocoa Beach. This involves submitting an online application and paying the annual registration fee of $200 as of 2023. The registration is valid from October 1 through September 30 each year.
2. Brevard County Business Tax Receipt: STR owners must obtain a Business Tax Receipt from the Brevard County Tax Collector's office. This annual tax varies based on the rental property type and number of units.
3. Florida Department of Business and Professional Regulation (DBPR) License: If the STR qualifies as a "transient public lodging establishment" under Florida law, the owner must also obtain a license from the DBPR. This license ensures compliance with state regulations related to safety, sanitation, and other operational standards.
4. Florida Department of Revenue Registration: STR owners are required to register with the Florida Department of Revenue to collect and remit applicable taxes, including sales tax, tourist development tax, and transient rental tax.

In addition to these licensing requirements, STR owners must comply with the city's occupancy limits, parking regulations, and other operational standards outlined in the vacation rental ordinance. Failure to obtain the necessary licenses or adhere to the city's STR regulations can result in fines and other penalties.

It's important to note that individual condo associations or homeowners associations (HOAs) may have additional rules and restrictions related to STRs. Property owners should carefully review any applicable association bylaws or covenants before starting an Airbnb rental business.

While the licensing process may seem daunting, the City of Cocoa Beach provides resources to help STR owners navigate the requirements, including a Vacation Rental Registration Checklist and a Transient Rental Checklist.

Properly licensing and operating their STRs allow property owners to take advantage of the growing tourism market in Cocoa Beach while being good neighbors and contributing to the local economy.

Required Documents for Cocoa Beach Short-Term Rentals

Property owners must submit several required documents when registering their short-term rental to ensure compliance with Cocoa Beach's vacation rental ordinance. These documents help the city verify that the rental property meets all necessary safety standards and operational requirements. Key documents include:

1. Vacation Rental Registration Application: Owners must complete and submit the city's official registration application form, providing detailed information about the property, owner, and local contact person.
2. Proof of Property Ownership: Applicants must provide documentation confirming their ownership of the rental property, such as a property appraiser record or corporate filing (for properties owned by a business entity).
3. Vacation Rental Lease Agreement: A copy of the rental property's lease agreement must be submitted, ensuring it includes all information required under Chapter 26.5 of the Cocoa Beach Code of Ordinances, such as maximum occupancy, parking rules, and city regulations.
4. Property Sketch: Owners must provide an exterior sketch of the vacation rental, identifying all structures, pools, hot tubs, fencing, and parking areas. This sketch can be hand-drawn and does not need to be professionally prepared.
5. Floor Plan: A building sketch by floor must be submitted, showing the layout of all bedrooms, common areas, exits, and stairways. Like the property sketch, this can be hand-drawn.
6. Parking Plan: Applicants must provide a sketch of the property's off-street parking spaces, clearly indicating "No on-street parking" and delineating the number of available spaces.
7. State and County Licenses: Copies of the owner's Florida Department of Business and Professional Regulation (DBPR) license for transient lodging, Florida Department of Revenue certificate for tax collection, and Brevard County Tourist Development registration must be submitted, as applicable.
8. Occupant Information: Owners must provide the names and vehicle information of any non-paying occupants, such as family members, who will be staying at the rental property alongside paying guests.

In addition to these required documents, vacation rental owners must also pay an annual registration fee of $200 as of 2023. Late fees and other penalties may apply for failure to register or renew on time.

By carefully compiling and submitting all required documents, short-term rental owners in Cocoa Beach can demonstrate their commitment to operating safe, compliant, and neighborly vacation rentals. The city's registration process helps ensure a level playing field for all owners while protecting the quality of life for permanent residents.

Cocoa Beach Short-Term Rental Taxes

In addition to licensing and registration requirements, short-term rental owners in Cocoa Beach must also collect and remit applicable taxes. These taxes help fund local tourism marketing efforts, beach renourishment projects, and other essential services. Key taxes include:

1. Brevard County Tourist Development Tax (TDT): Also known as the "bed tax," this 5% tax applies to all short-term rentals of 6 months or less. STR owners must register with the Brevard County Tax Collector's office to collect and remit this tax on a monthly basis.
2. Florida Sales Tax: The state of Florida imposes a 6% sales tax on all short-term rentals. This tax is collected in addition to the TDT and must be remitted to the Florida Department of Revenue.
3. Cocoa Beach Vacation Rental Tax: The City of Cocoa Beach levies a 1% tax on all vacation rental properties. This tax is collected by the Brevard County Tax Collector's office along with the TDT.

In total, STR owners in Cocoa Beach must collect and remit 12% in taxes on all rental income. It's important to note that some online booking platforms, such as Airbnb and VRBO, may collect and remit these taxes on behalf of the owner. However, the ultimate responsibility for compliance lies with the property owner.

Failure to collect and remit applicable taxes can result in significant penalties and interest charges. STR owners should maintain accurate records of all rental transactions and tax payments to ensure compliance with state and local requirements.

It's worth noting that tax revenue from short-term rentals plays a crucial role in supporting Cocoa Beach's tourism economy. In the 2022-23 fiscal year, Brevard County collected a record $25.54 million in tourist development taxes, with vacation rentals accounting for 32.81% of that total.

However, recent data suggests that the tourism sector may be softening, with tax collections falling short of previous-year numbers in several recent months. This trend highlights the importance of responsible STR management and compliance with local regulations to ensure a sustainable and thriving tourism industry in Cocoa Beach.

By staying informed about tax requirements and diligently collecting and remitting applicable taxes, short-term rental owners can contribute to the long-term success of Cocoa Beach as a premier vacation destination while also supporting essential local services and infrastructure.

Florida Wide Short-Term Rental Rules

Florida has a set of statewide regulations that govern short-term rentals, which are defined as any unit or group of units in a condominium, cooperative, or individually owned single-family, two-family, or four-family house or dwelling unit that is rented to guests more than three times a year for periods of less than 30 days or 1 calendar month, whichever is less.

Under Florida law, property owners who wish to operate a short-term rental must obtain a license from the Department of Business and Professional Regulation (DBPR). This requirement applies to rentals that are offered more than three times in a calendar year for stays of less than 30 days.

However, a significant exemption exists for property owners who rent out individual rooms rather than entire units. Renting out single rooms or multiple rooms that do not constitute a full dwelling unit does not require a DBPR license, as these are not considered public lodging establishments.

When applying for a DBPR vacation rental license, property owners can include multiple units of the same type (e.g., several condos or several single-family homes) on a single application. However, condos and single-family dwellings cannot be combined under the same license.

Unlike hotels and restaurants, vacation rentals in Florida do not require an opening inspection. The only mandated inspection for short-term rentals is a Certificate of Balcony Inspection for railings, stairwells, and balconies that are not shared by the entire building.

It's important to note that while the state sets these baseline requirements, local governments in Florida are allowed to impose additional regulations on short-term rentals. Many cities and counties have adopted ordinances that go beyond the state's rules, such as requiring local permits, setting occupancy limits, or restricting rentals in certain zoning districts.

Property owners who fail to comply with state or local short-term rental regulations may face significant penalties. Some Florida cities impose fines of $500 to $1,000 or more per day for operating a rental without proper registration or permits.

In addition to obtaining the necessary licenses and permits, short-term rental operators in Florida are also responsible for collecting and remitting state and local taxes on their rental income. These taxes typically include the state sales tax (6%) and county-level tourist development taxes, which can range from 1% to 6% depending on the jurisdiction.

Overall, while Florida's statewide short-term rental regulations provide a foundation for property owners, it's crucial to also research and comply with any additional rules set by local governments. Short-term rental operators can run successful and compliant businesses in the Sunshine State by staying informed and adhering to all applicable laws.

Does Cocoa Beach Strictly Enforce STR Rules?

Based on discussions among short-term rental owners and investors on platforms like BiggerPockets and Reddit, it appears that Cocoa Beach does actively enforce its vacation rental regulations, particularly in recent years. The city has taken steps to strengthen its ordinances and crack down on non-compliant properties.

In October 2023, the Cocoa Beach City Commission amended the vacation rental ordinance to cap the total number of occupants at 8 per property, with some exceptions for grandfathered properties. The city has also implemented a registration and inspection process, with annual fees ranging from $200 to $525. Failure to register or comply with the city's STR regulations can result in significant fines.

On the BiggerPockets forums, one investor shared that the City of Cocoa Beach will be voting on new restrictions targeting vacation rental owners, with potential fines and fees aimed at putting STR owners out of business. This suggests a less than friendly stance towards short-term rentals from the city government.

Compared to some other Florida cities like Daytona Beach, which has banned STRs in certain areas and issued fines up to $15,000 for even listing a property on sites like Airbnb, Cocoa Beach's regulations may seem less severe. However, the city does appear to be actively monitoring and enforcing its rules.

Despite the restrictions, some hosts and investors continue to operate STRs in Cocoa Beach, particularly in condos or areas where rentals are permitted. On Reddit, users note that while regulations are in place, the city hasn't changed much in recent decades, suggesting that STRs are still a part of the local landscape.

However, operating an STR in Cocoa Beach does come with risks. The city's enforcement efforts and the potential for neighbor complaints or violations mean that hosts must be diligent about compliance. As one Redditor noted, quiet streets in Cocoa Beach are "losing so many single-family housing units to Airbnbs" that the city may eventually need to take more drastic measures.

While Cocoa Beach may not be the most Airbnb-friendly destination compared to cities with looser regulations, short-term rentals exist and operate there. Hosts and investors must carefully navigate the local rules and be prepared for active enforcement by the city to avoid fines and maintain successful rental properties.

How to Start a Short-Term Rental Business in Cocoa Beach

If you're interested in starting a short-term rental business in Cocoa Beach, Florida, here are the key steps to follow:

1. Research local regulations: Thoroughly review Cocoa Beach's vacation rental ordinance and any additional rules set by your condo association or homeowners association (HOA). Ensure that your property is eligible for short-term rentals and understand the city's registration, inspection, and operational requirements.
2. Obtain necessary licenses and permits: Register your vacation rental with the City of Cocoa Beach and pay the annual registration fee. Obtain a Business Tax Receipt from the Brevard County Tax Collector's office. If your property qualifies as a transient public lodging establishment, you'll also need a license from the Florida Department of Business and Professional Regulation (DBPR).
3. Register with tax authorities: Register with the Florida Department of Revenue to collect and remit applicable state and local taxes, including sales tax, tourist development tax, and transient rental tax. Set up a system to track rental income and tax payments.
4. Prepare your property: Ensure that your rental property meets all safety and operational standards required by the city and state. This may include installing smoke detectors, fire extinguishers, and emergency lighting. Develop a property sketch, floor plan, and parking plan to submit with your registration application.
5. Create a compelling listing: Take high-quality photos of your property and write an engaging description that highlights its unique features and amenities. Be transparent about any rules or restrictions, such as occupancy limits or quiet hours.
6. Choose a booking platform:List your property on popular vacation rental sites like Airbnb, VRBO, or Booking.com. Consider using a channel manager to synchronize your listings across multiple platforms and avoid double bookings.
7. Set competitive rates: Research the rates of similar properties in Cocoa Beach to ensure that your pricing is competitive. Consider adjusting your rates based on seasonal demand.
8. Develop a guest communication strategy: Create a system for promptly responding to guest inquiries, providing check-in instructions, and addressing any issues that may arise during their stay. Consider using automated messaging tools to streamline communication.
9. Arrange for cleaning and maintenance:Hire a reliable cleaning service to ensure that your property is spotless between guest stays. Develop a maintenance schedule to address any repairs or upgrades needed to keep your rental in top condition.
10. Monitor your business performance: Regularly review your booking and revenue data to identify trends and opportunities for improvement. Stay up to date on any changes to local regulations or tax requirements that may impact your business.

By following these steps and remaining compliant with Cocoa Beach's vacation rental rules, you can build a successful short-term rental business in this popular Florida destination. While the city's regulations may present some challenges, with careful planning and attention to detail, you can create a profitable and sustainable rental property that attracts satisfied guests year after year.

Who to Contact in Cocoa Beach about Short-Term Rental Regulations and Zoning?

If you have questions or concerns about short-term rental regulations and zoning in Cocoa Beach, there are several key contacts who can provide guidance and assistance:

Cocoa Beach Building Department: The Building Department administers the city's vacation rental ordinance and handles the registration and inspection process for short-term rentals. You can contact them at:

Cocoa Beach Building Department
2 S. Orlando Ave.
Cocoa Beach, FL 32931
Phone: (321) 868-3238
Email: building@cityofcocoabeach.com

Cocoa Beach Zoning Department: The Zoning Department can provide information about zoning districts where short-term rentals are permitted and any specific regulations that may apply to your property. Contact them at:

Cocoa Beach Zoning Department
2 S. Orlando Ave.
Cocoa Beach, FL 32931
Phone: (321) 868-3334
Email: zoning@cityofcocoabeach.com

Cocoa Beach City Clerk: The City Clerk's office can assist with general questions about the city's vacation rental ordinance and direct you to the appropriate department for more specific inquiries. You can reach them at:

Cocoa Beach City Clerk
2 S. Orlando Ave.
Cocoa Beach, FL 32931
Phone: (321) 868-3235
Email: cityclerk@cityofcocoabeach.com

Brevard County Tax Collector: For questions about obtaining a Business Tax Receipt or registering to collect and remit tourist development taxes, contact the Brevard County Tax Collector's office:

Brevard County Tax Collector
400 South Street, 6th Floor
Titusville, FL 32780
Phone: (321) 264-6969
Email: tourismtax@brevardtc.com

Florida Department of Business and Professional Regulation (DBPR): If your property qualifies as a transient public lodging establishment, you'll need to obtain a license from the DBPR. Contact their Division of Hotels and Restaurants for more information:

Division of Hotels and Restaurants
Department of Business and Professional Regulation
2601 Blair Stone Road
Tallahassee, FL 32399
Phone: (850) 487-1395
Email: dhr.info@myfloridalicense.com

By reaching out to these key contacts, you can get the information and support you need to ensure that your short-term rental business in Cocoa Beach is fully compliant with all applicable regulations and zoning requirements. Don't hesitate to ask questions and seek guidance throughout the process to avoid any potential pitfalls and maintain a successful rental operation.

What Do Airbnb Hosts in Cocoa Beach on Reddit and Bigger Pockets Think about Local Regulations?

On forums like Reddit and BiggerPockets, short-term rental hosts and investors in Cocoa Beach have shared their experiences and opinions about the city's vacation rental regulations. Here are a few notable examples:

Reddit user "Cocoa_Beach_Rentals" expressed frustration with the city's regulations, stating that the occupancy limits and parking requirements make it difficult to operate a profitable STR business. They also mentioned that the city has been cracking down on non-compliant properties, with code enforcement officers actively monitoring listings and issuing fines.

In a BiggerPockets forum thread titled "Cocoa Beach, FL - Short Term Rental Restrictions," several investors discussed the challenges of operating STRs in the city. One user, "BeachInvestor," shared that the city's regulations have become increasingly strict in recent years, with new rules limiting occupancy to 2 people per bedroom plus 2 additional guests. They also noted that the annual registration fees can be substantial, ranging from $200 to $525 depending on the property type.

Another BiggerPockets user, "SpaceCoastRentals," commented that while Cocoa Beach's regulations are more stringent than some other Florida cities, they are still manageable for hosts who are diligent about compliance. They emphasized the importance of carefully reviewing the city's ordinances and working closely with local officials to ensure that all requirements are met.

Reddit user "CocoaBeachHost" shared a positive experience with the city's registration process, stating that the Building Department staff were helpful and responsive in answering questions and providing guidance. However, they also cautioned that the city is serious about enforcement and that hosts should be prepared for regular inspections and potential fines if violations are found.

In a Reddit thread titled "Investing in Cocoa Beach Vacation Rentals," user "BeachRentalInvestor" advised potential investors to carefully consider the city's regulations before purchasing a property for short-term rental use. They noted that while the demand for vacation rentals in Cocoa Beach is strong, the regulatory environment can be challenging and may impact the profitability of STR investments.

Overall, the sentiment among Airbnb hosts and investors in Cocoa Beach seems to be that while the city's regulations present some challenges, they are not insurmountable for those who are committed to compliance. Many hosts appreciate the city's efforts to maintain a balance between the needs of vacation rental operators and the quality of life for permanent residents. However, they also caution that the regulatory landscape is constantly evolving and that hosts must stay informed and adaptable to succeed in this market.

Disclaimer: While we here at BNBCalc strive to keep all of our city regulation guides updated and accurate with all the latest local laws, we still do not suggest using them as your sole or primary source for local regulations. We also do not recommend you rely on the third-party sources we link to or reference, and we are not responsible for any of the information on these third-party sites. These guides are for entertainment purposes only and only provide basic information and should not be considered as legal advice.

We highly recommend directly contacting the responsible parties for each city and hearing what their officials have to say. Ultimately, it's your responsibility as an investor to ensure you fully comply with the local laws, and it's best to speak with professionals before making an investment decision.