Logan Short-Term Rental Regulation: A Guide For Airbnb Hosts

Starting a Short-Term Rental Business in Logan

If you're considering operating a short-term rental property in Logan, Ohio, through platforms like Airbnb or VRBO, it's important to understand the local regulations. In 2022, the City of Logan adopted a new ordinance to regulate STRs, found in Chapter 157.163 of the city zoning code.

The ordinance intends to "permit short-term rentals within specified zoning districts with standards to regulate their location and prevent a concentration from forming which may have a negative impact on surrounding neighborhoods and the city."

To start an STR business, you'll need to:

• Ensure your property is located in one of the allowed zoning districts: R-2, R-2-B, B-1, B-2, M-1, or M-2.
• STRs are not permitted within 500 feet of a school or another STR in residential districts.
• Apply for a short-term rental license with the City of Logan Service Director. No more than 60 licenses will be approved in the R-2 and R-2-B districts combined.
• Licenses must be renewed annually between October 1 and December 1.
• Obtain a certificate of occupancy from the State of Ohio within one year of submitting your STR license application to the city.
• Limit occupancy to no more than 10 guests at a time.
• Provide at least one off-street parking space per bedroom, except in the B-1 district.
• Report income from your STR annually to the City of Logan Income Tax Department and pay the required 7% lodging tax on your rental revenue, the same tax rate paid by hotels.

Anecdotally, some Logan residents have expressed concerns about the growth of investor-owned STRs and their potential impact on housing affordability and neighborhood character, as discussed in local news coverage of the new ordinance. However, proponents argue STRs support tourism and provide income opportunities for property owners.

Overall, Logan has established a regulatory framework to balance the interests of STR operators, residents, and visitors. You can legally launch a short-term rental business by following the city's requirements. For the most current information, consult the city zoning code directly or contact the zoning department.

Short-Term Rental Licensing Requirement in Logan

To legally operate a short-term rental in Logan, you must obtain a license from the City of Logan Service Director.

The application requires:

• A completed application form
• A site plan showing the location of all buildings and required off-street parking
• A $50 application fee
• A $500 annual license fee, due upon license issuance and each year thereafter

For properties located near a school or in the R-2, R-2-B, or B-2 zoning districts, you must also submit a list of all addresses within 300-500 feet of the property from the Hocking County Auditor's Office.

This is to ensure compliance with the city's distancing requirements between STRs and schools.

As part of the application, you'll need to provide either:

1. A vendor's license from the State of Ohio, or
2. An affidavit stating you have fewer than five STRs in Ohio

If you own a multi-unit building like a duplex or triplex, each individual unit is considered a separate STR requiring its own license application.

Once your complete application is submitted, the Service Director will make the final decision on issuing the license and a certificate of occupancy. You must obtain the state certificate of occupancy within one year of submitting your city license application.

STR licenses must be renewed annually between October 1 and December 1.

The license should be prominently displayed in the rental unit in an area accessible to guests.

Failure to obtain or renew the required city license can result in fines and penalties. By carefully following the city's licensing process, you can ensure your Logan STR operates in full legal compliance.

Required Documents for Logan Short-Term Rentals

To apply for a short-term rental license in Logan, you'll need to gather several required documents:

1. Completed STR License Application Form
   -Available from the City of Logan Service Director's office or website
   -Must be signed by the property owner or authorized agent
2. Site Plan
   -Drawn to scale, showing the location of all buildings, structures, and parking spaces
   -Parking plan must demonstrate compliance with off-street parking requirements
3. Proof of Ownership or Lease Agreement
   -Copy of the property deed or a valid lease agreement authorizing use as an STR
   -If owned by an LLC or other entity, it must include documentation of signing authority
4. Vendor's License or Affidavit
   -Copy of your State of Ohio vendor's license or
   -Notarized affidavit stating you operate fewer than five STRs in Ohio
5. List of Nearby Addresses (if applicable)
   -For STRs in the R-2, R-2-B, or B-2 districts or within 500 feet of a school
   -Obtain a list of all addresses within 300-500 feet of the Hocking County Auditor
6. Application and License Fees
   -$50 non-refundable application fee, due upon submission
   -$500 annual license fee, payable if license is approved

In addition to these documents required for the STR license itself, you'll also need:

1. Certificate of Occupancy
   -Issued by the State of Ohio, required within one year of license application
   -Verifies the property meets all building, fire, health and safety codes
2. Proof of Insurance
   -While not required by the city, it's highly recommended to obtain liability insurance specifically covering short-term rental use

Compiling all the necessary paperwork upfront allows you to streamline the STR licensing process with the City of Logan. Carefully review the requirements and ensure all documents are complete and accurate before submitting your application to the Service Director's office.

Logan Short-Term Rental Taxes

As a short-term rental operator in Logan, you are responsible for collecting and remitting several types of taxes on your rental income:

1. City of Logan Lodging Tax
   -STRs must pay a 7% lodging tax on all rental revenue
   -This is the same tax rate paid by hotels and other lodging businesses in Logan
   -Lodging taxes are due monthly and must be reported to the City of Logan Income Tax Department
2. Hocking County Lodging Tax
   -In addition to the city tax, STRs are subject to a 3% county lodging tax
   -This tax applies to all short-term rentals operating in Hocking County
   -County lodging taxes are reported and paid separately to the Hocking County Auditor's Office
3. State of Ohio Sales Tax
   -STRs must collect and remit the statewide 5.75% sales tax on rental income
   -Sales taxes are reported and paid to the Ohio Department of Taxation
   -You'll need to obtain a sales tax vendor's license from the state to collect this tax
4. Income Taxes
   -Income earned from your STR is subject to federal, state, and local income taxes
   -You'll need to report your rental income on your annual tax returns
   -Keep detailed records of all income and expenses to accurately calculate your tax liability

Failure to properly collect and remit the required taxes can result in penalties, interest, and legal action. Understanding your tax obligations and staying current on all filings and payments is important.

Many STR owners find it helpful to use a tax professional or specialized STR management software to assist with tax compliance. These services can help ensure you collect the correct tax amounts, meet all reporting deadlines, and maximize any available deductions.

By staying on top of your tax responsibilities, you can confidently operate your Logan short-term rental and avoid any unwanted surprises down the road. Always consult a qualified tax advisor for personalized guidance on your tax situation.

Ohio Wide Short-Term Rental Rules

While most short-term rental regulations in Ohio are determined at the local level by cities and counties, there are a few statewide rules that apply:

1. Lodging Tax
   -The standard overnight lodging tax in Ohio is 6%. However, this may be higher in some localities that levy additional taxes.
   -Short-term rental hosts are required to collect state and local lodging taxes from their guests and remit the taxes to the proper authorities, usually on a monthly basis.
2. Property Taxes
   -All real property in Ohio is subject to taxation according to its assessed value. This includes properties used as short-term rentals.
   -There is no special statewide property tax classification for short-term rentals. They are taxed the same as other residential properties.
3. Landlord-Tenant Law
   -Chapter 5321 of the Ohio Revised Code governs the relationship between landlords and tenants. However, most short-term rentals are exempt from this law.
   -The landlord-tenant law only applies to longer-term rentals, not "tourist homes, hotels, motels" and other facilities where "circumstances indicate a transient occupancy."
4. Building and Safety Codes
   -Short-term rentals are subject to the same building, housing, health, and safety codes as other residential properties in Ohio.
   -The specific applicable codes and enforcement are typically determined at the local level by the city or county building and health departments.

It's important to note that certain municipalities may apply more restrictive rules. For example, some cities in Ohio require short-term rental hosts to obtain a permit, limit the number of days a property can be rented, or restrict short-term rentals to certain zoning districts.

Statewide efforts to standardize short-term rental regulations, such as House Bill 563, introduced in 2021, have so far been unsuccessful. This leaves the bulk of short-term rental governance to individual cities and counties.

Therefore, in addition to these statewide provisions, it's crucial for Ohio short-term rental hosts to carefully research and comply with all the specific regulations in their local jurisdiction. Consulting with local government offices and a qualified attorney can help navigate this complex regulatory landscape.

Does Logan Strictly Enforce STR Rules?

Based on discussions in real estate investing forums like Bigger Pockets and Reddit, it appears that Logan takes a relatively strict approach to enforcing its short-term rental regulations compared to some other cities in Ohio.

Several hosts have reported difficulties operating STRs in Logan due to the city's licensing requirements, zoning restrictions, and occupancy limits. One Bigger Pockets user shared their experience:

"I tried to get a license for my rental in Logan and ran into a lot of roadblocks. The city seems to scrutinize STR applications, which makes you jump through many hoops. I ended up just doing a long-term rental instead."

Another Reddit user commented:

"Logan is definitely not as Airbnb-friendly as some other places in Ohio. They have a cap on the number of licenses they'll issue in certain districts, and they're pretty quick to crack down on unlicensed rentals. I wouldn't risk operating an STR there without going through the proper channels."

While some hosts may still attempt to operate STRs in Logan despite the rules, the general consensus is that the city is fairly aggressive in its enforcement efforts. Unlicensed rentals have been subject to fines and cease-and-desist orders.

One Bigger Pockets member offered this advice:

"If you're going to do an STR in Logan, make sure you dot all your i's and cross all your t's with the city. Get your license, follow the occupancy and parking rules to the letter, and keep meticulous records for your taxes. It's not worth the risk of getting shut down."

Overall, Logan appears to prioritize the concerns of long-term residents and neighborhood character over the interests of short-term rental operators. While STRs are permitted in certain areas, the city has made a clear effort to regulate the industry and limit its growth.

Hosts looking for a more STR-friendly environment may have better luck in other Ohio cities with looser regulations. However, for those committed to operating in Logan, working closely with the city to ensure full compliance is essential to avoid legal issues and maintain a successful rental business.

How to Start a Short-Term Rental Business in Logan

If you've weighed the regulations and challenges and still want to pursue a short-term rental business in Logan, here are the key steps to get started:

1. Research and choose a property
   -Identify a property in one of the allowed zoning districts (R-2, R-2-B, B-1, B-2, M-1, or M-2)
   -Ensure the property meets the city's distancing requirements (not within 500 feet of a school or another STR in residential districts)
   -Consider the property's amenities, location, and potential appeal to short-term renters
2. Develop a business plan
   -Outline your target market, pricing strategy, marketing approach, and financial projections
   -Determine your anticipated startup costs, including furnishings, supplies, and any necessary renovations
   -Set realistic goals for occupancy rates and revenue
3. Register your business
   -Choose a business structure (sole proprietorship, LLC, corporation) and register with the State of Ohio
   -Obtain a federal Employer Identification Number (EIN) for tax purposes
   -Open a separate business bank account to manage your rental income and expenses
4. Obtain necessary licenses and permits
   -Apply for a short-term rental license with the City of Logan Service Director
   -Obtain a certificate of occupancy from the State of Ohio within one year of submitting your STR license application
   -Secure a vendor's license from the State of Ohio if you plan to operate five or more STRs in the state
5. Prepare your property
   -Furnish and equip the rental to provide a comfortable and inviting experience for guests
   -Ensure the property meets all building, health, and safety codes
   -Develop a system for managing bookings, check-ins, cleaning, and maintenance
6. List your property on STR platforms
   -Create listings on popular sites like Airbnb and VRBO, with attractive photos and detailed descriptions
   -Establish your house rules, cancellation policies, and pricing
7. Manage your bookings and guests
   -Respond promptly to booking inquiries and guest communications
   -Provide clear check-in instructions and access details
   -Be available to address any issues or concerns during guest stays
   -Arrange for regular cleaning and maintenance between bookings
8. Comply with ongoing regulations and taxes
   -Collect and remit the required city, county, and state lodging taxes on your rental income
   -Report your STR income and pay income taxes on your annual tax returns
   -Renew your STR license annually between October 1 and December 1
   -Stay informed of any changes to local STR regulations and adjust your operations as needed

Starting a short-term rental business in Logan requires careful planning, attention to detail, and a commitment to compliance. By following these steps and working closely with local authorities, you can navigate the challenges and build a successful Airbnb business in this regulated market.

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

If you have questions about short-term rental regulations or zoning in Logan, there are several local government offices that can provide guidance:

1. City of Logan Service Director
   The Service Director is responsible for issuing short-term rental licenses and enforcing STR regulations
   Contact: Joe Mosier, Service Director
   Phone: (740) 385-2400
   Email: jmosier@cityofloganhocking.com
2. City of Logan Zoning Department
   The Zoning Department can provide information on allowed STR locations and zoning requirements
   Contact: Steve Matheny, Zoning Officer
   Phone: (740) 385-7134
   Email: smatheny@cityofloganhocking.com
3. Hocking County Auditor's Office
   The Auditor's Office can assist with obtaining a list of nearby property addresses for STR license applications
   Phone: (740) 385-2127
   Email: auditor@co.hocking.oh.us
4. City of Logan Income Tax Department
   The Income Tax Department handles the collection and reporting of city lodging taxes for STRs
   Phone: (740) 385-7134
   Email: incometax@cityofloganhocking.com
5. Hocking County Health Department
   The Health Department enforces health and safety codes for STRs and can answer related questions
   Phone: (740) 385-3030
   Email: information@hockingcountyhealth.com

When contacting these offices, be prepared to provide details about your property and your specific questions or concerns. The staff can offer personalized guidance based on your unique situation.

In addition to these government resources, consider connecting with local short-term rental host groups or online forums. Experienced STR operators in Logan can often provide valuable insights and advice on navigating the local regulatory landscape.

Remember, regulations can change over time, so staying in touch with these contacts and regularly reviewing the latest information on the city and county websites is important. Building positive relationships with local officials can help ensure your STR business remains compliant and successful in the long run.

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

On real estate investing forums like Reddit and Bigger Pockets, short-term rental hosts in Logan have shared a range of opinions and experiences related to the city's regulations. Here are a few notable examples:

A Reddit user in the r/AirbnbHosts subreddit:

1. Expressed frustration with the city's cap on STR licenses in certain zoning districts
2. Felt that the regulations unfairly limit the growth potential for hosts
3. Suggested that the city should focus more on enforcing quality standards rather than quantity limits

A Bigger Pockets user in the "Short-Term Rental Discussions" forum:

• Shared their positive experience working with the City of Logan to obtain an STR license
• Emphasized the importance of carefully reviewing and complying with all local requirements
• Noted that while the process can be challenging, it's ultimately manageable for committed hosts

A Reddit user in the r/AirbnbRegulations subreddit:

• Discussed the impact of Logan's distancing requirements on the location of new STRs
• Argued that the 500-foot buffer between STRs in residential districts is too restrictive
• Called for more flexibility in the regulations to allow for responsible growth of the STR market

A Bigger Pockets user in the "Ohio Real Estate Investing" forum:

• Shared their decision to convert a short-term rental to a long-term rental due to the regulatory challenges
• Expressed concern about the time and cost involved in complying with STR licenses and taxes
• Suggested that the city's regulations may discourage some hosts from entering the STR market

These posts reflect a mix of viewpoints, with some hosts expressing frustration or concern about the impact of Logan's regulations on their businesses, while others have found ways to navigate the requirements successfully. The common theme is that understanding and complying with local rules is essential for any host operating in Logan.

It's worth noting that these forums represent a self-selected group of hosts who choose to share their experiences online. The opinions expressed may not necessarily reflect the views of all STR operators in the area.

As with any online discussion, it's important to verify the accuracy of information and seek official guidance from local authorities. Regulations can vary significantly by location and may change over time, so hosts should always consult with the City of Logan directly for the most up-to-date and reliable information on short-term rental requirements.

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.