Nueces County, Texas Short-Term Rental Regulation: A Guide For Airbnb Hosts

What are Short-Term Rental (Airbnb, VRBO) Regulations in Nueces County, Texas?

Short-term rental regulations in Nueces County, Texas are primarily determined by the city of Corpus Christi, the county seat and largest city in the county. In June 2022, Corpus Christi passed a new Short-Term Rental Ordinance that amended the city's Unified Development Code to allow short-term rentals with restrictions in certain zoning districts.

Starting a Short-Term Rental Business in Nueces County

To start a short-term rental business in Nueces County, you must first understand the regulations set by the city of Corpus Christi. The new STR ordinance requires registration of any property rented for less than 30 consecutive days in all areas of the city.

Owner/operators of properly zoned STRs within Corpus Christi city limits must apply for a registration permit online beginning last July 11, 2022. The city will accept applications for the Flour Bluff and Padre/Mustang Island areas for STR units located in multi-family and commercial zoned areas. Proposed STR units in single-family zoned areas in Flour Bluff are eligible to apply for permits.

There is a $50 application fee and $50 yearly renewal fee to register an STR with the city. Failing to register or operating an STR in a prohibited single-family residential zone carries a $500 fine, considered a Class C misdemeanor.

To apply for an STR permit in Corpus Christi, you need to provide:

• A list of all owners, operators, and agents with names, addresses, email addresses, and phone numbers
• A floor plan sketch identifying sleeping areas, maximum number of guests, evacuation routes, and fire extinguisher locations
• 24-hour contact information for a person responsible for responding to complaints
• Self-certification of compliance with standards like insurance coverage and fire safety inspections

While Nueces County itself does not have specific STR regulations, most STRs in the county fall under Corpus Christi's jurisdiction. It's important for STR operators to stay informed on evolving city rules and ordinances.

The good news is that Texas does not require special state-level permits for STR businesses. However, STRs are still subject to state and local hotel occupancy taxes. Working with an accountant can help maximize tax deductions for expenses like repairs, insurance, utilities, and supplies.

In summary, thoroughly research Corpus Christi's zoning restrictions, diligently register your STR, designate a 24/7 contact, prioritize guest safety, and stay attuned to any regulation changes. Following the city's rules will allow you to operate an STR business successfully in Nueces County.

Short-Term Rental Licensing Requirement in Nueces County

Based on the information available on the official Nueces County website, there are currently no specific licensing requirements or regulations for short-term rentals at the county level. The county's website does not provide any information about registering STRs, submitting applications, paying fees, or penalties for operating without a permit in unincorporated areas of Nueces County.

However, it's important to note that the city of Corpus Christi, which is the county seat and largest city in Nueces County, does have its own STR ordinance and licensing requirements that apply within city limits. Corpus Christi requires all STRs to register with the city and obtain a permit.

To apply for an STR permit in Corpus Christi, owners/operators must submit the following through the city's online portal:

1. Names, addresses, email addresses, and phone numbers of all owners, operators, and agents
2. A floor plan sketch identifying sleeping areas, maximum number of guests, evacuation routes, and fire extinguisher locations
3. 24-hour contact information for a person responsible for responding to complaints
4. Self-certification of compliance with standards like insurance coverage and fire safety

The STR permit application fee in Corpus Christi is $50, with a $50 annual renewal fee. Failing to register an STR or operating one in a prohibited single-family residential zone carries a $500 fine, considered a Class C misdemeanor.

While Nueces County itself does not currently have an STR licensing process, the Corpus Christi regulations apply to a significant portion of STRs within the county. STR operators outside of Corpus Christi should check with their local city or town for any additional rules.

It's possible that Nueces County may implement its own STR ordinance in the future, so it's important for operators to regularly check for updates on the county's website and with local officials. For now, carefully review Corpus Christi's requirements if your STR falls within city boundaries.

Required Documents for Nueces County Short-Term Rentals

To apply for a short-term rental permit in Nueces County, specifically within the city limits of Corpus Christi, owners/operators must submit the following documents through the city's online portal:

1. Owner/Operator Information: Provide names, addresses, email addresses, and phone numbers of all owners, operators, and agents associated with the STR property. This ensures the city has up-to-date contact information for those responsible for the rental.
2. Floor Plan Sketch: Submit a sketch of the floor plan identifying sleeping areas, proposed maximum number of guests, evacuation routes, and fire extinguisher locations. This helps verify the STR meets safety requirements and occupancy limits.
3. Local Contact Person: Designate a contact person (owner, operator, or agent) who will be available 24/7 to respond to any complaints or issues at the STR within one hour. Provide their name, address, and phone number. Having a responsive local contact is crucial for addressing neighborhood concerns promptly.
4. Self-Certification: Complete a sworn, self-certification affirming the STR has met and will continue to comply with all necessary standards, including insurance coverage and annual fire extinguisher inspections as per the city's current fire code. This holds owners accountable for maintaining a safe rental.
5. Proof of Insurance: Attach proof that the property is properly insured for use as a short-term rental. Adequate insurance coverage protects both owners and guests.
6. Registration Fee Payment: Pay the $50 annual permit fee via credit/debit card through the online application portal. This fee covers the costs of administering and enforcing the city's STR program.

These required documents help the city of Corpus Christi ensure STRs are operating safely and in accordance with local regulations. The online registration system streamlines the application process for owners.

For assistance with zoning verification or other questions about STR requirements, contact the city at STRregistration@cctexas.com. For technical issues with the online application, email support@munirevs.com or call 888-751-1911.

Nueces County Short-Term Rental Taxes

Short-term rental businesses in Nueces County are subject to various taxes at the state and local levels. It's crucial for STR operators to understand these taxes and comply with all requirements to avoid penalties.

State Hotel Occupancy Tax

Texas imposes a 6% state hotel occupancy tax on the rental of rooms costing $15 or more per day. This tax applies to STRs, including houses, apartments, and condos rented for less than 30 consecutive days. As of May 1, 2017, Airbnb collects and remits this tax on behalf of its hosts in Texas.

City of Corpus Christi Hotel Occupancy Tax

In addition to the state tax, the city of Corpus Christi levies a 9% local hotel occupancy tax on STRs within city limits. This tax is due monthly on the 20th day of the following month (e.g., July 20th for June rentals). Late payments incur a 15% penalty.

STR operators in Corpus Christi must register with the city and file regular tax reports, even if they only list their property on platforms like Airbnb and VRBO that collect taxes on their behalf. Owners remain ultimately responsible for ensuring all taxes are paid.

Possible Deductions and Write-Offs

STR businesses can deduct many expenses to reduce their taxable income:

1. Depreciation: Owners may depreciate the cost of the rental property (excluding land) over 27.5 years.
2. Property taxes: Property taxes paid on the STR are fully deductible.
3. Mortgage interest: The interest portion of the STR's mortgage payments is deductible.
4. Repairs and maintenance: Costs to maintain the property in rentable condition, like cleaning and repairs, are deductible.
5. Insurance: Premiums for rental property insurance can be deducted.
6. Utilities: A portion of utility expenses may be deductible if the STR is managed from a home office.
7. Advertising: Marketing and advertising costs for the STR are deductible business expenses.
8. Airbnb fees: Service fees and commissions charged by rental platforms like Airbnb are deductible.

To maximize deductions and ensure compliance with all tax laws, STR operators should consult a tax professional well-versed in local and state requirements. Careful record-keeping and organization are essential for confidently navigating tax season.

Texas Wide Short-Term Rental Rules

While most short-term rental regulations in Texas are determined at the city and county levels, there are a few statewide rules that Nueces County hosts should be aware of.

Definition of a Short-Term Rental

According to Texas state law, a short-term rental is defined as a residential property, including single-family homes, apartments, condos, and timeshares, that is rented for a fee for a period of 30 consecutive days or less. This broad definition allows local governments to further refine their STR regulations.

Hotel Occupancy Taxes

The state of Texas imposes a 6% hotel occupancy tax on STRs. This tax applies to rentals of rooms costing $15 or more per day. As of May 1, 2017, Airbnb collects and remits this tax on behalf of its Texas hosts.

In addition to the state tax, Nueces County STR operators within the city of Corpus Christi must collect a 9% city hotel occupancy tax, due monthly. Hosts are responsible for registering with the city and filing regular tax reports, even if rental platforms like Airbnb and VRBO collect taxes for them.

Rental Agreements and Tenant Rights

Texas law emphasizes the importance of rental agreements between landlords and tenants, whether written or oral. The agreement outlines key aspects of the rental relationship. Tenants have the right to "quiet enjoyment" of the property and to demand repairs for issues affecting their health and safety.

STR hosts in Nueces County should carefully review the terms of their rental agreements and ensure they are providing safe and habitable accommodations for guests.

Restrictions on Banning STRs

In 2017, the Texas state legislature passed a law preventing cities from banning STRs outright. However, cities can still impose certain regulations and restrictions on STRs, such as requiring permits, limiting the number of guests, and enforcing noise and parking rules.

This statewide law protects the rights of property owners in Nueces County to operate STRs, subject to local regulations.

While Nueces County itself does not currently have countywide STR ordinances, STR operators must comply with applicable state laws and any city-specific rules, particularly in Corpus Christi. As regulations can change, hosts should stay informed about evolving state and local STR requirements.

Does Nueces County Strictly Enforce STR Rules?

Based on discussions in real estate investing forums like BiggerPockets and Reddit, it appears that Nueces County, particularly the city of Corpus Christi, has been actively enforcing its short-term rental regulations in recent years. The city has dedicated resources, including additional code enforcement officers and administrative staff, to ensure compliance with the STR ordinance passed in January 2022.

According to a local news report, as of May 2022, the city had issued 101 citations to STR operators who were not registered or operating in permissible zones since the ordinance was enacted. Fines have been issued to property owners who failed to meet the city's requirements, such as those operating in single-family residential districts where STRs are restricted.

Compared to other cities, Corpus Christi seems to be less Airbnb-friendly due to its strict enforcement and zoning restrictions. The city limits vacation rentals not occupied by their owners to 15% of one side of a block in certain areas. While some hosts may still operate STRs despite the rules, the risk of fines and penalties appears to be significant.

Real estate investors on BiggerPockets and Reddit have expressed concerns about the impact of these regulations on their ability to operate STRs profitably in Nueces County. Some have noted that the city's enforcement efforts have made it more challenging to run STRs, particularly for those relying on rental income as a primary source of revenue.

In conclusion, Nueces County, and specifically Corpus Christi, appears to be strictly enforcing its STR rules, making it a less Airbnb-friendly market compared to other cities with more lenient regulations. While some hosts may continue to operate despite the rules, the risk of fines and citations is substantial, and investors should carefully consider the local regulatory environment before starting an STR business in Nueces County.

How to Start a Short-Term Rental Business in Nueces County

Starting a short-term rental business in Nueces County, particularly within the city of Corpus Christi, requires careful planning and compliance with local regulations. Here's a step-by-step guide to help you get started:

1. Research local regulations: Familiarize yourself with Corpus Christi's zoning code, planning code, and STR ordinances. Determine if your property is located in a suitable zoning district for STRs. In Corpus Christi, STRs are allowed in multifamily and commercial zones in the Padre/Mustang Island and Flour Bluff areas, with restrictions in single-family residential districts citywide. Contact the city's Development Services Department for assistance with zoning verification and understanding the specific requirements for your property.
2. Prepare your property: Ensure your property meets all safety requirements, such as fire extinguishers, smoke detectors, and evacuation routes. Create a welcoming space for guests by providing essential amenities, cleaning the property thoroughly, and considering unique features or experiences that set your STR apart. Hire a professional photographer to capture high-quality images of your property, as this can significantly impact your listing's success.
3. Register and obtain a permit: Apply for a registration permit through the Corpus Christi government website. Provide all required documents and information, including a list of owners/operators, a floor plan sketch, 24-hour contact information, and proof of insurance. Pay the $50 annual permit fee via credit/debit card. Begin the registration process promptly, as operating an STR without a permit can result in fines and penalties.
4. Create your listing: List your property on popular vacation rental platforms like Airbnb and VRBO. Craft a compelling listing description, highlighting your property's unique features, amenities, and local attractions. Use the high-quality photos you obtained to showcase your space. Consider listing on multiple channels to increase your visibility and potential bookings.
5. Set competitive rates: Research the rates of similar STRs in your area to ensure your pricing is competitive. Utilize dynamic pricing tools to automatically adjust your rates based on demand, seasonality, and other factors. Be mindful of your expenses, such as cleaning fees, utilities, and maintenance costs, when setting your rates to ensure profitability.
6. Manage your bookings: Respond promptly to guest inquiries and maintain a high level of communication throughout the booking process. Use a channel manager to sync your calendars across multiple platforms and avoid double bookings. Consider using an STR management software to streamline your operations, from booking and communication to cleaning and maintenance.
7. Comply with tax requirements: Collect and remit the 9% local hotel occupancy tax to the city of Corpus Christi on a monthly basis. Keep accurate records of your income and expenses for tax purposes. Consult with a tax professional to ensure you are complying with all applicable tax laws and to identify potential deductions for your STR business.
8. Provide excellent guest experiences: Focus on creating memorable experiences for your guests by providing top-notch customer service, maintaining a clean and well-stocked property, and offering personalized recommendations for local attractions and activities. Encourage guests to leave reviews on your listing, as positive reviews can greatly impact your bookings and overall success.

By following these steps and staying informed about local regulations, you can successfully start and operate an STR business in Nueces County. Remember to prioritize compliance, guest satisfaction, and continuous improvement to stand out in the competitive vacation rental market.

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

For questions about short-term rental (STR) regulations and zoning in Nueces County, particularly within the city of Corpus Christi, here are the key contacts and resources:

City of Corpus Christi Development Services Department

1. Email: STRregistration@cctexas.com
2. Phone: (361) 826-3240
3. Website: www.cctexas.com/str

The Development Services Department is the primary point of contact for STR registration, permits, and zoning inquiries in Corpus Christi. They can assist with verifying your property's zoning, understanding the specific requirements for your STR, and navigating the permit application process.

MUNIRevs Support Team

1. Email: support@munirevs.com
2. Phone: 311 (select option 6)

The City of Corpus Christi has contracted with MUNIRevs to administer the STR permit application. For technical questions about the online application portal or your MUNIRevs account, reach out to their support team. They can escalate issues to the city if further assistance is needed.

Code Enforcement (to report violations)

1. Online: www.cctexas.com/services/public-safety/report-code-violations
2. Phone: 311

Citizens can report potential STR violations, such as operating without a permit or violating city ordinances, to Code Enforcement online or by calling 311.

In addition to these official contacts, STR hosts in Nueces County may find the following online communities and resources helpful:

BiggerPockets Corpus Christi Forum: www.biggerpockets.com/forums/521/topics/908397-corpus-christi-texas-monthly-real-estate-meetup

This forum thread is a great place to connect with local real estate investors, ask questions, and stay updated on the latest STR developments in the area.

Airbnb Help Center - Corpus Christi: www.airbnb.com/help/article/3366

Airbnb provides a helpful overview of the key requirements for hosts in Corpus Christi, including registration, zoning restrictions, local contact requirements, and taxes.

By staying in touch with these contacts and engaging with the local STR community, hosts can ensure they remain compliant with regulations and successfully navigate the evolving landscape of short-term rentals in Nueces County.

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

While there are limited discussions specifically about short-term rental regulations in Nueces County on Reddit and Bigger Pockets, a few relevant threads provide insights into hosts' experiences and opinions:

BiggerPockets Forum - "Short-term Rentals (Airbnb) in Jacksonville"

Although this thread focuses on Jacksonville, Florida, it highlights the importance of researching local regulations before starting an STR business. One user emphasizes the need to understand zoning laws, hotel taxes, and any specific ordinances that may affect STRs in a given area.

BiggerPockets Forum - "Investors in Corpus Christi"

While not directly related to STR regulations, this thread includes a discussion about the overall real estate market in Corpus Christi, which is the largest city in Nueces County. Investors share their experiences and opinions on the local economy, property values, and rental demand, which could influence the viability of STRs in the area.

Although these threads provide some context about the STR landscape in Nueces County, it's clear that there is limited public discussion among hosts regarding specific local regulations. This may be due to the relatively recent implementation of the city of Corpus Christi's STR ordinance in June 2022.

As the new rules take effect and more hosts navigate the registration process, it's likely that more conversations will emerge on forums like Reddit and Bigger Pockets. Hosts may share their experiences with the permitting process, zoning restrictions, and any challenges they face in complying with the regulations.

For now, aspiring STR hosts in Nueces County should rely primarily on official sources, such as the city of Corpus Christi's website and the Development Services Department, to understand the current regulatory environment and their obligations as operators.

Disclaimer: While we here at BNBCalc strive to keep all of our 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 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.