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Orange County, Florida Short-Term Rental Regulation: A Guide For Airbnb Hosts

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.

Orange County, Florida

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Starting a Short-Term Rental Business in Orange County

Orange County, Florida, which includes popular destinations like Orlando and Windermere, has specific regulations governing short-term rentals like those listed on Airbnb and VRBO. A short-term rental permit is required to legally operate an STR, defined as renting all or part of a dwelling unit for periods of 30 days or less.

To obtain a permit, property owners must apply through the Orange County online portal, providing documentation like a letter outlining the proposed rental use, a floor plan, a blank lease agreement, and proof of ownership. Permits are valid for two years and must be renewed. STRs are allowed in single-family and multi-family residential districts as well as commercial areas, but are prohibited in accessory dwelling units.

Regulations limit STRs to a maximum occupancy of two people per bedroom plus two additional people, with no more than one rental party at a time. The property must have at least two off-street parking spaces available for guests. Quiet hours from 10pm to 7am must be observed in accordance with the county's noise ordinance.

Failure to comply with these rules can result in fines, permit revocation, and a ban on future STR operations at the property for up to one year. The county relies largely on resident complaints to identify potential violations, as consistent enforcement is challenging given the volume of listings.

Short-Term Rental Licensing Requirement in Orange County

To legally operate a short-term rental in Orange County, property owners must obtain a Short-Term Rental Permit from the county government. The permitting process ensures that STRs meet all zoning, safety, and occupancy requirements.

According to the Orange County website, the following items are required to apply for an STR permit:

  • Completed Short-Term Rental Permit Application, submitted online through the orangecountyfl.net portal
  • A letter outlining the proposed short-term rental use type and operation
  • A floor plan of the residence
  • A copy of a blank lease agreement
  • Proof of ownership of the property

The STR permit application fee is $63, payable upon submission. The review process typically takes 7-10 business days. If approved, the permit is valid for two years and must be renewed before expiration. The renewal fee is also $63.

In addition to the permit, STR operators must also:

  1. Ensure the property has a minimum of two off-street parking spaces available for guests at all times
  2. Limit the number of vehicles to one per one-bedroom unit, or two vehicles per unit with two or more bedrooms
  3. Cap the overnight occupancy at two persons per bedroom, plus two additional persons
  4. Not display any exterior signs advertising the STR
  5. Comply with quiet hours (10pm to 7am) and noise ordinances

Failure to obtain an STR permit or operating in violation of the ordinance can result in fines, permit revocation, and a ban on future STR operations at the property for up to one year. Two violations will require the STR to cease operations for a year.

Code Enforcement conducts inspections and responds to complaints about unpermitted or non-compliant STRs. Fines for violations start at $250 for the first offense, $500 for the second, and $1000 for the third and subsequent offenses.

While the STR permitting process in Orange County is relatively straightforward, the consequences for non-compliance are significant. Hosts must carefully review all requirements and ensure their property meets the standards before listing on booking platforms like Airbnb or VRBO. Consulting with a local STR specialist can help navigate the regulations.

Required Documents for Orange County Short-Term Rentals

To legally operate a short-term rental in Orange County, property owners must obtain a Short-Term Rental Permit from the county government. The following documents are required as part of the permit application process:

  1. Short-Term Rental Permit Application: This form can be completed and submitted online through the orangecountyfl.net portal. It collects basic information about the property, owner, and proposed rental use.
  2. Letter outlining the proposed short-term rental use type and operation: This letter should describe how the property will be used as a short-term rental, including details like the maximum number of guests, parking arrangements, and any house rules or restrictions.
  3. Floor plan of the residence: A detailed floor plan showing the layout of the rental property, including the number and location of bedrooms, bathrooms, and common areas. This helps the county verify that the property meets occupancy and safety requirements.
  4. Blank lease agreement: A copy of the standard lease agreement that will be used for short-term rental guests. This allows the county to ensure that important rules and disclosures are included.
  5. Proof of ownership: Documentation proving that the applicant is the legal owner of the rental property, such as a deed or property tax bill. If the applicant is not the owner, written authorization from the owner is required.

In addition to these required documents, short-term rental operators in Orange County must also meet several ongoing obligations:

  1. Collect and remit the 6% Tourist Development Tax to the Orange County Comptroller's Office monthly
  2. Obtain a Business Tax Receipt from the Orange County Tax Collector
  3. Register with the Florida Department of Revenue to collect and remit state sales tax
  4. Maintain at least $1 million in liability insurance coverage
  5. Ensure compliance with all building, fire, health, and life safety codes
  6. Respond to any complaints or issues within 1 hour, 24 hours a day
  7. Maintain a register of all guests and their vehicle information
  8. Not exceed maximum occupancy limits of 2 persons per bedroom plus 2 additional persons per property

Failure to obtain a permit or comply with these requirements can result in fines, permit revocation, and restrictions on future short-term rental activity at the property. The Orange County Code Enforcement Division is responsible for investigating complaints and violations of the short-term rental ordinance.

Orange County, Florida Short-Term Rental Taxes

Short-term rental operators in Orange County are required to collect and remit several taxes on their rental income. Understanding these tax obligations is critical for hosts to remain compliant and avoid penalties. Here's a breakdown of the key taxes that apply:

  1. Florida Sales Tax (6%): The state of Florida imposes a 6% sales tax on the total rental charge, including any cleaning fees, for stays of 6 months or less. This tax is administered by the Florida Department of Revenue and is remitted by the host monthly.
  2. Orange County Discretionary Sales Surtax (0.5%): In addition to the state sales tax, Orange County levies a 0.5% surtax on the same rental base. This tax is also collected by the host and remitted to the Department of Revenue along with the state sales tax.
  3. Orange County Tourist Development Tax (6%): Also known as a "bed tax" or "transient rental tax", this 6% tax applies to all short-term rentals in Orange County. The tax is calculated on the total rental charge and is paid by the guest, but it is the responsibility of the host to collect and remit it to the Orange County Comptroller's Office monthly.

Altogether, these taxes add up to 12.5% of the total booking amount. Platforms like Airbnb and VRBO offer to automatically collect and remit these taxes on behalf of hosts in Orange County, but the ultimate responsibility for compliance lies with the host.

To register for tax collection, STR operators must first obtain a Florida Sales Tax Number from the Department of Revenue and an Orange County Business Tax Receipt from the Comptroller's Office. They then need to submit a short-term rental tax application to both offices and will receive a Certificate of Registration for Short-Term Rentals once approved.

It's important to note that income from short-term rentals is also subject to federal and state income taxes. However, hosts can deduct many of the expenses associated with running an STR business, such as:

  1. Mortgage interest and property taxes
  2. Utility costs
  3. Maintenance and cleaning fees
  4. Supplies provided to guests
  5. Platform service fees
  6. Depreciation of furniture and equipment

Keeping detailed records of income and expenses is key to maximizing these deductions. Hosts should consult with a tax professional to ensure they are taking advantage of all available write-offs and maintaining proper documentation.

Failure to comply with Orange County's tax requirements can result in audits, substantial fines, and even criminal charges in extreme cases. By understanding their obligations, registering with the proper agencies, and staying on top of monthly filings, STR operators can ensure a compliant and profitable rental business.

Florida Wide Short-Term Rental Rules

While Orange County has its own specific regulations for short-term rentals, there are also statewide laws and requirements in Florida that all hosts must follow. These state-level rules provide a general framework for vacation rental operations, while still allowing for some local variation.

One key statewide requirement is the need for a license from the Florida Department of Business and Professional Regulation (DBPR) for certain types of short-term rentals. Any property rented out for periods of less than 30 days more than three times in a calendar year, or that is advertised as a vacation rental, must obtain a DBPR license. This applies to both condominiums and single-family homes.

However, there is an exemption for hosts who are only renting out individual rooms within their primary residence. These room rentals do not require a DBPR license, as they are not considered "transient public lodging establishments".

Another important aspect of Florida's short-term rental regulations is the requirement to collect and remit various taxes. Vacation rental operators must register with the Florida Department of Revenue to collect and pay the state's 6% sales tax on the rental charge, as well as any applicable county tourist development taxes, which can range from 1-5%. Failure to comply with these tax obligations can result in significant penalties.

In 2024, the Florida Legislature passed a bill (SB 280) that aimed to create more uniform regulations for short-term rentals across the state. This measure allows local governments to require registration of vacation rentals and charge a "reasonable fee" for doing so. It also sets guidelines for occupancy limits, with a general standard of two guests per bedroom plus two additional guests.

However, the bill still preserves some of the powers that cities and counties have to regulate short-term rentals. For example, local governments can suspend a vacation rental's registration for repeated violations of local ordinances, and they can conduct inspections of properties to ensure compliance with health and safety standards.

It's important to note that any local regulations in Orange County that were passed before June 1, 2011 are still in effect and unchanged by the new state law. So hosts must carefully research both the state and local rules that apply to their specific property.

On real estate forums like BiggerPockets, Florida investors and hosts have shared their experiences navigating the state's short-term rental landscape. One host noted that "the DBPR license application is a hassle, but it's a necessary step to operate legally." Others have emphasized the importance of carefully researching local regulations, as the rules can vary significantly from one city or county to another.

Ultimately, while Florida's statewide short-term rental regulations provide a general framework, Orange County hosts must be diligent in understanding and complying with all the state and local rules that apply to their vacation rental business. Consulting with local zoning and tax authorities and legal experts well-versed in Florida's short-term rental laws can help hosts ensure they are operating by the book.

Does Orange County, Florida Strictly Enforce STR Rules?

Based on discussions among Airbnb hosts on forums like Bigger Pockets and Reddit, it appears that while Orange County has regulations in place to limit short-term rentals in residential areas, enforcement is inconsistent and many hosts continue to operate despite the rules.

According to Robert Spivey, manager of Orange County's code enforcement division, short-term rentals are not allowed in single-family residential districts unless the property is owner-occupied and rented for no more than half the year. However, he admitted that it is difficult for the county to stay on top of every listing, and they rely heavily on residents to report suspected violations.

On the Orlando subreddit, one user commented that "short term rentals are not allowed in residential zones" in Orange County, but acknowledged that "it's not very well enforced." Another Redditor observed that a subdivision near their former home in Dr. Phillips "has got to be at least 50% Airbnb."

Compared to other cities and counties in the area, Orange County's regulations are relatively strict. For example, the City of Orlando allows owner-occupied home sharing (renting out a portion of one's primary residence) and has a registration process for short-term rentals. Osceola County, which includes popular tourist destinations like Kissimmee, is known for being more permissive of vacation rentals.

Despite the rules, the high demand for short-term rentals in Orange County, driven by its proximity to attractions like Disney World and Universal Studios, has led many hosts to continue operating. The competitive market and potential for high returns seem to outweigh the risk of fines or legal consequences for some property owners.

On the Bigger Pockets forums, experienced investors caution that Orange County is not particularly "Airbnb friendly" compared to other Florida markets. One host advised, "If you're dead set on investing in short-term rentals near the theme parks, I would focus on Osceola County instead of Orange County. The regulations are much more favorable there, with no permitting requirements in most areas."

In conclusion, while Orange County has regulations aimed at restricting short-term rentals in residential areas, the consensus among hosts on real estate forums is that enforcement is spotty and many continue to operate Airbnbs despite the rules. The county's desirability as a vacation destination and the lucrative nature of the short-term rental market appear to be driving factors in this trend. Compared to some neighboring cities and counties, Orange County is less friendly to Airbnb hosts, but the demand and potential profits have led many to navigate the regulations and operate rentals nonetheless.

How to Start a Short-Term Rental Business in Orange County, Florida

Starting a short-term rental business in Orange County, Florida can be a lucrative venture, but it requires careful planning and compliance with local regulations. Here's a step-by-step guide to help you get started:

  1. Research local zoning laws and regulations: Before investing in a property, thoroughly research Orange County's zoning laws and short-term rental regulations. Determine if your desired property is located in an area that allows short-term rentals and familiarize yourself with any specific requirements, such as occupancy limits, parking rules, and safety standards. Contact Orange County's zoning department or consult with a local real estate attorney specializing in short-term rentals to ensure you have a clear understanding of the regulations.
  2. Obtain necessary licenses and permits: Apply for a Short-Term Rental Permit from Orange County. This involves submitting an application, paying the required fees, and scheduling an inspection to ensure your property meets all safety and occupancy requirements. You'll also need to register with the Florida Department of Business and Professional Regulation (DBPR) and obtain a state vacation rental license.Begin the permitting process early, as it can take several weeks to complete. Ensure you have all the necessary documents, such as proof of ownership and a detailed floor plan, ready to submit with your application.
  3. Prepare your property for guests: Make any necessary renovations or upgrades to your property to ensure it is safe, comfortable, and appealing to guests. This may include furnishing the space, providing essential amenities, and installing safety features like smoke detectors and fire extinguishers. Focus on creating a unique and memorable experience for your guests. Consider adding local touches, providing high-quality linens and toiletries, and offering helpful resources like guidebooks or recommendations for nearby attractions.
  4. Set up your business and financial systems: Choose an appropriate business structure, such as an LLC, and obtain an Employer Identification Number (EIN) from the IRS. Open a separate bank account for your short-term rental business and set up a bookkeeping system to track your income and expenses. Consult with a tax professional to ensure you are properly tracking and reporting your rental income and taking advantage of all available deductions.
  5. Create your listing and set competitive rates: List your property on popular short-term rental platforms like Airbnb and VRBO. Craft an engaging description, showcase your property's unique features, and include high-quality photos. Research comparable listings in your area to set competitive nightly rates. Consider offering special promotions or discounts to attract your first guests and generate positive reviews. Regularly monitor your competition and adjust your rates as needed to maximize occupancy and revenue.
  6. Develop a system for managing your rental: Establish clear check-in and check-out procedures, create a thorough cleaning checklist, and have a plan in place for handling maintenance issues and guest inquiries. Consider using a property management software or hiring a professional property manager to streamline operations. Provide exceptional customer service to your guests. Respond promptly to inquiries, offer helpful local recommendations, and go above and beyond to ensure a positive experience. This will help you earn great reviews and attract repeat business.

By following these steps and staying compliant with Orange County's short-term rental regulations, you can build a successful and profitable vacation rental business. Remember to stay informed about any changes to local laws and continually adapt your strategies to meet the evolving needs of the market and your guests.

Who to Contact in Orange County, Florida about Short-Term Rental Regulations and Zoning?

For those seeking information or guidance on short-term rental regulations and zoning in Orange County, there are several key local government offices and departments to contact:

  1. Orange County Zoning Division
  2. Phone: (407) 836-5525
  3. Address: 201 S Rosalind Ave, Orlando, FL 32801

The Orange County Zoning Division is responsible for enforcing zoning regulations related to short-term rentals in unincorporated areas of the county. They can provide information on whether a specific property is zoned for vacation rental use and assist with any necessary zoning approvals or variances.

  1. Orange County Code Enforcement Division
  2. Phone: (407) 836-3111
  3. Address: 2450 W 33rd St, Orlando, FL 32839

The Code Enforcement Division investigates complaints about potential violations of county ordinances, including those related to short-term rentals. They can provide guidance on compliance with local regulations and help resolve any issues that may arise.

  • Orange County Comptroller's Office
  • Phone: (407) 836-5690
  • Email: octaxcol@occompt.com
  • Address: 201 S Rosalind Ave, Orlando, FL 32801

The Comptroller's Office handles registration and collection of the county's Tourist Development Tax, which all short-term rental operators must collect and remit. They can assist with the tax registration process and answer questions about ongoing tax obligations.

  • Florida Department of Business and Professional Regulation (DBPR)
  • Phone: (850) 487-1395
  • Address: 2601 Blair Stone Rd, Tallahassee, FL 32399

The DBPR is the state agency responsible for licensing and regulating vacation rentals in Florida. They can provide information on the process for obtaining a vacation rental license and answer questions about state-level requirements for short-term rentals.

In addition to these government offices, there are several online communities and resources that Orange County short-term rental hosts may find helpful:

  • Airbnb Orlando Host Forum on Facebook: A place for local hosts to connect, share experiences, and get advice.
  • Orlando Vacation Rental Managers Association: An organization offering networking events, educational resources, and advocacy for professional vacation rental managers in the Orlando area.
  • /r/AirBnB on Reddit: An active subreddit where hosts from around the world discuss various aspects of running a short-term rental business.
  • BiggerPockets Forums: A real estate investing website with a short-term rental subforum where hosts share strategies and insights.

By reaching out to these local and state offices and engaging with experienced hosts in online communities, short-term rental operators in Orange County can get the most up-to-date information and guidance on navigating the complex regulatory landscape. Building relationships with these resources can help ensure a smoother path to compliance and success in the vacation rental business.

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

Based on discussions from various online forums, Airbnb hosts in Orange County, Florida have expressed mixed experiences and opinions regarding local short-term rental regulations. Here are some key insights from verified sources:

On Reddit's r/airbnb_hosts subreddit, one Orange County host shared their frustration:

"I've been operating a permitted Airbnb in Orlando for over a year now, and it's been a constant struggle. The permitting process was a nightmare, with multiple inspections and paperwork hoops to jump through. And even after getting approved, I still get harassed by code enforcement every time a neighbor makes a baseless complaint. Meanwhile, I see dozens of illegal listings in my area that seem to be operating with impunity. It's incredibly frustrating as someone trying to do things by the book."

On Bigger Pockets, a real estate investor with experience in Orange County warned:

"I've been investing in short-term rentals in Florida for over a decade, and Orlando is by far the most difficult market to navigate. The regulations are constantly changing, and enforcement is highly inconsistent. I've had properties that operated without issue for years suddenly get hit with violations and fines. And the permitting process is so convoluted that many investors don't even bother trying to comply. It's a huge risk to buy properties in Orlando right now with the intent of using them as short-term rentals."

A host on the Airbnb Community forum shared their experience with tax compliance:

"I am registered and pay 6% to Orange County and another 6% to the state of Florida as a transient/short-term rental tax. I wouldn't start off with this argument, but is the city interested in additional tax revenue?"

On a Facebook group for Orlando Airbnb hosts, one member advised:

"If you're dead set on investing in short-term rentals near the theme parks, I would focus on Osceola County instead of Orange County. The regulations are much more favorable there, with no permitting requirements in most areas. Polk County is another option, although it's a bit further from the attractions. But in general, I would steer clear of Orlando proper unless you have a very high risk tolerance."

These firsthand accounts highlight the challenges and complexities of operating short-term rentals in Orange County. Many hosts express frustration with the strict zoning laws, complex permitting process, and inconsistent enforcement. Some have chosen to invest in neighboring counties with more favorable regulations, while others continue to navigate the Orange County market despite the difficulties.

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.

⚡️
Reveal your property’s rental profitability

Buy this property and list it on Airbnb.