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Killeen Short Term Rental Regulation: A Guide For Airbnb Hosts

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Killeen, Texas

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

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What are short term rental (Airbnb, VRBO) regulations in Killeen, Texas?

If you're considering operating a short-term rental (STR) property in Killeen, Texas, it's essential to understand the local regulations. As of October 1, 2023, the city of Killeen requires all STR owners to obtain an annual permit for each rental property, with the permit costing $50 per year2. Additionally, owners are required to pay both state and city hotel occupancy taxes1.

The city has over 400 active STRs, indicating a demand for temporary accommodations, particularly due to the nearby military base2. The proposed ordinance would require owners of about 400 STRs to register their properties and pay hotel occupancy taxes3. The city also enforces regulations related to the number of guests per property and the distance between STRs2.

While the state of Texas has minimal state-level regulations for STRs, it allows city governments to determine their own laws and regulations1. It's important to ensure compliance with these regulations to operate a successful and legal short-term rental business in Killeen.

Starting a Short Term Rental Business in Killeen

Starting a short-term rental business in Killeen, Texas, requires following local regulations and obtaining necessary permits. As of October 1, 2023, the city of Killeen requires all short-term rental owners to obtain an annual permit for each rental property, which costs $50 per year67.

Operating without a permit can result in fines up to $2,000 per violation per day1. To obtain a permit, short-term rental owners must provide proof of ownership, a floor plan with safety features marked, a parking plan, a certificate of occupancy, and contact information6. Additionally, short-term rental owners must collect and remit the Hotel Occupancy Tax (HOT) from their guests, with the city, county, and state portions of the HOT collected and remitted separately46.

The city of Killeen has over 400 active short-term rentals, showing there is demand for temporary accommodations in the area6. However, Killeen has been considering new ordinances to regulate short-term rentals and collect hotel occupancy taxes135.

The proposed ordinances include an annual registration requirement and spacing requirements to ensure there are not too many short-term rentals too close together3. The strictness of the enforcement may vary, and opinions on the regulations can differ among hosts and city officials5.

To start a short-term rental business in Killeen, research local regulations, ensure your property complies with zoning requirements, obtain the necessary permits, register your property with the city, and adhere to any additional regulations and restrictions1245.

Short Term Rental Licensing Requirement in Killeen

If you're considering starting a short-term rental (STR) business in Killeen, Texas, it's essential to understand the city's licensing requirements. As of October 1, 2023, owners of STRs are mandated to obtain an annual permit for each property, as stipulated in the City of Killeen Code of Ordinances, Section 31-9532. This permit is non-transferable, and failure to obtain it is considered a violation of the city's ordinances, which may result in citations and fines1.

Additionally, the city notifies neighbors when an STR permit is issued, providing them with the owner's contact information and encouraging direct communication for issue resolution1. Furthermore, owners are required to collect the Hotel Occupancy Tax (HOT) from their guests for the county and state. While platforms like Airbnb and Vrbo generally remit the state portion of HOT on behalf of owners, it is the owner's responsibility to remit the city and county portions themselves1.

For more information on paying the hotel occupancy tax, owners can visit the city's finance website1.These regulations are part of the city's efforts to ensure safety, compliance, and the promotion of local tourism while fostering responsible hosting practices2. The proposed ordinance also includes spacing requirements, such as a minimum distance of 200 feet between STRs, and limits the number of STRs per building5. The city's proactive approach aims to create a harmonious and thriving community for both residents and visitors.

By adhering to these licensing requirements and other related regulations, STR operators can contribute to the overall well-being of the community and the growth of local tourism in Killeen.

Required Documents for Killeen Short Term Rentals

To obtain a short-term rental license in Killeen, you will need to provide the following documents:

  • A completed application form
  • Payment for the annual permit fee ($50 per year)

The city of Killeen requires all short-term rental owners to obtain an annual permit for each rental property, which costs $50 per year. Beginning October 1, 2023, owners of short-term rentals are required to obtain a permit annually67. The Short-Term Rental Operating License is non-transferable, and failure to obtain the required permit is a violation of the City of Killeen Code of Ordinances, including citations and fines3.

The city also requires owners of more than 400 short-term rentals in Killeen to register their properties and pay hotel occupancy taxes45. The owner of a short-term rental shall collect the Hotel Occupancy Tax (HOT) from their guests for the county and state. Platforms like Airbnb and Vrbo generally remit the state portion of HOT on behalf of owners, but it is the owner's responsibility to remit the city and county portion themselves

Killeen Short Term Rental Taxes

In Killeen, Texas, short-term rental owners are responsible for collecting and remitting the Hotel Occupancy Tax (HOT) from their guests. Here's a straightforward breakdown of the process:

HOT Collection: The owner of the short-term rental property collects the HOT from their guests, which includes the city, county, and state portions2.

Remitting Taxes: Platforms like Airbnb and Vrbo generally remit the state portion of HOT on behalf of owners. However, it is the owner's responsibility to remit the city and county portions themselves2.

Revenue Loss: Previously, some short-term rentals were operating unregulated and not paying hotel occupancy tax, resulting in a loss of revenue for the city. A proposed ordinance aims to address this issue by requiring owners to register their properties and pay hotel occupancy taxes1.

Tax Rates: The city, county, and state portions of the HOT must be collected and remitted separately. The city's rate is 7%1.

By understanding and adhering to these tax collection and remittance requirements, short-term rental owners in Killeen can ensure they are compliant with local regulations and contribute to the city's revenue stream.

Texas Wide Short Term Rental Rules

In Texas, the state does not have a requirement for special permits for short-term rental (STR) businesses at the state level. The state's definition of a short-term rental is any residential property rented wholly or partly for a fee for a period not longer than 30 consecutive days1. While the state has minimal regulations, local county and city authorities have the power to impose laws and regulations on short-term rentals.

Texas's approach allows local governments to determine their own laws and regulations for this type of accommodation3.The biggest regulations that the state of Texas applies to STR businesses come in the form of taxes. Most short-term rentals in Texas are subject to taxation, and the specific rules and requirements for short-term rental operations will vary1. Additionally, the state has not prevented the introduction of short-term rental regulations at the local level, allowing city-level laws to prevail over state regulations3.In Killeen, Texas, for example, the city has adopted ordinances to regulate short-term rentals and collect hotel occupancy taxes.

As of October 1, 2023, the city requires all short-term rental owners to obtain an annual permit for each rental property, and the city has also established a licensure process for short-term rentals45. This demonstrates that while the state of Texas has minimal regulations, local authorities have taken steps to regulate and oversee short-term rentals within their jurisdictions.Overall, Texas's approach to short-term rental regulations allows for local flexibility, enabling cities and counties to establish and enforce their own rules and requirements for this type of accommodation.

This decentralized approach means that regulations can vary across the state, and those interested in operating an STR business should be aware of and comply with the specific laws and regulations in their local area.

Does Killeen Strictly Enforce STR Rules?

The city of Killeen, Texas, has implemented regulations to govern short-term rentals (STRs) in an effort to ensure safety, compliance, and the promotion of local tourism. The Short-Term Rental Registration Program, which was launched on October 1, 2023, requires owners of such properties to obtain an annual permit, ensuring that they meet safety and zoning requirements1.

This initiative aims to empower responsible hosting practices and create a harmonious and thriving community.The city's ordinance applies to all properties, including rooms and guest houses, rented for less than 30 consecutive days. Owners of STRs are required to collect the Hotel Occupancy Tax (HOT) from their guests for the county, state, and city.

The city's website provides detailed information on the registration process and the required documents1.The proposed ordinance also includes spacing requirements to prevent an excessive concentration of STRs in close proximity. It is important to note that failure to obtain the required permit is a violation of the City of Killeen Code of Ordinances and may result in citations and fines4.The city of Killeen continues to actively monitor the situation and enforce the regulations. The city's executive director of development services, Edwin Revell, has emphasized the importance of registering STRs and paying hotel occupancy taxes to prevent revenue loss3.

In summary, Killeen's approach to regulating short-term rentals is aimed at fostering responsible hosting practices and ensuring compliance with safety and zoning requirements. The city is actively enforcing these regulations to create a balanced and thriving community.

How to Start a Short Term Rental Business in Killeen?

To start a short-term rental business in Killeen, Texas, you must adhere to the city's regulations and obtain the necessary permits. As of October 1, 2023, the city requires all short-term rental (STR) owners to obtain an annual permit for each rental property, which costs $50 per year4. The process involves submitting an application and paying the required fee. Failure to register an STR under the new ordinance may result in a fine of $2,0001. Additionally, the city has proposed spacing requirements, such as a 200-foot distance between STRs, to prevent an excessive concentration of rentals in a specific area3. Furthermore, owners are required to collect and remit hotel occupancy taxes, with the 2023 tax rate being 15%, with 6% going to the State of Texas and 9% to the City of Killeen4.To ensure compliance and a smooth start to your business, follow these steps:

  • Research local regulations and zoning requirements to ensure your property is eligible for an STR14.
  • Obtain the necessary permit for each rental property and ensure you have all the required documents, such as proof of ownership, floor plans, and parking plans4.
  • Register with the state's hotel occupancy tax system and familiarize yourself with the tax rates and collection process4.

Once you have obtained the permit and are in compliance with all regulations, you can proceed to list your property on platforms like Airbnb and VRBO, and begin marketing and managing your bookings4.

For further information and to apply for the necessary permits, you can contact the Killeen Planning and Development Services Department at (254) 501-7630 or via email5. It is essential to stay informed about any updates or changes to the regulations, as the city's ordinances may evolve over time2.

In summary, starting a short-term rental business in Killeen requires thorough understanding and adherence to the city's regulations, permit requirements, and tax obligations. By following the prescribed steps and maintaining compliance, you can establish and operate your STR business in accordance with Killeen's legal framework.

Who to Contact About Killeen Short Term Rental Regulations?

The Killeen Planning and Development Services Department handles STR permitting and zoning questions:Phone: (254) 501-7630Email: planninginfo@killeentexas.gov

What do Airbnb hosts in Killeen on Reddit and Bigger Pockets think about local regulations?

Airbnb and short-term rental regulations in Killeen, Texas, are important for any investor or host thinking about starting a short-term rental property. While Killeen has over 400 active short-term rentals, the city has been considering new ordinances to regulate short-term rentals and collect hotel occupancy taxes134. As of October 1, 2023, the city of Killeen requires all short-term rental owners to obtain an annual permit for each rental property, which costs $50 per year7.

The city also charges a hotel occupancy tax on short-term rentals, with the 2023 tax rate being 15%, with 6% going to the State of Texas and 9% to the City of Killeen78.The proposed ordinance requires owners of around 400 short-term rentals in Killeen to register their properties and pay hotel occupancy taxes45. The proposed ordinance also includes an annual registration requirement and spacing requirements such that there are not too many short-term rentals too close together5.

The city's Development Services Department is responsible for enforcing the city's zoning and land use regulations4.Opinions on Killeen's short-term rental regulations can vary among hosts and city officials. Some hosts on Bigger Pockets and Reddit have expressed concerns about the proposed ordinances and their potential impact on their businesses5. However, others may be more supportive of the regulations, as they can provide a stable revenue stream for the city3.

The strictness of the enforcement may also affect hosts' opinions on the regulations.To start a short-term rental business in Killeen, follow these steps: research local regulations and ensure your property complies with zoning requirements, obtain the necessary permits, including an annual short-term rental permit for each property, register your property with the city and collect the required hotel occupancy taxes, and adhere to any additional regulations and restrictions, such as the number of short-term rentals allowed per building and the distance between them12457.

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

Get Help

⚡️
Reveal your property's rental profitability

Buy this property and list it on Airbnb.