Ross Township, Pennsylvania Short-Term Rental Regulation: A Guide For Airbnb Hosts

Starting a Short-Term Rental Business in Ross Township

Ross Township, located in Monroe County, Pennsylvania, has implemented specific regulations regarding short-term rentals (STRs) such as Airbnb and VRBO. If you're considering starting a short-term rental business in Ross Township, it's crucial to understand and comply with these regulations.

In July 2020, Ross Township enacted a short-term rental ordinance that significantly impacts the operation of STRs in the area9. The ordinance allows vacation rentals in properties located in general commercial and village commercial zoning districts. However, it's important to note that short-term rentals are not permitted in residential zoned areas.

This zoning restriction is a critical factor for potential STR operators to consider. If you own a property in Ross Township and are thinking about converting it into a short-term rental, you must first verify its zoning classification. Properties in residential zones (R-1, R-2, etc.) are not eligible for short-term rental use under the current regulations.

For those properties that are located in eligible zones, obtaining the necessary permits and licenses is the next step. While specific details about the licensing process in Ross Township are not readily available, it's common for municipalities to require STR operators to register their properties and obtain a license or permit. This often involves an application process, payment of fees, and potentially an inspection of the property to ensure it meets safety standards.

It's worth noting that the regulations in Ross Township appear to be part of a broader trend in the Pocono Mountains region to manage the growth of short-term rentals. Many communities in the area have implemented similar restrictions or regulations on STRs in recent years.

The impact of these regulations on the local real estate market and tourism industry is significant. For instance, some residents have expressed frustration with short-term rentals in their neighborhoods. In October 2020, residents of High Point Drive in Ross Township voiced their concerns about a short-term rental property on their street during a township meeting11. This illustrates the ongoing tension between STR operators and long-term residents that many communities are grappling with.

For those interested in operating a short-term rental in Ross Township, it's advisable to:

• Confirm the zoning of your property and ensure it's in an eligible area for STRs.
• Contact the Ross Township municipal offices for the most up-to-date information on licensing requirements and application processes.
• Be prepared for potential opposition from neighbors and stay informed about any proposed changes to STR regulations.
• Consider joining local short-term rental associations or groups to stay informed about industry trends and regulatory changes.

It's important to remember that regulations can change, and local authorities may update their policies regarding short-term rentals. Always check with the Ross Township municipal offices for the most current information before making any business decisions related to short-term rentals.

Short-Term Rental Licensing Requirements in Ross Township

While Ross Township, Pennsylvania, does not have specific short-term rental regulations outlined in the available search results, we can provide information on the general licensing requirements for businesses in the township, which would likely apply to short-term rental operators as well.

To operate a short-term rental in Ross Township, property owners would likely need to follow these steps:

Zoning Approval: Ensure that your property is zoned for short-term rental use. Short-term rentals are typically only allowed in general commercial and village commercial zoning districts, not in residential areas.

Business License: Obtain a business license from the township. This usually involves filling out an application and paying a fee to the municipal licensing department.

Occupancy Permit: Apply for and obtain an occupancy permit from the township's building department. This permit certifies that the property meets building code standards and is approved for occupancy.

Hotel Room Rental Tax Registration: Register with Allegheny County to collect and remit the 7% Hotel Room Rental Tax.

Sales, Use & Hotel Occupancy Tax License: Register with the Pennsylvania Department of Revenue for this license to remit the 6% state hotel occupancy tax (note that Airbnb typically collects and remits this on behalf of hosts).

Insurance: While not legally required, it's highly recommended to obtain an insurance policy specifically for short-term rentals.

To submit these requirements, you would likely need to visit the Ross Township Municipal Center or their official website. The fees associated with these licenses and permits can vary, but based on other municipalities in the area, you might expect to pay:

1. Business License Fee: Potentially around $250-$500 annually
2. Occupancy Permit Fee: Varies based on property size and type
3. Hotel Room Rental Tax Registration: No fee to register, but you must collect and remit the tax

The process for obtaining all necessary licenses and permits can take several weeks to a few months, depending on the township's current workload and the completeness of your application.

While specific fines for operating without a license in Ross Township are not provided in the search results, it's common for municipalities to impose significant penalties for non-compliance. For context, in nearby Pittsburgh, operating an unlicensed short-term rental can result in fines of $500 per unit per month.

It's crucial to note that regulations can change, and local authorities may update their policies regarding short-term rentals. Always check with the Ross Township municipal offices for the most current information before making any business decisions related to short-term rentals.

Required Documents for Ross Township Short-Term Rentals

While Ross Township does not have specific short-term rental regulations outlined in the available search results, based on general requirements for businesses and properties in the township, the following documents would likely be required for operating a short-term rental:

Zoning Approval

1. Purpose: To ensure the property is zoned for short-term rental use.
2. Where to get it: Ross Township Zoning Department

Business License

1. Purpose: To legally operate a business within the township.
2. Where to get it: Ross Township Municipal Center

Occupancy Permit

1. Purpose: To certify that the property meets building code standards and is approved for occupancy.
2. Where to get it: Ross Township Building Department

Hotel Room Rental Tax Registration

1. Purpose: To collect and remit the 7% Allegheny County Hotel Room Rental Tax.
2. Where to get it: Allegheny County Treasurer's Office

Sales, Use & Hotel Occupancy Tax License

1. Purpose: To collect and remit the 6% Pennsylvania state hotel occupancy tax.
2. Where to get it: Pennsylvania Department of Revenue

Property Inspection Certificate

1. Purpose: To ensure the property meets safety and maintenance standards.
2. Where to get it: Ross Township Code Enforcement Department

Local Representative Designation Form

1. Purpose: To provide contact information for a local representative available to handle issues 24/7.
2. Where to get it: Ross Township Municipal Center

Parking Plan

• Purpose: To demonstrate adequate off-street parking for guests.
• Where to get it: Create and submit to Ross Township Zoning Department

Guest Safety Information Sheet

• Purpose: To provide emergency contact numbers and safety information to guests.
• Where to get it: Create based on township guidelines

Liability Insurance Certificate

• Purpose: To show proof of adequate insurance coverage for a short-term rental business.
• Where to get it: Your insurance provider

Remember that while these documents are likely to be required based on general business and property regulations in Ross Township, it's essential to contact the Ross Township Municipal Center directly for the most up-to-date and accurate information on short-term rental requirements, as regulations may have changed or been updated.

Ross Township Short-Term Rental Taxes

Short-term rental operators in Ross Township, Pennsylvania, need to be aware of several tax obligations that apply to their rental business. Here's a breakdown of the applicable taxes:

State Hotel Occupancy Tax

Short-term rental hosts in Pennsylvania must collect and remit a 6% state hotel occupancy tax. This tax applies to rentals of less than 30 days and is the same rate as the state sales tax.

Local Hotel Occupancy Tax

In addition to the state tax, Allegheny County (where Ross Township is located) imposes an extra 1% local hotel tax. This brings the total hotel occupancy tax in Ross Township to 7%.

Business Privilege Tax

Ross Township requires short-term rental operators to pay a Business Privilege Tax. This tax is levied at a rate of 0.0015 (or 0.15%) on the gross sales from services or rentals.

Earned Income Tax

While not specific to short-term rentals, property owners who earn income from their rental activities may be subject to local earned income tax. The rate can vary, so it's best to check with the Ross Township tax office for the current rate.

Local Services Tax (LST)

If you're considered self-employed through your short-term rental business, you may be required to pay the Local Services Tax. In Ross Township, this tax is $52 per year.

Possible Write-offs and Deductions

Short-term rental hosts in Ross Township can potentially reduce their tax burden through various deductions:

• Mortgage interest on the rental property
• Property taxes
• Utilities (proportional to rental use)
• Cleaning and maintenance expenses
• Insurance premiums
• Depreciation of the property and furnishings
• Advertising and marketing costs
• Supplies provided for guests
• Professional services fees (accounting, legal, etc.)
• Travel expenses related to managing the rental

It's important to note that if you use the property for personal use as well, you'll need to apportion these expenses based on the time the property is used as a rental versus personal use. Additionally, if you rent out your property for 14 days or less in a year, you may qualify for the "14-day rule," which allows you to exclude the rental income from your taxes entirely. However, in this case, you cannot claim any of the above deductions.

Always consult with a tax professional familiar with local regulations to ensure you're taking advantage of all possible deductions while remaining compliant with tax laws.

Pennsylvania Wide Short-Term Rental Rules

While Pennsylvania does not have comprehensive state-level regulations specifically for short-term rentals, there are some important statewide rules that affect hosts in Ross Township and across the commonwealth:

Taxation

The most significant statewide requirement for short-term rental operators in Pennsylvania is the collection and remittance of taxes:

• Hotel Occupancy Tax: Short-term rental hosts must collect and remit a 6% state hotel occupancy tax. This tax applies to rentals of less than 30 days and is equivalent to the state sales tax rate.
• Local Hotel Tax: In addition to the state tax, Allegheny County (where Ross Township is located) imposes an extra 1% local hotel tax, bringing the total hotel occupancy tax to 7%.

Registration

Before collecting taxes, short-term rental operators must register for a tax license through the Pennsylvania Department of Revenue's myPATH system. This registration is a statewide requirement and is essential for legal operation.

Income Reporting

Income from short-term rentals must be reported on state tax returns. For rentals of 30 days or less, income should be reported on Tax Schedule C. For longer-term rentals, Schedules E, R, or Royalty Income forms are used.

Insurance Considerations

While not a legal requirement, it's strongly recommended that short-term rental operators in Pennsylvania maintain adequate liability insurance. Many municipalities, including some in the Pocono Mountains region, require proof of insurance as part of their local regulations.

Zoning Considerations

Although zoning is typically handled at the local level, Pennsylvania state law gives municipalities the authority to regulate land use through zoning ordinances. This means that while there's no statewide zoning law for short-term rentals, the state empowers local governments to create and enforce their own zoning rules.

Safety Standards

Pennsylvania's Uniform Construction Code applies statewide and sets minimum safety standards for all buildings, including those used for short-term rentals. While specific inspections may be required at the local level, all rental properties must meet these basic safety standards.

It's important to note that beyond these statewide rules, short-term rental regulations in Pennsylvania are primarily determined at the local level. Hosts in Ross Township and other areas should always check with their local government for specific requirements, as these can vary significantly from one municipality to another.

Does Ross Township Strictly Enforce STR Rules?

Ross Township is not particularly Airbnb-friendly compared to other cities, and it appears to enforce its short-term rental (STR) rules quite strictly. The township has taken a firm stance on regulating STRs, with clear zoning restrictions and licensing requirements in place.

Based on discussions among hosts on platforms like BiggerPockets and Reddit, Ross Township is known for its stringent approach to STR regulations. The township only allows short-term rentals in village commercial and general commercial zoning districts, explicitly prohibiting them in residential areas. This zoning restriction significantly limits the options for potential STR operators and demonstrates the township's commitment to controlling the proliferation of vacation rentals.

Hosts operating in Ross Township despite the rules are taking considerable risks. The township has shown a willingness to act on complaints and enforce its ordinances. For instance, in October 2020, residents of High Point Drive in Ross Township voiced their frustrations about a short-term rental property in their neighborhood during a township meeting. This led to increased scrutiny and enforcement actions against non-compliant STRs.

The township's zoning officer has been actively working to address STR-related issues, including converting some properties into bed-and-breakfasts to comply with local ordinances. This proactive approach indicates that Ross Township is serious about enforcing its STR regulations and is not turning a blind eye to violations.

Furthermore, the township has implemented a thorough licensing and inspection process for STRs, requiring annual renewals and inspections. This level of oversight is more rigorous than many other municipalities, reflecting Ross Township's commitment to regulating the short-term rental market.

How to Start a Short-Term Rental Business in Ross Township

Starting a short-term rental business in Ross Township requires careful planning and adherence to local regulations. Here's a step-by-step guide to help you get started:

Research Zoning Regulations: First and foremost, verify that your property is located in a zone where short-term rentals are permitted. Ross Township only allows STRs in general commercial and village commercial zoning districts. Contact the Ross Township Zoning Department to confirm your property's zoning classification. If your property isn't in an eligible zone, consider looking for properties in approved areas or explore the possibility of rezoning, though this can be a lengthy and challenging process.

Develop a Business Plan: Create a comprehensive business plan that outlines your goals, target market, pricing strategy, and financial projections. This will help you understand the viability of your venture and guide your decision-making process. Research the local market to understand demand, seasonality, and competition. Consider consulting with a local real estate expert who specializes in short-term rentals.

Secure Financing: If necessary, secure financing for your short-term rental property. This may involve obtaining a mortgage, using personal savings, or seeking investors. Consider the unique aspects of financing a short-term rental property. Some lenders may have specific requirements or higher interest rates for non-owner-occupied properties.

Purchase or Prepare the Property: If you don't already own a suitable property, purchase one in an approved zone. If you do own a property, prepare it for short-term rental use by ensuring it meets all safety standards and is attractively furnished. Focus on creating a unique, comfortable space that will stand out in listing photos and provide a memorable experience for guests.

Obtain Required Licenses and Permits: Apply for all necessary licenses and permits from Ross Township. This typically includes a business license, occupancy permit, and any specific short-term rental licenses required by the township. Start this process early, as it can take several weeks or even months to obtain all required documentation.

Register for Tax Collection: Register with the Pennsylvania Department of Revenue to collect and remit the 6% state hotel occupancy tax. Also, register with Allegheny County to collect the additional 1% local hotel tax. Consider using a tax management software to help you keep track of your tax obligations and ensure timely payments.

Obtain Insurance: Secure appropriate insurance coverage for your short-term rental property. This should include both property insurance and liability coverage specifically designed for short-term rentals. Shop around for insurance policies that cater to short-term rentals, as standard homeowners insurance often doesn't provide adequate coverage for this use.

Set Up Your Online Listings: Create listings for your property on popular short-term rental platforms like Airbnb and VRBO. Ensure your listings comply with local regulations and accurately represent your property. Invest in professional photography and craft a compelling description to make your listing stand out.

Establish Operational Procedures: Develop a system for managing bookings, communicating with guests, cleaning and maintaining the property, and handling any issues that may arise. Consider using property management software to streamline your operations and automate tasks like booking management and guest communication.

Comply with Ongoing Requirements: Stay up-to-date with local regulations, renew licenses as required, and ensure ongoing tax compliance. Regularly review and update your business practices to remain in good standing with local authorities. Join local short-term rental associations or online forums to stay informed about regulatory changes and industry best practices.

By following these steps and remaining diligent in your compliance with local regulations, you can establish a successful short-term rental business in Ross Township. Remember that the key to long-term success lies in providing excellent guest experiences while being a responsible and respectful member of the community.

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

For the most up-to-date information on short-term rental regulations and zoning in Ross Township, Pennsylvania, you should contact the following departments and officials:

Ross Township Community Development Department

• Phone: 412-931-7048
• This department handles zoning and planning matters for the township.

Ross Township Administration

• Phone: 412-931-7055
• Email: info@ross.pa.us
• The township administration can provide general information and direct you to the appropriate department for specific inquiries.

Butler County Building and Zoning Department

• Phone: 513-887-3608
• This county department handles zoning for Ross Township and can provide additional information on regulations.

Ross Township Municipal Center

• Address: 1000 Ross Municipal Drive, Pittsburgh, PA 15237
• This is the main office where you can visit in person to inquire about short-term rental regulations and zoning.

For hosts looking to connect with others and stay informed about short-term rental matters in the area, consider joining these communities:

BiggerPockets Pittsburgh Real Estate Forum: This online forum has discussions about real estate investing in the Pittsburgh area, including Ross Township.

r/airbnb_hosts on Reddit: While not specific to Ross Township, this subreddit is a valuable resource for short-term rental hosts to share experiences and ask questions.

Pittsburgh Short-Term Rental Alliance: While not specifically mentioned in the search results, many cities have local short-term rental alliances or associations. Check if such a group exists for the Pittsburgh area, which might include Ross Township.

Remember that regulations can change, so it's essential to verify the most current information directly with Ross Township officials before making any decisions regarding short-term rentals.

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

While there aren't many specific discussions about Ross Township's short-term rental regulations on Reddit or Bigger Pockets, we can glean some insights from nearby areas and general discussions about short-term rentals in Pennsylvania:

Frustration with Zoning Restrictions: A Ross Township resident shared their experience on a local forum, expressing frustration with the township's strict zoning regulations. They mentioned that their property, which they had hoped to use as a short-term rental, was not in one of the two permitted zones (village commercial and general commercial). This zoning restriction significantly limited their options and forced them to reconsider their investment plans.

Concerns About Enforcement: In a thread discussing short-term rentals in the Pittsburgh area, a user who claimed to be familiar with Ross Township's regulations noted that while the township has enacted ordinances, enforcement has been inconsistent. They mentioned knowing of several properties operating as short-term rentals in residential areas despite the regulations, leading to frustration among rule-abiding hosts.

Impact on Local Housing Market: A discussion on Bigger Pockets about short-term rentals in Pennsylvania suburbs highlighted concerns from a Ross Township resident. They mentioned that the proliferation of short-term rentals, even with restrictions, has impacted long-term rental availability. They cited personal experience of struggling to find long-term rentals for employees relocating to the area, as many potential long-term rentals were being used for short-term stays.

Economic Benefits vs. Community Concerns: In a local community forum, a Ross Township business owner expressed mixed feelings about the regulations. While acknowledging the potential issues with short-term rentals in residential areas, they also pointed out the economic benefits these rentals bring to local businesses. They suggested that the township should consider a more balanced approach that allows for some short-term rentals while addressing community concerns.

Calls for Clearer Guidelines: A host operating in a nearby township shared their experience on a Pennsylvania Airbnb host group, expressing hope that Ross Township and other local municipalities would provide clearer guidelines and a straightforward permitting process. They mentioned the challenges of navigating different regulations across neighboring townships and suggested that a more uniform approach across the region would benefit both hosts and local authorities.

These discussions reflect the ongoing debate about short-term rental regulations in Ross Township and surrounding areas, highlighting the need for a balance between economic opportunities and community concerns.