Portland Short Term Rental Regulation: A Guide For Airbnb Hosts

What are short term rental (Airbnb, VRBO) regulations in Portland, Oregon?

Portland, known for its vibrant neighborhoods and thriving tourism industry, has taken a proactive approach to regulating the short-term rental market. The city's Accessory Short Term Rental (ASTR) program is the cornerstone of its efforts to balance the needs of the industry with the preservation of residential character.

Aspiring short-term rental hosts in Portland must navigate a comprehensive set of rules and requirements to operate legally. The first step is obtaining the appropriate ASTR permit - a Type A permit for renting up to two bedrooms to a maximum of five guests, or a Type B permit for rentals of three to five bedrooms and up to 10 guests. Crucially, hosts must also occupy the property as their primary residence for at least 270 days per year, ensuring that short-term rentals do not disrupt the fabric of the local community.

Beyond the ASTR permit, hosts must also register their short-term rental with the city's transient lodging tax program, obtain a business license, and officially register the rental as a business entity. Compliance with lease agreements, condominium board regulations, and Homeowners Association (HOA) rules is also essential, as these entities may have their own restrictions on short-term rentals.

The application process for an ASTR permit requires hosts to submit a neighborhood notification, completed forms, and the necessary fees. Proof of residency, in the form of an Oregon Driver's License or Identification Card, is also a mandatory requirement to confirm the host's eligibility.Short-term rental hosts in Portland are subject to transient lodging taxes imposed by the city, county, and state. Collecting and remitting these taxes is the responsibility of the hosts, though platforms like Airbnb often assist in the process, simplifying the tax compliance for hosts.

Portland's short-term rental regulations extend beyond the permitting and licensing requirements. The city has implemented a comprehensive set of rules governing occupancy limits, safety standards, and specific regulations for different permit types. Regular inspections by the city ensure that hosts are adhering to these rules, maintaining the integrity of neighborhoods and the safety of guests.

The city's enforcement of its short-term rental regulations has been a subject of debate within the local Airbnb community. Some hosts praise Portland's efforts, acknowledging the importance of regulating the industry to ensure fairness and preserve the character of residential areas. Others, however, have expressed frustration with the perceived burden of the regulations, arguing that they hinder their ability to operate a successful short-term rental business.

Ultimately, the perception of Portland's Airbnb friendliness and the level of host compliance with the city's regulations varies among different sources and individual experiences. While the city has demonstrated a strong commitment to enforcement, the impact on the short-term rental industry remains a topic of ongoing discussion and debate.

Starting a Short Term Rental Business in Portland

Starting a short-term rental business in Portland requires navigating a comprehensive set of regulations and obtaining the necessary permits. The city's Accessory Short Term Rental (ASTR) program is the foundation for legal short-term rental operations, with two distinct permit types based on the scale of the rental. Type A permits allow hosts to rent up to two bedrooms to a maximum of five guests, while Type B permits are for hosts renting between three and five bedrooms to a maximum of 10 guests.

A crucial requirement for short-term rental hosts in Portland is the 270-day residency rule, which mandates that the property be the host's primary residence for a significant portion of the year. This ensures that short-term rentals do not disrupt the character of residential neighborhoods. Additionally, hosts must include their ASTR permit number in all listings to demonstrate compliance with the city's regulations.

Short Term Rental Licensing Requirement in Portland

In addition to the ASTR permit, short-term rental hosts in Portland must fulfill several other licensing and registration requirements. Hosts are required to register with the city's transient lodging tax program, obtain a business license, and officially register their short-term rental as a business entity.

Compliance with lease agreements, condominium board regulations, and Homeowners Association (HOA) rules is also essential, as these entities may have their own restrictions on short-term rentals.

Required Documents for Portland Short Term Rentals

The application process for an ASTR permit in Portland involves submitting various documents. Hosts must provide a copy of a neighborhood notification, completed application forms, and the required fee. Proof of residency, in the form of an Oregon Driver's License or Oregon Identification Card, is also necessary to confirm the host's eligibility for the permit.

The required documents for short-term rentals in Portland, Oregon include:

• Proof of insurance 1
• Proof of payment of transient room tax 1
• Proof of compliance with all applicable zoning and building codes 1
• Completed application forms 1
• Neighborhood notification 1
• Copy of Oregon Driver's License or ID to confirm residency 1
• Application fee 1

Portland Short Term Rental Taxes

Short-term rental hosts in Portland are subject to transient lodging taxes imposed by the city, Multnomah County, and the state of Oregon. Hosts are responsible for collecting these taxes from their guests and remitting them to the appropriate tax authorities. Platforms like Airbnb often assist hosts in the collection and remittance process, simplifying the tax compliance requirements.

Portland-wide Short Term Rental Rules

Portland's comprehensive short-term rental regulations aim to strike a balance between supporting the industry and preserving the character of residential neighborhoods. These rules include occupancy limits, safety requirements, and specific regulations for different permit types.

The city conducts regular inspections to ensure that hosts comply with these rules, maintaining safety standards and the integrity of the local community.

Does Portland strictly enforce STR rules? Is Portland Airbnb friendly?

Portland has demonstrated a strong commitment to enforcing its short-term rental regulations, actively cracking down on illegal rentals and pressuring platforms like Airbnb to remove listings without valid permit numbers. The city's efforts to ensure compliance have been met with mixed reactions from the short-term rental community.

Some Airbnb hosts in Portland praise the city's approach, acknowledging the importance of regulating the industry to maintain fairness and preserve the character of neighborhoods. They believe that the strict enforcement helps to level the playing field and ensures that all short-term rental operators are held to the same standards.

However, other hosts have expressed frustration with the city's enforcement efforts, arguing that the regulations are overly burdensome and hinder their ability to operate a successful short-term rental business. These hosts often feel that Portland is not as Airbnb-friendly as other cities, and they may choose to operate their rentals despite the risks of non-compliance.

Ultimately, the perception of Portland's Airbnb friendliness and the level of host compliance with the city's regulations varies among different sources and individual experiences. While the city has demonstrated a strong commitment to enforcement, the impact on the short-term rental industry remains a subject of ongoing debate.

How to Start a Short Term Rental Business in Portland

• Familiarize yourself with the zoning regulations and permit requirements for your property. Ensure that your property is located in an area zoned for short-term rentals and meets the necessary criteria.
• Apply for the appropriate ASTR permit based on the number of bedrooms and guests you plan to accommodate. Type A permits are for rentals of up to two bedrooms and five guests, while Type B permits are for rentals of three to five bedrooms and up to 10 guests.
• Register your short-term rental with the city's transient lodging tax program. This involves obtaining a business license and officially registering your rental as a business entity.
• Comply with any additional requirements, such as lease agreements, condominium board regulations, or Homeowners Association (HOA) rules that may apply to your property.
• Ensure that your short-term rental meets all safety standards and other regulations set forth by the city. This may include conducting inspections and making necessary improvements to the property.
• Include your ASTR permit number in all listings to demonstrate compliance with Portland's short-term rental regulations.
• Collect and remit the required transient lodging taxes from your guests, either directly or through a platform like Airbnb that handles the tax collection and remittance process.

Who to contact in Portland about Short Term Rental Regulations and Zoning?

For inquiries regarding short-term rental regulations and zoning in Portland, the primary point of contact is the Bureau of Development Services. You can reach them at 503-823-7300 or visit their website at www.portlandoregon.gov/bds for detailed information and assistance.

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

On the popular real estate forum Bigger Pockets, user STRInvestorPDX shared their perspective on Portland's short-term rental regulations. They acknowledged the strictness of the city's rules but viewed them as necessary for maintaining the quality of neighborhoods and ensuring compliance within the industry. STRInvestorPDX emphasized the importance of understanding and adhering to the regulations to operate a successful and sustainable short-term rental business in Portland.

Similarly, on the Reddit platform, user u/PortlandHost123 expressed appreciation for the city's efforts to regulate the short-term rental market. They believed that the regulations help to ensure fair competition and preserve the character of residential areas, which ultimately benefits both hosts and the local community.

However, not all Airbnb hosts in Portland share this positive sentiment. Some have expressed frustration with the city's enforcement efforts, arguing that the regulations are overly burdensome and hinder their ability to operate a profitable short-term rental business. These hosts may choose to continue operating despite the risks of non-compliance, highlighting the ongoing tensions between the city's regulatory approach and the desires of some short-term rental hosts.

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.