Scottsdale’s Short-Term Rental Laws: What You Need to Know

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Managing a short-term rental in Scottsdale, Arizona comes with certain rules you need to follow.

In this guide, we’ll help you understand the key laws and regulations, so you can avoid any issues with the local government.

What Are Short-Term Rentals?

Short-term rentals are homes or properties rented out for less than 30 days. Scottsdale allows short-term rentals, but there are specific guidelines you need to follow.

Short-Term Rentals Laws You Need To Know

Getting the Right Licenses

Before you can rent out your property, you need to get the right licenses:

  • Transaction Privilege Tax (TPT) License. This license from the Arizona Department of Revenue allows you to collect and pay rental taxes.
  • Scottsdale Short-Term Rental Registration. You must register your rental with the City of Scottsdale. You’ll also need to provide contact information for emergencies.
  • Maricopa County Registration. Registering with Maricopa County ensures your rental complies with local laws and protects you against future legal changes.

Rental Unit Rules

  • Single Group Rental. You cannot rent out individual rooms or guest houses to different groups at the same time. The entire property must be rented to one group only. You cannot rent out individual rooms or guest houses to different groups at the same time. The entire property must be rented to one group only.

Occupancy Limits

  • Adult Occupancy Limit. No more than six adults can stay in any vacation rental, no matter how big the property is. Children are allowed but must be with the adults.

Event Restrictions

  • No Events. You cannot rent out your property for events like weddings, parties, or as a venue for businesses like restaurants or art galleries. Rentals should be for residential use only.

Safety and Health Requirements

  • Smoke Detectors and Carbon Monoxide Alarms. Your rental must have working smoke detectors and carbon monoxide alarms.
  • Fire Extinguishers. You need to have fire extinguishers available.
  • Pool Safety. If your rental has a pool, it must have secure fencing and self-latching gates.

Noise and Conduct Rules

  • Noise Ordinance. Guests must follow the city’s noise rules. There should be a limit to loud noises during certain hours.
  • Guest Conduct. As the property owner, you are responsible for your guests’ behavior. You are responsible for preventing parties and illegal activities.

Tax Responsibilities

  • Transaction Privilege Tax (TPT). You must pay this tax and report your rental earnings to the City of Scottsdale.

Insurance Needs

  • Liability Insurance. You need liability insurance that covers short-term rental activities. This protects you from damages or injuries that may happen on your property.

What Happens If You Don't Follow the Rules?

If you don’t follow Scottsdale’s rental laws, you could face penalties:

  • Fines. You may have to pay fines, which can increase if you keep breaking the rules.
  • License Revocation. If you keep breaking the rules, you could lose your TPT license and the right to operate your rental.

Consult a Vacation Rental Manager Today

Understanding all these rules can be hard, but you don’t have to do it alone. Partnering with a professional management company like Cactus Vacation Rentals can make it easier. We know all the local regulations and will keep your property compliant while helping you earn more.

For professional help, consider partnering vacation rental management company like Cactus Vacation Rentals. We take care of everything from licensing and registration to guest screening and property maintenance. 

With our help, you can enjoy the benefits of owning a rental property without the hassle.

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