Short-Term Rental Rules in Denver, CO (2026): Permits, Taxes and Limits
Do you need a permit or license?
You need both a Short-Term Rental business license and a Lodger’s Tax license to operate a short-term rental in Denver [2][4]. A short-term rental must be in your primary residence [1][2]. The application fee for the business license is $50, and it requires a $100 annual renewal fee [2]. The Lodger’s Tax license costs $50 for two years [4]. The license is non-transferable [2].
Taxes
The Denver Lodger’s Tax rate is 10.75% on all lodging charges [4]. Additionally, there is a Colorado state-collected sales tax for lodging at 4% [2][4]. Hosts may need to register for the Denver Occupational Privilege Tax, with a rate of $4 per month for each owner [4]. AirBnB, VRBO, and similar platforms may remit taxes on behalf of hosts [4].
Limits and restrictions
Rentals can only occur at the host's primary residence [1][2]. There is no limit on the number of licenses issued or the number of rental nights per year [2]. Rentals must not show external advertisements apart from a small, non-illuminated sign [3].
Penalties
Operating without a license is unlawful after December 31, 2016 [1]. Illegally advertising a short-term rental without a license number displayed can result in penalties [1].
How to apply
Applications are managed by the Department of Excise and Licenses [1][2]. Applicants need to provide a valid Colorado driver’s license or state ID, proof of residency, and, if not the owner, written permission from the property owner [1].
At a glance
| Topic | What the rules say |
|---|---|
| Primary residence requirement | Must be the operator's primary residence [1][2] |
| License fees | $50 application; $100 annual renewal [2] |
| Lodger’s Tax rate | 10.75% [4] |
| State sales tax rate | 4% [2] |
| Liability insurance | $1,000,000 aggregate or equivalent platform coverage [2] |
| Safety equipment required | Smoke detector, CO detector, fire extinguisher [2] |
| License is non-transferable | Yes [1][2] |
FAQ
Can I rent another property for short-term stays in Denver?
The published rules do not state this; ask the city.
What safety equipment is required for short-term rentals?
Each rental must have a functioning smoke detector, carbon monoxide detector, and fire extinguisher [2].
Do I need liability insurance for my short-term rental?
Yes, hosts must maintain at least $1,000,000 in aggregate liability insurance, or use a platform that provides equal or greater coverage [2].
Running a rental in Denver
Permits, taxes and stays are easier to keep straight in one place. Rentology runs short, mid and long-term rentals in one system.
Sources
- can only have only one primary residence. (official)
- Denver, CO Short-Term Rental Rules (2026) | RuleGrid
- DENVER ZONING CODE DETERMINATION – ARE SHORT-TERM RENTALS
- Department of Finance
Last checked: October 12, 2026. This page summarizes rules the city, county or state has published. It is not legal advice, and rules change: confirm with the city before you list a property.