Short-Term Rental Rules in Washington, DC (2026): Permits, Taxes and Limits
Short-term renting is allowed in Washington, DC, but you need a license to operate legally. This applies whether you are operating a short-term or vacation rental, and specific rules govern each type of rental.[1][2]
Do you need a permit or license?
Yes, a valid basic business license with a "Short-Term Rental" or "Short-Term Rental: Vacation Rental" endorsement is required.[1][2] The property must serve as the homeowner's primary residence, eligible for the Homestead Tax Deduction, and owners must meet several criteria, including liability insurance of at least $250,000.[1][2][3] Only natural persons, not corporate entities or investment properties, can apply,[1] and licenses are valid for two years.[3]
Taxes
Hosts must pay all applicable transient lodging taxes.[1][3] These taxes may be collected by booking services on behalf of the hosts.[3]
Limits and restrictions
For short-term rentals, the host must be present and there is no limit on the number of nights rented within a calendar year, though each stay must be 30 nights or fewer.[1] Vacation rentals, where the host is not present, are limited to 90 nights per year unless exceptions apply.[1][3] Occupancy is limited to 8 guests, or 2 guests per bedroom, whichever is greater.[3]
Penalties
The rules mention the possibility of license suspension, revocation, and other sanction procedures, but no specific penalties are detailed.[2]
How to apply
Prospective hosts should apply through the DLCP by ensuring they meet all requirements and having an Access DC account.[1] Proof of eligibility for a Certificate of Clean Hands, liability insurance, and, where applicable, permission from property associations must be ready for submission.[1][2] The application process does not require a property inspection.[2]
At a glance
| Topic | What the rules say |
|---|---|
| Licensing | Required at $99 for two years per license type.[1] |
| Taxes | Must be paid; often collected by booking services.[1][3] |
| Primary residence | Must qualify for Homestead Tax Deduction.[1][2] |
| Night limits | Short-term: unlimited. Vacation: 90 nights/year.[1][2] |
| Occupancy | Maximum of 8 guests, or 2 guests per bedroom.[3] |
FAQ
Do I need to live in the property to rent it out?
Yes, the property must be your primary residence, eligible for the Homestead Tax Deduction, for both short-term and vacation rentals.[1][2]
Can a corporation apply for a short-term rental license?
Investment properties and those owned by corporate entities are not eligible.[1]
Where should I post the short-term rental license in my rental property?
You must conspicuously post a copy of the basic business license with the short-term rental license endorsement inside the rental.[3]
Running a rental in Washington
Permits, taxes and stays are easier to keep straight in one place. Rentology runs short, mid and long-term rentals in one system.
Sources
- Operating a Short-Term Rental in the District of Columbia | dlcp (official)
- Chapter 2. Short-term Rental Regulation. | D.C. Law Library (official)
- § 30–201.06. Requirements for short-term rentals. | D.C. Law Library (official)
Last checked: October 25, 2026. This page summarizes rules the government has published. It is not legal advice, and rules change: confirm with the local authority before you list a property.