Considering running an Airbnb in Denver in your new home?
City regulations are constantly changing and it is important to stay on top of the changes to avoid fines and potential problems. Currently in Denver there are 5,400 AirBnBs--double the amount than 2018. Only half are currently in compliance with the City of Denver.
-Must be primary residence if rentals are 30 days or less
-STR (Short Term Rental) license is required through the City of Denver
-Minimum $1M Liablity Insurance is requrired. Insurance for rental of rooms is also required though requirements are different and difficult to insure.
-Payment of 10.75% Lodgers Tax to the City of Denver
-Payment of State Sales Tax and Occupational Priviledge Tax
Other points to keep in mind are renters can AirBnB if their landlord gives written approval and to check with the HOA to make sure the HOA approves. The City can revoke or deny an STR license for “good cause”.
Before you purchase a home with the intention of running an AirBnB, do the research to see if it is worth your time and money. Below are excellent resources to start:
airdna.co - Analyze potential Airbnb investments.
insideairbnb.com - A visual map of the Airbnbs in Denver, and elsewhere.
Denver Short-Term Rental Advisory Committee - Meetings are held every other month. Meeting minutes and short-term rental stats are published here. Valuable resource for updates.