Phoenix STR Rules

AZ · Short-Term Rental Permit, Taxes & Requirements

permissive

Phoenix remains one of the more permissive major STR markets thanks to Arizona's state preemption law (A.R.S. § 9-500.39) — no night cap and no residency requirement. However, since November 2023 the city requires a Short-Term Rental Permit ($250/year) for every STR property. State and city transaction privilege taxes apply.

Yes
Permit Required
None
Night Cap
No
Residency Required
~12.57%
Est. Tax Rate

Permit Requirements

Permit nameShort-Term Rental Permit
Annual cost$250/year (initial and renewal, non-refundable)
Residency requiredNo
Host must be presentNo
Apply for Permit →

Key Rules for Phoenix STR Hosts

  • ✓STR permit required from Planning & Development — $250/year per property (since November 2023)
  • ✓No annual night cap
  • ✓No primary residence requirement
  • ✓Must notify neighbors within 300 feet of STR operation
  • ✓Must provide 24/7 emergency contact to the city
  • ✓Noise, parking, and safety ordinances apply
  • ✓Must collect AZ Transaction Privilege Tax (TPT) and city privilege tax

How to Get Started in Phoenix

  1. 1Register with AZ Department of Revenue for TPT license
  2. 2Apply for an STR permit via the SHAPE PHX portal at phoenix.gov/STR ($250, renewed annually)
  3. 3Notify neighbors within 300 feet and file the attestation with the city
  4. 4Provide 24/7 local contact information to the city
  5. 5Ensure property meets fire and safety codes
  6. 6List on platforms (Airbnb/VRBO collect taxes automatically in AZ)

Tax Breakdown

Estimated effective rate: ~12.57%

  • •AZ State TPT: 5.6%
  • •Phoenix City Privilege Tax: 2.3%
  • •Maricopa County Excise Tax: 0.7%
  • •AZ Hotel/Motel Tax: 5.5% (via counties)
  • •Total effective rate: ~12.57%

Note: Airbnb and VRBO typically collect and remit state and city taxes on behalf of hosts in these markets. Verify your platform's tax collection policy.

Enforcement Notes

Arizona preemption law largely prevents Phoenix from banning STRs. The city may regulate noise, safety, and neighborhood impacts but cannot restrict STRs by zoning or frequency. Since November 2023, Phoenix requires an STR permit from the Planning & Development Department. Hosts must notify neighbors within 300 feet of operating an STR.

Also check the AZ state guide for state-level tax registration, HOA rules, and preemption status.

Self-manage your Phoenix STR

The right tools make it easy to manage without a property manager.

Lodgify
All-in-one STR software
OwnerRez
Property management for serious hosts
Guesty
Scalable STR operations
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