Short-Term Rental Laws in Phoenix, AZ (2026)
Short-term rentals are legal citywide in Phoenix — Arizona state law (A.R.S. 9-500.39) bars cities from banning them — but every STR property must hold a City of Phoenix Short-Term Rental Permit from the Planning & Development Department ($250 non-refundable fee, renewed every 12 months), plus an Arizona TPT license, $500,000 liability insurance, and certified-mail notice to neighbors. There are no night caps, minimum-stay rules, or per-owner unit limits, but nonresidential uses like special events are prohibited, and since April 4, 2026 an owner must live on-site to rent out a newly built accessory dwelling unit (ADU). Always confirm current requirements with the city before operating.
Reviewed by the STR Rule Watch research team against 7 official sources. How we verify data
Phoenix STR rules at a glance
| Legal status | Allowed with permit |
|---|---|
| Permit required | Yes |
| Permit name | Short-Term Rental Permit (City of Phoenix Planning & Development Department) |
| Permit fee | $250 |
| Renewal | Annual |
| Owner occupancy required | No |
| Primary residence only | No |
| Total occupancy taxes | ~13.07% of gross revenue |
| Insurance | Liability insurance with an aggregate of at least $500,000 must be maintained for the STR property (attested in the notarized city Affidavit & Attestation). State law alternatively allows offering the rental through an online lodging marketplace that provides equal or greater coverage. |
| Enforcement | The Neighborhood Services Department is the lead enforcement agency through the code compliance process; it investigates unpermitted STRs, verifies violations, and issues Notices of Ordinance Violation. |
| Current rules effective | 2023-11-06 |
What will guests pay in taxes on a Phoenix stay?
Itemized occupancy taxes for Phoenix, AZ — enter your nightly rate to see the real cost breakdown.
Phoenix occupancy tax calculator
| Gross rent | $450.00 |
| Arizona state + Maricopa County transient lodging TPT (business code 025) (7.27%)· collection varies | $32.72 |
| City of Phoenix hotel TPT (business code 044) (2.8%)· collection varies | $12.60 |
| City of Phoenix transient lodging additional tax (business code 144) (3%)· collection varies | $13.50 |
| Total tax (13.07%) | $58.82 |
| Guest pays | $508.82 |
Estimate only. Platform collection varies by listing site and agreement; verify rates with the taxing authorities.
Permits & licensing
Phoenix requires Short-Term Rental Permit (City of Phoenix Planning & Development Department) to operate a short-term rental — the fee is $250, renewed annually.
Initial and renewal fee of $250 (non-refundable) per permit; applied for through the SHAPE PHX portal. State law caps the fee at the actual cost of issuing the permit or $250, whichever is less. City must issue or deny within 7 days of receiving all application documents.
Zoning & location rules
STRs are allowed in residential zones citywide; A.R.S. 9-500.39 preempts Arizona cities from restricting STRs based on zoning classification, use, or occupancy, so Phoenix regulates through a permit system (City Code ch. 10, art. XVI) rather than zoning. Nonresidential uses of an STR (special events requiring a permit, retail, restaurant, banquet space, etc.) are prohibited by state law. Exception: a property with an accessory dwelling unit (ADU) that received a certificate of occupancy on or after 2024-09-14 may only be used as an STR if the property owner resides on the same property (attestation with proof of address required for applications from 2026-04-04).
Taxes
| Tax | Rate | Who collects |
|---|---|---|
| Arizona state + Maricopa County transient lodging TPT (business code 025)Combined state (5.5% transient lodging classification) and Maricopa County excise rate per ADOR rate table effective 2026-01-01. Applies to stays under 30 days. Online lodging marketplaces (Airbnb/Vrbo) must collect and remit for platform bookings (hosts deduct that income with code 775); hosts remit directly for direct bookings. ADOR lists a separate Online Lodging Marketplace classification (code 325) with a 5.72% combined state/county rate for Maricopa for marketplace-remitted bookings. | 7.27% | varies |
| City of Phoenix hotel TPT (business code 044)Raised from 2.3% to 2.8% effective 2025-07-01 by Ordinance G-7369. Platform collects/remits for OLM bookings; host remits for direct bookings. | 2.8% | varies |
| City of Phoenix transient lodging additional tax (business code 144)Additional 3.00% city tax on transient lodging (stays under 30 days), in effect since 2016-01-01. Platform collects/remits for OLM bookings; host remits for direct bookings. Total combined rate on Phoenix STR stays is approximately 13.07%. | 3% | varies |
Enforcement & penalties
The Neighborhood Services Department is the lead enforcement agency through the code compliance process; it investigates unpermitted STRs, verifies violations, and issues Notices of Ordinance Violation. Complaints can be filed online (PHX At Your Service) or via blight@phoenix.gov. A permit may be suspended for 12 months after 3 court-adjudicated violations within 12 months, or one conviction for a felony/serious crime within a year. State law also lets ADOR suspend a property's TPT license and lets the city fine owners who never applied for a permit up to $1,000 per month.
Court-adjudicated violations: first violation minimum $500 or one night's rental fee; second violation minimum $1,000 or two nights' rental fee; third violation minimum $3,500 or three nights' rental fee. Three adjudicated violations in 12 months (or one serious-crime conviction) can trigger a 12-month permit suspension.
⚠️ HOA/condo rules may prohibit STRs regardless of city law.
Getting legal in Phoenix: the playbook
Generated from this market's verified rules — each step traces to the sources at the bottom of this page.
- 1
Verify your zoning
Location rules apply: S. 39 preempts Arizona cities from restricting STRs based on zoning classification, use, or occupancy, so Phoenix regulates through a permit system (City Code ch. Confirm your parcel's zoning with the city before applying — the full zoning rules are detailed above.
- 2
Check the covenant layer
HOA/condo rules may prohibit STRs regardless of city law.
- 3
Apply for the Short-Term Rental Permit (City of Phoenix Planning & Development Department)
Budget $250, renewed annually. Initial and renewal fee of $250 (non-refundable) per permit; applied for through the SHAPE PHX portal. Apply through the city — the official application page is linked in the sources below.
- 4
Line up required insurance
Liability insurance with an aggregate of at least $500,000 must be maintained for the STR property (attested in the notarized city Affidavit & Attestation). State law alternatively allows offering the rental through an online lodging marketplace that provides equal or greater coverage.
- 5
Set up tax collection & remittance
Platforms don't collect everything here: Arizona state + Maricopa County transient lodging TPT (business code 025) (7.27%), City of Phoenix hotel TPT (business code 044) (2.8%), City of Phoenix transient lodging additional tax (business code 144) (3%) are remitted by the host. Register with the taxing authority before your first booking and calendar the filing deadlines.
- 6
Calendar the renewal before you forget it
This permit renews annually (budget $250 again). Most cities take weeks to process renewals and don't send reminders — our Host plan emails you at 60/30/7 days out.
- 7
Know the cost of getting it wrong
Court-adjudicated violations: first violation minimum $500 or one night's rental fee; second violation minimum $1,000 or two nights' rental fee; third violation minimum $3,500 or three nights' rental fee. Three adjudicated violations in 12 months (or one serious-crime conviction) can trigger a 12-month permit suspension. Full enforcement details and penalties are covered above.
Recent rule changes in Phoenix
August 15, 2026material
Phoenix: ADU short-term rentals need notarized owner-residency attestation (eff. Apr 4, 2026)
The City of Phoenix STR Registry page now states that effective April 4, 2026, an STR permit application for a property with an accessory dwelling unit whose certificate of occupancy was issued on or after September 14, 2024 must include a notarized attestation that the owner will reside on the same property, plus proof of address. Core permit terms are unchanged: $250 non-refundable initial/renewal fee, annual renewal, and $500/$1,000/$3,500 minimum penalties for first/second/third court-adjudicated violations.
Official source →April 4, 2026material
Owner-occupancy attestation required for STRs on properties with new ADUs
Effective April 4, 2026, if an STR application is for a property with an accessory dwelling unit (ADU) whose certificate of occupancy was issued on or after September 14, 2024, the property owner must submit a notarized attestation that they WILL reside on the same property, with proof of address (utility bill within 60 days or matching AZ ID).
Official source →July 1, 2025material
Phoenix city TPT rate on hotels/STRs increased from 2.3% to 2.8% (Ordinance G-7369)
On March 18, 2025 the Phoenix City Council passed Ordinance G-7369 raising the city privilege tax on multiple classifications, including Hotels (business code 044), from 2.3% to 2.8% effective July 1, 2025. Combined tax on Phoenix STR stays under 30 days rose to approximately 13.07% (7.27% state/county + 2.8% city hotel + 3.0% city transient lodging).
Official source →November 6, 2023material
STR permit requirement replaced registration (Ordinance G-7156)
Following 2022 state enabling law SB 1168, Phoenix City Council approved a September 2023 text amendment converting the 2020 STR registration program into a mandatory permit program effective November 6, 2023: $250 non-refundable initial/renewal fee, notarized attestations (including criminal background), $500,000 liability insurance, certified-mail notice to neighbors and HOAs within 600 feet, safety-equipment documentation, and enhanced civil penalties ($500/$1,000/$3,500 minimums) with 12-month permit suspension for repeat violations.
Official source →
Frequently asked questions
›Is Airbnb legal in Phoenix?
Yes — Airbnb and other short-term rentals are legal in Phoenix, AZ, but you must obtain a Short-Term Rental Permit (City of Phoenix Planning & Development Department) before operating. Always confirm current requirements with the city before operating.
›Do I need a permit for a short-term rental in Phoenix?
Yes. Phoenix requires a Short-Term Rental Permit (City of Phoenix Planning & Development Department) to operate a short-term rental, which costs $250 and must be renewed annually. Always confirm current requirements with the city before operating.
›How much does a Phoenix short-term rental permit cost?
The Short-Term Rental Permit (City of Phoenix Planning & Development Department) costs $250 (annual renewal). Initial and renewal fee of $250 (non-refundable) per permit; applied for through the SHAPE PHX portal. State law caps the fee at the actual cost of issuing the permit or $250, whichever is less. City must issue or deny within 7 days of receiving all application documents.
›Can I Airbnb a non-primary residence in Phoenix?
Yes — Phoenix does not limit short-term rentals to primary residences. Zoning and other restrictions may still apply. Always confirm current requirements with the city before operating.
›What taxes do short-term rental hosts pay in Phoenix?
Hosts in Phoenix are subject to: Arizona state + Maricopa County transient lodging TPT (business code 025) (7.27%), City of Phoenix hotel TPT (business code 044) (2.8%), City of Phoenix transient lodging additional tax (business code 144) (3%) — roughly 13.07% total on gross rental revenue. Platforms like Airbnb collect some of these automatically; check each line's collection method on this page.
›Do I need insurance to run a short-term rental in Phoenix?
Liability insurance with an aggregate of at least $500,000 must be maintained for the STR property (attested in the notarized city Affidavit & Attestation). State law alternatively allows offering the rental through an online lodging marketplace that provides equal or greater coverage. Always confirm current requirements with the city before operating.
›Does Airbnb collect taxes automatically in Phoenix?
No — in Phoenix hosts are responsible for registering, collecting, and remitting the listed occupancy taxes themselves. Always confirm current requirements with the city before operating.
›What happens if I operate a short-term rental illegally in Phoenix?
Court-adjudicated violations: first violation minimum $500 or one night's rental fee; second violation minimum $1,000 or two nights' rental fee; third violation minimum $3,500 or three nights' rental fee. Three adjudicated violations in 12 months (or one serious-crime conviction) can trigger a 12-month permit suspension. See the enforcement section on this page for full details.
›When did Phoenix's current short-term rental rules take effect?
The current ordinance took effect on November 6, 2023. See the change timeline on this page for amendments since, and the sources section for the official text.
Phoenix's STR rules changed 3 times recently.
Get an email the moment Phoenix changes its short-term rental rules — plus renewal reminders before your permit expires.
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More resources
- How to get a short-term rental permit in Phoenix
- Phoenix short-term rental taxes explained
- Can I Airbnb in Phoenix?
- All Arizona STR laws by city
- Occupancy tax calculator
- Compare STR permit costs across cities
- Phoenix ranks among easiest cities for airbnb
- STR city rankings: strictest, cheapest permits & more
- What is transient occupancy tax?
- Best STR compliance tools, compared
- Latest STR rule changes nationwide
Sources
- Short-Term Rental Registry — City of Phoenix Planning & Development Departmentretrieved July 9, 2026
- City of Phoenix STR Affidavit and Attestation — Acknowledgement of Short-Term Rental Permit Requirements (Rev. 4/2026)retrieved July 9, 2026
- A.R.S. § 9-500.39 — Limits on regulation of vacation rentals and short-term rentals; state preemption; civil penaltiesretrieved July 9, 2026
- Arizona Department of Revenue — Short-Term Lodging (TPT)retrieved July 9, 2026
- Arizona Department of Revenue — Phoenix Transaction Privilege Tax & Use Tax Rates (Model City Tax Code city profile)retrieved July 9, 2026
- Arizona Department of Revenue — TPT and Other Tax Rate Tables, effective January 1, 2026retrieved July 9, 2026
- Arizona Department of Revenue — TPT Update July 2025 (Phoenix Ordinance G-7369 rate increase)retrieved July 9, 2026
This page is informational only and is not legal, tax, or financial advice. Rules change and enforcement varies — verify current requirements with Phoenix and a qualified professional before operating.