Short-Term Rental Laws in Scottsdale, AZ (2026)
Short-term rentals are legal throughout Scottsdale (Arizona state law bars cities from prohibiting them), but every property rented for less than 30 days must hold an annual City of Scottsdale vacation rental license ($250 per property per year), plus a state TPT license and Maricopa County rental registration. There are no owner-occupancy, night-cap, or per-owner limits; the biggest restrictions are strict operational rules — $500,000 liability insurance, neighbor notification, sex-offender checks on booking guests, and a ban on commercial/event-center use that was significantly strengthened by Ordinance 4719 effective July 23, 2026. Always confirm current requirements with the city before operating.
Scottsdale STR rules at a glance
| Legal status | Allowed with permit |
|---|---|
| Permit required | Yes |
| Permit name | Vacation Rental License (Short-Term/Vacation Rental License) |
| Permit fee | $250 |
| Renewal | Annual |
| Owner occupancy required | No |
| Primary residence only | No |
| Total occupancy taxes | ~13.97% of gross revenue |
| Insurance | Yes - every STR owner must maintain liability insurance of at least $500,000 in the aggregate per rental property, unless every transaction is booked through an online lodging marketplace that provides equal or greater primary liability coverage (SRC Sec. 18-173). Evidence of insurance must be provided to the city within 30 days of obtaining the license; violation carries a minimum $500 fine (reducible to $100 once insured). |
| Enforcement | Scottsdale actively enforces: it runs a Short-Term Rental Resource Center (str.scottsdaleaz.gov) with a public map of licensed rentals, uses a contracted technology provider to identify listings (about 4,300 STRs identified when licensing began), and takes complaints via ScottsdaleEZ/Code Enforcement (typically addressed within two business days) and the police non-emergency line. The designated emergency contact must respond in person within one hour when requested by public safety personnel. Licenses are suspended for three verified violations in 12 months, or immediately for a single serious violation (felony by owner/designee, wrongful death/serious injury, housing sex offenders, sober living operation, or knowingly allowing prohibited special events); final suspensions last one year (reducible to six months). Courts may suspend a property's STR use up to 12 months for felony acts causing death or serious injury. The nuisance party ordinance (SRC 18-121) lets police remove non-residents and, since June 2024, hold party promoters liable; minors may not rent STRs. Enforcement activity remains high: in May 2026 police responded to 48 nuisance-related calls at STRs and issued 56 charges/citations. |
| Current rules effective | 2023-01-08 |
What will guests pay in taxes on a Scottsdale stay?
Itemized occupancy taxes for Scottsdale, AZ — enter your nightly rate to see the real cost breakdown.
Scottsdale 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 Scottsdale privilege (sales) tax on lodging - Hotels (business code 044) (1.7%)· collection varies | $7.65 |
| City of Scottsdale transient lodging tax - Additional Hotel Tax (business code 144) (5%)· collection varies | $22.50 |
| Total tax (13.97%) | $62.87 |
| Guest pays | $512.87 |
Estimate only. Platform collection varies by listing site and agreement; verify rates with the taxing authorities.
Permits & licensing
Scottsdale requires Vacation Rental License (Short-Term/Vacation Rental License) to operate a short-term rental — the fee is $250, renewed annual.
Non-refundable $250 fee per property with every application and renewal (SRC Sec. 18-152); $250 is the maximum allowed under A.R.S. 9-500.39. An additional $1,000 penalty applies for every 30-day period an owner fails to apply after written notice from the city.
Zoning & location rules
STRs are permitted in all residential zones; A.R.S. 9-500.39 preempts Arizona cities from prohibiting STRs or restricting them based on classification, use or occupancy except as enumerated, so Scottsdale imposes no zone-based bans, night caps, minimum stays, or per-owner unit caps. Occupancy is limited to a single family of one to six adults plus their related dependent children (per the required posted notice referencing Scottsdale Zoning Ordinance Appendix B Sec. 3.100). Non-residential uses are prohibited: retail, restaurant, event center or banquet space, sober living homes, adult-oriented businesses, liquor/pornography sales, housing sex offenders, and special events that would otherwise require a permit. Ordinance 4719 (effective July 23, 2026) adds a definition of 'event center' to strengthen enforcement against weddings, corporate events, and ticketed or promoter-driven parties at STRs.
Taxes
| Tax | Rate | Who collects |
|---|---|---|
| Arizona state + Maricopa County transient lodging TPT (business code 025)Combined state (5.5%) and Maricopa County rate per the AZDOR TPT rate table effective July 1, 2026. Online lodging marketplaces (Airbnb/Vrbo) are required to collect and remit TPT on platform bookings; hosts deduct that income with code 775 but must still file returns, and hosts remit directly on direct bookings. | 7.27% | varies |
| City of Scottsdale privilege (sales) tax on lodging - Hotels (business code 044)City TPT rate reduced from 1.75% to 1.70% effective July 1, 2025 following the November 2024 Proposition 490 election. Collected/remitted by the OLM for platform bookings, by the host for direct bookings. | 1.7% | varies |
| City of Scottsdale transient lodging tax - Additional Hotel Tax (business code 144)5.0% city transient tax on lodging furnished for 29 days or less, in addition to the 1.7% city privilege tax. Total combined lodging tax in Scottsdale is approximately 13.97% (7.27% state/county + 1.70% + 5.00% city). | 5% | varies |
Enforcement & penalties
Scottsdale actively enforces: it runs a Short-Term Rental Resource Center (str.scottsdaleaz.gov) with a public map of licensed rentals, uses a contracted technology provider to identify listings (about 4,300 STRs identified when licensing began), and takes complaints via ScottsdaleEZ/Code Enforcement (typically addressed within two business days) and the police non-emergency line. The designated emergency contact must respond in person within one hour when requested by public safety personnel. Licenses are suspended for three verified violations in 12 months, or immediately for a single serious violation (felony by owner/designee, wrongful death/serious injury, housing sex offenders, sober living operation, or knowingly allowing prohibited special events); final suspensions last one year (reducible to six months). Courts may suspend a property's STR use up to 12 months for felony acts causing death or serious injury. The nuisance party ordinance (SRC 18-121) lets police remove non-residents and, since June 2024, hold party promoters liable; minors may not rent STRs. Enforcement activity remains high: in May 2026 police responded to 48 nuisance-related calls at STRs and issued 56 charges/citations.
Operating without a license: civil fine of not less than $1,000 per violation, which the court may not suspend, plus a $1,000 penalty for each 30-day period of failure to apply after written city notice. Verified violations (state-capped schedule): up to $500 or one night's advertised rent (first), up to $1,000 or two nights (second), up to $3,500 or three nights (third and subsequent) within 12 months. Failure to perform the sex-offender background check: mandatory minimum $1,000 fine. Emergency contact failure to respond: minimum $500 ($250 if late beyond one hour). Failure to display the license number in ads, complete neighbor notification, or maintain insurance: minimum $500 each (reducible to $100 upon compliance). Repeated or serious violations trigger license suspension (one year) or revocation, with a one-year bar on reapplying for that property.
⚠️ HOA/condo rules may prohibit STRs regardless of city law.
Recent rule changes in Scottsdale
July 23, 2026material
Ordinance 4719 bans use of STRs as 'event centers'
Council unanimously approved an ordinance defining 'event center' to strengthen enforcement against STRs used for weddings, corporate events, ticketed and promoter-driven parties; ordinary residential gatherings are exempt. Violations can lead to citations for attendees and loss of the owner's rental license. Adopted late June 2026; takes effect July 23, 2026.
Official source →July 1, 2025
City privilege tax rate on lodging reduced from 1.75% to 1.70%
Following the November 2024 Proposition 490 election, Scottsdale's transaction privilege (sales) tax rate — which applies to the Hotels classification (code 044) alongside the unchanged 5.0% transient tax — became 1.70% effective July 1, 2025.
Official source →June 6, 2024material
Nuisance party and STR ordinance amendments (Ordinance 4655)
Unanimously approved May 6, 2024 and effective June 6, 2024: party promoters can be held responsible for nuisance parties, police may remove non-residents once a nuisance party is declared, and minors are barred from renting STRs. The city's licensing guide now cites Ordinance 4655 as the licensing authority.
Official source →January 8, 2023critical
Annual STR licensing requirement takes effect (Ordinance 4566)
Adopted October 25, 2022 under authority of state SB 1168; effective January 8, 2023 every STR must hold an annual $250-per-property city license, carry $500,000 liability insurance, notify neighbors, display the license number in ads, run sex-offender checks on booking guests, and meet health/safety rules, with $1,000 minimum fines for unlicensed operation and a license suspension regime.
Official source →
Frequently asked questions
›Is Airbnb legal in Scottsdale?
Yes — Airbnb and other short-term rentals are legal in Scottsdale, AZ, but you must obtain a Vacation Rental License (Short-Term/Vacation Rental License) before operating. Always confirm current requirements with the city before operating.
›Do I need a permit for a short-term rental in Scottsdale?
Yes. Scottsdale requires a Vacation Rental License (Short-Term/Vacation Rental License) to operate a short-term rental, which costs $250 and must be renewed every year. Always confirm current requirements with the city before operating.
›How much does a Scottsdale short-term rental permit cost?
The Vacation Rental License (Short-Term/Vacation Rental License) costs $250 (annual renewal). Non-refundable $250 fee per property with every application and renewal (SRC Sec. 18-152); $250 is the maximum allowed under A.R.S. 9-500.39. An additional $1,000 penalty applies for every 30-day period an owner fails to apply after written notice from the city.
›Can I Airbnb a non-primary residence in Scottsdale?
Yes — Scottsdale 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 Scottsdale?
Hosts in Scottsdale are subject to: Arizona state + Maricopa County transient lodging TPT (business code 025) (7.27%), City of Scottsdale privilege (sales) tax on lodging - Hotels (business code 044) (1.7%), City of Scottsdale transient lodging tax - Additional Hotel Tax (business code 144) (5%) — roughly 13.97% total on gross rental revenue. Platforms like Airbnb collect some of these automatically; check each line's collection method on this page.
›What happens if I operate a short-term rental illegally in Scottsdale?
Operating without a license: civil fine of not less than $1,000 per violation, which the court may not suspend, plus a $1,000 penalty for each 30-day period of failure to apply after written city notice. Verified violations (state-capped schedule): up to $500 or one night's advertised rent (first), up to $1,000 or two nights (second), up to $3,500 or three nights (third and subsequent) within 12 months. Failure to perform the sex-offender background check: mandatory minimum $1,000 fine. Emergency contact failure to respond: minimum $500 ($250 if late beyond one hour). Failure to display the license number in ads, complete neighbor notification, or maintain insurance: minimum $500 each (reducible to $100 upon compliance). Repeated or serious violations trigger license suspension (one year) or revocation, with a one-year bar on reapplying for that property. Scottsdale actively enforces: it runs a Short-Term Rental Resource Center (str.scottsdaleaz.gov) with a public map of licensed rentals, uses a contracted technology provider to identify listings (about 4,300 STRs identified when licensing began), and takes complaints via ScottsdaleEZ/Code Enforcement (typically addressed within two business days) and the police non-emergency line. The designated emergency contact must respond in person within one hour when requested by public safety personnel. Licenses are suspended for three verified violations in 12 months, or immediately for a single serious violation (felony by owner/designee, wrongful death/serious injury, housing sex offenders, sober living operation, or knowingly allowing prohibited special events); final suspensions last one year (reducible to six months). Courts may suspend a property's STR use up to 12 months for felony acts causing death or serious injury. The nuisance party ordinance (SRC 18-121) lets police remove non-residents and, since June 2024, hold party promoters liable; minors may not rent STRs. Enforcement activity remains high: in May 2026 police responded to 48 nuisance-related calls at STRs and issued 56 charges/citations.
Scottsdale's STR rules changed 2 times recently.
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Related
Nearby covered cities
- Phoenix, AZPermit required
- Sedona, AZPermit required
- Palm Springs, CARestricted
- San Diego, CAPermit required
- Los Angeles, CAPrimary residence only
Sources
- City of Scottsdale - Vacation and Short-Term Rentals: Information for Owners and Operatorsretrieved July 9, 2026
- City of Scottsdale - Vacation and Short-Term Rentals (main codes page)retrieved July 9, 2026
- Scottsdale Ordinance No. 4566 and City Council Report (adopted Oct. 25, 2022)retrieved July 9, 2026
- City of Scottsdale - Short-Term/Vacation Rental Licensing Process Guide (PDF)retrieved July 9, 2026
- City of Scottsdale - Taxes (privilege tax and transient lodging tax rates)retrieved July 9, 2026
- Arizona Department of Revenue - Short-Term Lodgingretrieved July 9, 2026
- AZDOR Transaction Privilege and Other Tax Rate Tables, effective July 1, 2026retrieved July 9, 2026
- AZFamily - Scottsdale cracks down on short-term rental party houses (Ordinance 4719)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 Scottsdale and a qualified professional before operating.