Short-Term Rental Laws in Washington, DC (2026)
Short-term rentals are legal in Washington, DC only at the host's primary residence (the property must qualify for the Homestead Deduction), and hosts must hold a Basic Business License with a 'Short-Term Rental' endorsement (host present) or 'Short-Term Rental: Vacation Rental' endorsement (host absent), which costs $99 for a two-year license. The biggest restriction: un-hosted vacation rentals are capped at 90 nights per calendar year, DLCP issues only one STR license per host, and guests pay a 15.95% transient accommodations tax that platforms like Airbnb collect and remit. Always confirm current requirements with the city before operating.
Washington STR rules at a glance
| Legal status | Primary residence only |
|---|---|
| Permit required | Yes |
| Permit name | Basic Business License with 'Short-Term Rental' endorsement (host present) or 'Short-Term Rental: Vacation Rental' endorsement (host absent) |
| Permit fee | $99 |
| Renewal | Biennial |
| Owner occupancy required | Yes |
| Primary residence only | Yes |
| Max units per owner | 1 |
| Night cap per year | 90 nights |
| Total occupancy taxes | ~15.95% of gross revenue |
| Insurance | Statute (D.C. Code § 30-201.02(b)) requires current liability insurance of at least $500,000, which may be provided by the booking service, and allows the Mayor to adjust the minimum by rulemaking; DLCP's current application requirement is proof of liability insurance with a minimum of $250,000 in coverage (obtainable through the rental platform or an independent insurer). |
| Enforcement | Enforced by the Department of Licensing and Consumer Protection (DLCP), which runs a Short-Term Rental Hotline at (202) 221-8550 for complaints. License enforcement began after a grace period ended April 10, 2022 (extended to June 9, 2022 for hosts finalizing documentation). Booking services must file monthly itemized transaction reports to DLCP (host name, address, license number, listing URL, stay dates, rates) and must stop booking a property within 5 business days of notice that its license endorsement was suspended or revoked. Hosts must keep booking records for 2 years and post the license conspicuously inside the rental. |
| Current rules effective | 2019-04-25 |
What will guests pay in taxes on a Washington stay?
Itemized occupancy taxes for Washington, DC — enter your nightly rate to see the real cost breakdown.
Washington occupancy tax calculator
| Gross rent | $450.00 |
| DC Sales and Use Tax on Transient Accommodations (hotel/short-term rental tax) (15.95%)· usually collected by platform | $71.78 |
| Total tax (15.95%) | $71.78 |
| Guest pays | $521.78 |
Estimate only. Platform collection varies by listing site and agreement; verify rates with the taxing authorities.
Permits & licensing
Washington requires Basic Business License with 'Short-Term Rental' endorsement (host present) or 'Short-Term Rental: Vacation Rental' endorsement (host absent) to operate a short-term rental — the fee is $99, renewed biennial.
DLCP states 'The total cost for either license is $99.00 for a two-year license.' Older sources (including Airbnb's help center) cite $104.50 ($70 processing + $25 endorsement + 10% technology fee); the current official DLCP figure of $99.00 is used here. Application also requires a Certificate of Clean Hands (issued within 30 days), proof of liability insurance, self-certification of housing-code compliance, and HOA/condo/co-op approval if applicable.
Zoning & location rules
No zone-based restrictions: DLCP states short-term rentals may operate in any neighborhood or zone in the District as long as the host holds a valid Short-Term or Vacation Rental license. The binding restriction is tenure-based (primary residence, owned by a natural person; investment and corporate-owned properties are ineligible), not zoning-based. Stays are limited to 30 or fewer continuous nights and occupancy to a maximum of 8 transient guests or 2 guests per bedroom, whichever is greater.
Taxes
| Tax | Rate | Who collects |
|---|---|---|
| DC Sales and Use Tax on Transient Accommodations (hotel/short-term rental tax)Temporarily increased from 14.95% to 15.95% effective April 1, 2023, and extended through September 30, 2027 by the FY2026 Budget Support Act (beginning Oct 1, 2025 the extra 1% goes to DC local funds instead of Destination DC). D.C. Code § 30-201.08 requires booking services (Airbnb, Vrbo, etc.) to collect and remit these taxes on behalf of hosts; hosts taking direct bookings must remit to the DC Office of Tax and Revenue themselves. DC has no separate county tax. | 15.95% | platform |
Enforcement & penalties
Enforced by the Department of Licensing and Consumer Protection (DLCP), which runs a Short-Term Rental Hotline at (202) 221-8550 for complaints. License enforcement began after a grace period ended April 10, 2022 (extended to June 9, 2022 for hosts finalizing documentation). Booking services must file monthly itemized transaction reports to DLCP (host name, address, license number, listing URL, stay dates, rates) and must stop booking a property within 5 business days of notice that its license endorsement was suspended or revoked. Hosts must keep booking records for 2 years and post the license conspicuously inside the rental.
Host fines under D.C. Code § 30-201.10: $500 for the first violation, $2,000 for a second violation, and $6,000 for a third violation plus revocation of the short-term rental license endorsement. Booking services face $1,000 for each booking transaction made in violation of the subchapter. The Mayor may adjust these penalties by rulemaking.
⚠️ HOA/condo rules may prohibit STRs regardless of city law.
Getting legal in Washington: the playbook
Generated from this market's verified rules — each step traces to the sources at the bottom of this page.
- 1
Confirm you qualify
Washington limits short-term rentals to your primary residence — check this threshold before spending anything on applications. Investment properties generally do not qualify.
- 2
Verify your zoning
Location rules apply: No zone-based restrictions: DLCP states short-term rentals may operate in any neighborhood or zone in the District as long as the host holds a valid Short-Term or Vacation Rental license. The binding restriction is tenure-based (primary residence, owned by a natural person; investment and corporate-owned properties are ineligible), not zoning-based. Stays are limited to 30 or fewer continuous nights and occupancy to a maximum of 8 transient guests or 2 guests per bedroom, whichever is greater. Confirm your parcel's zoning with the city before applying.
- 3
Check the covenant layer
HOA/condo rules may prohibit STRs regardless of city law.
- 4
Apply for the Basic Business License with 'Short-Term Rental' endorsement (host present) or 'Short-Term Rental: Vacation Rental' endorsement (host absent)
Budget $99 (biennial renewal). DLCP states 'The total cost for either license is $99.00 for a two-year license.' Older sources (including Airbnb's help center) cite $104.50 ($70 processing + $25 endorsement + 10% technology fee); the current official DLCP figure of $99.00 is used here. Application also requires a Certificate of Clean Hands (issued within 30 days), proof of liability insurance, self-certification of housing-code compliance, and HOA/condo/co-op approval if applicable. Apply through the city — the official application page is linked in the sources below.
- 5
Line up required insurance
Statute (D.C. Code § 30-201.02(b)) requires current liability insurance of at least $500,000, which may be provided by the booking service, and allows the Mayor to adjust the minimum by rulemaking; DLCP's current application requirement is proof of liability insurance with a minimum of $250,000 in coverage (obtainable through the rental platform or an independent insurer).
- 6
Set up tax collection & remittance
The taxes on this market (DC Sales and Use Tax on Transient Accommodations (hotel/short-term rental tax) 15.95%) are typically platform-collected on major platforms — but direct bookings are always your responsibility to remit.
- 7
Configure your listing to the operating limits
Set your calendar and listing rules to respect the 90-night annual cap, 1-unit-per-owner limit — platform delisting and fines in this market typically start with listings that visibly violate these limits.
- 8
Calendar the renewal before you forget it
This permit renews biennial (budget $99 again). Most cities take weeks to process renewals and don't send reminders — our Host plan emails you at 60/30/7 days out.
- 9
Know the cost of getting it wrong
Host fines under D.C. Code § 30-201.10: $500 for the first violation, $2,000 for a second violation, and $6,000 for a third violation plus revocation of the short-term rental license endorsement. Booking services face $1,000 for each booking transaction made in violation of the subchapter. The Mayor may adjust these penalties by rulemaking. Enforced by the Department of Licensing and Consumer Protection (DLCP), which runs a Short-Term Rental Hotline at (202) 221-8550 for complaints. License enforcement began after a grace period ended April 10, 2022 (extended to June 9, 2022 for hosts finalizing documentation). Booking services must file monthly itemized transaction reports to DLCP (host name, address, license number, listing URL, stay dates, rates) and must stop booking a property within 5 business days of notice that its license endorsement was suspended or revoked. Hosts must keep booking records for 2 years and post the license conspicuously inside the rental.
Recent rule changes in Washington
March 13, 2026material
Short-Term Rental Regulation Amendment Act of 2026 introduced (pending, not yet law)
Mayor Bowser and DLCP transmitted a bill to the DC Council that would allow renters (not just owners) to operate a short-term rental at their primary residence, let District residents obtain an STR license for a second property they own in the District, and create a new special-events STR license allowing un-hosted rentals during Mayor-designated events. Pending Council approval; provisions may change.
Official source →October 1, 2025
15.95% transient accommodations tax extended through Sept 30, 2027
The FY2026 Budget Support Act extended the temporary 15.95% sales and use tax rate on transient accommodations (including short-term rentals) through September 30, 2027, and redirected the additional 1% from Destination DC marketing to DC local funds. No change to the rate guests pay.
Official source →April 1, 2023material
Transient accommodations tax increased from 14.95% to 15.95%
OTR Tax Notice 2023-01: the sales and use tax rate on transient accommodations, which applies to short-term rental bookings, rose by 1 percentage point (originally scheduled April 1, 2023 through March 30, 2027, since extended).
Official source →
Frequently asked questions
›Is Airbnb legal in Washington?
Airbnb is legal in Washington, DC, only for your primary residence — dedicated investment properties generally cannot be short-term rentals. Always confirm current requirements with the city before operating.
›Do I need a permit for a short-term rental in Washington?
Yes. Washington requires a Basic Business License with 'Short-Term Rental' endorsement (host present) or 'Short-Term Rental: Vacation Rental' endorsement (host absent) to operate a short-term rental, which costs $99 and must be renewed biennial. Always confirm current requirements with the city before operating.
›How much does a Washington short-term rental permit cost?
The Basic Business License with 'Short-Term Rental' endorsement (host present) or 'Short-Term Rental: Vacation Rental' endorsement (host absent) costs $99 (biennial renewal). DLCP states 'The total cost for either license is $99.00 for a two-year license.' Older sources (including Airbnb's help center) cite $104.50 ($70 processing + $25 endorsement + 10% technology fee); the current official DLCP figure of $99.00 is used here. Application also requires a Certificate of Clean Hands (issued within 30 days), proof of liability insurance, self-certification of housing-code compliance, and HOA/condo/co-op approval if applicable.
›Can I Airbnb a non-primary residence in Washington?
Generally no. Washington limits short-term rentals to the operator's primary residence, which rules out running a dedicated investment property as a short-term rental in most cases. Always confirm current requirements with the city before operating.
›What taxes do short-term rental hosts pay in Washington?
Hosts in Washington are subject to: DC Sales and Use Tax on Transient Accommodations (hotel/short-term rental tax) (15.95%) — roughly 15.95% total on gross rental revenue. Platforms like Airbnb collect some of these automatically; check each line's collection method on this page.
›How many nights per year can I rent out my home in Washington?
Washington caps short-term rentals at 90 nights per year. Always confirm current requirements with the city before operating.
Washington's STR rules changed 2 times recently.
Get an email the moment Washington changes its short-term rental rules — plus renewal reminders before your permit expires.
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Related
Nearby covered markets
- Ocean City, MDPermit required
- Cape May, NJPermit required
- Philadelphia, PAPermit required
- Virginia Beach, VARestricted
- New York, NYPrimary residence only
Sources
- DLCP - Operating a Short-Term Rental in the District of Columbiaretrieved July 11, 2026
- D.C. Code § 30-201.02. Restrictions on short-term rentalsretrieved July 11, 2026
- D.C. Code § 30-201.04. Short-term rental license endorsementretrieved July 11, 2026
- D.C. Code § 30-201.06. Requirements for short-term rentalsretrieved July 11, 2026
- D.C. Code § 30-201.08. Requirements for booking servicesretrieved July 11, 2026
- D.C. Code § 30-201.10. Penaltiesretrieved July 11, 2026
- DC Office of Tax and Revenue - Notice of Oct. 1, 2025 Tax Changesretrieved July 11, 2026
- OTR Tax Notice 2023-01: Sales and Use Tax Rate Increase on Transient Accommodationsretrieved July 11, 2026
- Mayor Bowser Announces New Short-Term Rental Legislation (Short-Term Rental Regulation Amendment Act of 2026)retrieved July 11, 2026
- Airbnb Help Center - Washington, DCretrieved July 11, 2026
This page is informational only and is not legal, tax, or financial advice. Rules change and enforcement varies — verify current requirements with Washington and a qualified professional before operating.