The Official, New STR Regulations in Austin, TX

August 7, 2023

In the wake of the federal court ruling last week, the City of Austin Code Department has been working diligently to update its regulations.

Given our active involvement and leadership in the short-term rental space, we will relay the updates from the COA Code Department as they are sent to us to keep STR owners and operators up-to-date with the evolving regulatory landscape.

Here is the latest email and update from the City of Austin Development Services:

I wanted to send you a link to the information regarding the court ruling so you can share it with your group.
Type 2 non-owner occupied STR license will be issued in all areas where Type 1 licenses are allowed. I’m also including an application you can share. We’re working on updating the online application to accept Type 2 license and don’t know when it will be ready to “go live”.

Link referenced

In the link above you can see how the Code Department interpreted the ruling and what it means for licensing. In the article found with the link they mention, “Due to staffing challenges, processing of short-term rental applications is taking 6-8 weeks.”

From our perspective at Five Star VHR, we highly recommend initiating the licensing application process as soon as possible. There is no doubt that their department will experience a significant surge in applications. While there are currently no limitations or restrictions on the number of Type 2 licenses that can be issued, it is wise to consider the possibility of such changes emerging in the future.

Please use this link for the most up-to-date STR Type 2 application.


Let us know if Five Star Vacation Home Rentals can be of assistance in any way.

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