Is Rental Arbitrage Legal in Colorado?
Colorado has no statewide short-term rental license or rules. State law treats any rental of a lodging unit for less than 30 days as a short-term rental, and it lets counties and home-rule cities such as Denver set their own licenses, fees and taxes.
Requirements
- Check the rules of the city or county the property is in
- Check whether your homeowners' association or lease allows short-term rentals
Restrictions
- Counties may license and regulate short-term rentals and set fees under HB 20-1093 (2020), later clarified by HB 23-1287 (2023)
- Counties may require platforms to show the local license number on listings and to remove listings whose license is revoked or suspended
- Home-rule cities regulate short-term rentals on their own; Denver, for example, requires a primary residence
- Homeowners' associations and contracts can add their own limits
- Local licence fees and caps vary; Boulder County, for example, charges $350 initially and $250 to renew for a primary-residence license, with separate vacation rental licenses capped at 277 in mountain zones
Cities in Colorado
Next Step
Legal is one half of the decision. The other half is whether the deal earns enough to be worth the risk.
Sources
Frequently Asked Questions
- Does Colorado Have Statewide Short-Term Rental Rules?
- No. Counties and home-rule cities set them, each with its own license and lodging tax.
- Is Rental Arbitrage Legal in Denver?
- No. Denver only licenses short-term rentals in the host's own primary residence. See the Denver page.