PHOENIX — Leading up to the Final Four tournament in the Valley, a City of Phoenix department says they’re cracking down on the needed permits for short-term rentals.
A leniency period focused on education first has come to an end, and now enforcement is underway with hundreds of violations already issued.
City Council passed an ordinance in the fall of 2023 requiring anyone who wants to rent out their home to have a permit.
Watch ABC15's previous coverage of short-term rentals in the video player below:
Enforcement didn’t start until after the new year to give homeowners looking to rent out their property time to understand the new policy.
With that education period now expired, there are more than 900 open cases the city is looking into and more than 600 violations that have already been issued.
The Director of Neighborhood Services told ABC15 they have a staff of about four people who are looking online and on the ground for those who don’t have permits to rent their homes.
Many of the cases are brought to the city by complaints from neighbors.
If you are renting and you don’t have the needed permit, the first violation is $500, or one night’s rent, whichever is greater. Penalties go up to $3,500, or a three-night rental fee, for a third violation.
For the renter, the permit itself costs $250 a year.
Learn how to get a rental permit here.
Some may think, ‘this is my property – why do I need to get a permit to rent it out?’
”The city has quite a few rules in terms of ordinances and laws that are required, even if you do own your property. Regardless, you can’t do construction without a building permit, you can’t run an industrial business without the correct zoning permit, you can’t run a short-term rental without the appropriate permit,” said Spencer Self, the Director of Neighborhood Services with the City of Phoenix.
Neighborhood Services says a renter with a permit is a good indicator that the person you’re renting from is legitimate.
The city says it’s hard to know exactly how many operating short-term rentals there are in Phoenix, but the best estimate from officials is about 5,000.
If you know someone with a short-term rental without a permit, you can visit MyPHX311 or send an email to blight@phoenix.gov.
