Let’s talk about the rules for short-term rentals (STRs) – like Airbnb and VRBO – in New Braunfels, Texas. It can seem like a lot, but we can break it down in a way that’s easy to understand.
What’s a Short-Term Rental?
In New Braunfels, a short-term rental is a house or a two-family house that people rent out for less than 30 days at a time. Think of it like a hotel, but it’s someone’s home. This doesn’t include regular hotels, motels, or apartments that rent for longer periods. If you advertise your house online for short stays, you need to follow these rules!
Getting Permission: The Permit
If you want to run a short-term rental in New Braunfels, you need to get a special permission slip from the city called a permit. You can’t just start renting without it. You have to apply online through the city’s website.
To get a permit, you’ll need to show them some important papers, like:
- Proof that you own the house.
- A drawing of your property showing where the house is and where people can park their cars (not in the garage!).
- A drawing of the inside of your house, showing all the rooms and where people sleep.
- Proof that you have insurance in case something goes wrong.
- The name and phone number of someone who can be there quickly if there’s a problem.
- A letter if someone else is helping you manage the rental.
- A paper that tells renters the rules and who to call if there’s an emergency.
- Information about your water and other bills.
There’s also a fee to apply for the permit and another fee every year to keep it active. Someone from the city will also come to check your house to make sure it’s safe for renters. Once everything is okay, you’ll get your permit!
Where Can You Have a Short-Term Rental? Zoning Rules
This is a big one. The city has rules about where you can and cannot have short-term rentals based on how the land is zoned (what the city says that area can be used for).
- No STRs in Normal Neighborhoods: If your house is in an area zoned for regular houses (like where most people live), you usually can’t have a short-term rental. This is something people are fighting about in court right now.
- STRs in Some Business Areas (Maybe with Extra Steps): In some areas zoned for businesses, you might be able to have a short-term rental, but you might need to get another special permission called a “Special Use Permit” (SUP). This is like asking the city extra nicely if it’s okay.
- No SUP Needed in Certain Business Areas: There are a few specific business zones where you might not need the extra SUP, but you still need the regular permit.
- Getting a Special Use Permit (SUP): Getting an SUP can take a while (maybe three months!) and cost extra money. The city will tell your neighbors you want to do this, and there will be public meetings where people can say if they agree or disagree. You’ll need to give the city a lot more information about your property. Even if you do all this, the city might still say no.
- No STRs in Floodways: If your house is in an area that floods easily (a floodway), you can’t have a short-term rental, no matter what the zoning is.
How to Check: The city has a cool online map where you can type in an address and see if short-term rentals are allowed there.
Rules for Running Your Rental
Once you have your permit, you need to follow some rules to make sure everything runs smoothly and doesn’t bother the neighbors:
- How Many People Can Stay? You can have two adults for every bedroom, plus two more adults in the whole house.
- Parking: You need to have at least one parking spot outside the garage for each bedroom.
- Noise: You have to follow the city’s general rules about noise. If your renters are too loud, people can complain to the police.
- Trash: You and your guests need to follow the regular trash rules for houses in the city.
- Safety: You need to have things like smoke detectors and fire extinguishers that work. You also need to have a plan for how people can get out of the house in an emergency, and it needs to be easy for guests to see.
- Insurance: You need to keep your insurance up to date.
- Someone to Call: You need to have a person who is available 24/7 and can get to the property within an hour if there’s a problem.
- Things to Show: You need to put your permit sticker on the property and give your guests the information sheet with the rules and emergency numbers.
The city also suggests having a written agreement with your renters.
Paying Taxes: Hotel Occupancy Tax (HOT)
If you rent your place for less than 30 days, you have to collect a special tax from your guests called the Hotel Occupancy Tax (HOT). There are a few parts to this tax:
- State Tax: Texas charges a 6% tax.
- City Tax: New Braunfels charges a 7% tax.
- County Tax (Maybe): If your property is in a certain part of the city (Guadalupe County), you might have to collect another county tax.
- Water District Fee (Usually Not in the City): There’s another fee for properties near the lake, but this usually doesn’t apply to rentals within the city.
Important! You are the one who needs to collect and send the city’s 7% tax (and the county tax if it applies). Websites like Airbnb and VRBO might collect the state tax, but they usually don’t handle the city’s tax for you. You have to do it yourself through the city’s online portal every month, even if you didn’t have any renters that month. If you don’t pay on time, you’ll have to pay extra fees! The city can also check your records to make sure you’re paying the right amount.
What Happens if You Break the Rules?
The city has people who check if short-term rentals are following the rules. If people complain about your rental or if you don’t have a permit, you could get in trouble. This could mean getting fines or even having your permit taken away. If you don’t pay your taxes, you’ll also have to pay penalties and could even face legal charges.
Things Are Changing: New Rules and a Court Case
The rules for short-term rentals in New Braunfels have been updated recently, and there’s a big court case going on right now. Some people think the city’s rule that bans short-term rentals in regular neighborhoods is unfair. The court case is still ongoing, so the rules might change in the future.
What Should You Do?
If you’re thinking about running a short-term rental in New Braunfels, it’s really important to:
- Check the City’s Website: The city has a lot of information online about the rules.
- Use the Online Map: See if short-term rentals are allowed where you want to operate.
- Read the City’s Guide: They have a special guide for short-term rentals.
- Talk to a Lawyer (If Needed): If you have questions about the rules or the court case, it’s a good idea to talk to a lawyer who knows about this stuff.
- Contact the City: You can also call the city if you have specific questions.
It’s important to follow all the rules so you can run your short-term rental safely and without problems!
Learn More Here: City Of New Braunfels
