What does Florida consider a short term rental?
Florida is undoubtedly one of the most popular tourist destinations in the United States. According to statistics provided by the Florida state government, there were approximately 140.6 million visitors in 2023, a 2.2 percent increase from 2022. The increase in tourism indicates the state’s growing demand for tourism services, including short term rental properties for vacationers to stay in. As such property owners in Florida, as a part of the short term rental market, can be a part of the tourism business, which contributed $121.5 billion to the state’s economy in 2022.
Since short term rental business can be a lucrative opportunity, it’s important to be aware of the regulations that are in place. This blog aims to educate property owners who are interested in hosting short term vacation rentals while spotlighting the most recent updates revolving around the subject such as the veto of SB 280.
Before anything else, it’s important to understand what Florida defines as a short term rental. Officially defined as “transient public lodging establishments,” a short term rental includes any unit rented out more than three times per calendar year for periods shorter than 30 days.
To legally operate in Florida, the property owner must register for and obtain a license from the Department of Business and Professional Regulation (DBPR). Before applying for a license, it’s important to know and collect the information one must submit to the DBPR. First, identify the category of the license for the property. The DBPR files the vacation rentals into two categories:
Category 1 | Category 2 |
After identifying the category, the next step is identifying the primary license types that apply to the property owner:
- Condominium
- Dwelling
After collecting the preliminary information, the property owner can apply online. Here are the application requirements for both of the applications for the condominium application and the dwelling application. If the property is being rented out on Airbnb, a different application needs to be filled out.
Here is a list of regulations that must be kept throughout the operation of short term rentals in Florida:
- Property owners must uphold safety measures such as regular balcony inspections and county fire safety standards. This may include installing automatic fire sprinklers for buildings three stories or higher.
- Information that can help visitors in an emergency should be readily available to them throughout the property. This can include having signs to locate fire extinguishers or emergency exits. For foreign visitors who may be unfamiliar with U.S. emergency procedures, posting emergency contact numbers.
What is the transient rental tax in Florida?
Florida’s 6% state sales tax, plus any applicable discretionary sales surtax, applies to rental charges or room rates paid for the right to use or occupy living quarters or sleeping or housekeeping accommodations for rental periods six months or less, often called “transient rental accommodations” or “transient rentals …
What qualifies as long term rental in Florida?
Between a short-term rental vs long-term rental, which is the better choice? Each one has its pros and cons. However, there are many factors you should consider before deciding whether to put your property up for rent.
Every state defines short term vs long term rentals differently. Hence, it’s important to know how the state of Florida defines each of these.
In the state of Florida, there isn’t a difference between a short term rental vs vacation rental. Let’s refer to the Florida Department of Business & Professional Regulation (DBPR) website to provide a clearer definition.
According to the DBPR, a vacation rental or short-term rental in Florida is:
“Any unit or group of units in a condominium or cooperative or any individually or collectively owned single-family, two-family, or four-family house or dwelling unit that is also a transient public lodging establishment but that is not a timeshare project.”
This means both dwelling units and condos can serve as vacation rentals.
Furthermore, the Robinson & Cole law firm defines it as dwelling units that are rented for less than 30 consecutive days. The unit must also be rented out more than three times per calendar year.
It’s also considered a short-term rental if you market the dwelling place as a frequently rented property to visitors.
In addition, short-term rentals are different from bed & breakfasts, motels, and hotels because of what they provide.
That’s because these short-term rentals typically offer independent living facilities for one or more persons. Unlike hotels and similar establishments, these facilities offer sleeping, living, eating, cooking, and sanitation provisions.
A long-term rental in Florida is also considered an annual or yearly vacation rental. They’re considered long-term rentals if guests stay at least 181 days (about 6 months) in the property.
These types of rentals are different from short-term ones because they’re usually unfurnished. Moreover, they are more pet-friendly and don’t require property owners to pay for utilities.
Before deciding between a short-term rental vs long-term rental, there are a few things you need to weigh.
Short-term rentals have become a lucrative business. The prices are more flexible because they can change based on season, demand, and weather conditions. You can also charge higher for special events and holidays.
In addition, you can change the prices often. It’s a norm in the short-term rental industry, so it won’t necessarily put off renters.
However, short-term rentals don’t guarantee income. Bookings will usually fluctuate between the on and off seasons.
Meanwhile, long-term rentals are less flexible and lucrative. You can’t charge too high as renters expect to pay much less for the longer lease duration.
Long-term rentals also have a set price every month. Thus, they will have less income potential.
But, they are more stable as they guarantee you monthly earnings. Long-term rentals also don’t require you to pay for utilities like gas, WiFi, or electricity.
Are 30 day rentals allowed in Florida?
Florida has always been one of the top locations to invest in an Airbnb property across the entire US market. Lucky for short term rental investors, The Sunshine State has some of the least restrictive regulations nationwide. Nevertheless, hosts need to be familiar and compliant with existing rules to avoid legal issues with local authorities.
This article summarizes and explains the Florida short term rental laws that apply at the state level as well as the specific regulations that regulate the Airbnb business in the hottest destinations within the state.
Understanding Florida short term rental laws is crucial, but real success comes from staying ahead of market shifts and making informed, data-driven decisions. That’s where our tool, Summer Forecast, comes in. With advanced forecasting tools and exclusive market insights, you can not only anticipate trends but also optimize pricing, maximize occupancy, and benchmark your performance against the competition.
With Summer Forecast, you’ll gain access to institutional-grade data for Florida vacation rentals so you can make smarter investment decisions and outperform the competition. Learn more now!
For legal and tax purposes, in the State of Florida short term rental rentals are referred to as vacation rentals and are defined by the Florida Department of Business & Professional Regulation (DBPR). A vacation rental refers to a transient public lodging establishment that may comprise any unit or group of units in a condominium or cooperative or any individually or collectively owned single-family, two-family, three-family, or four-family house or dwelling unit and that is not a timeshare project that is rented out for a period of less than 30 days or 1 calendar month, whichever is less.
In terms of licensing, Florida short term rentals are divided into 2 main categories: Timeshare projects are excluded from the definition of a vacation rental and face different requirements.
Launching a Florida Airbnb business requires following a number of steps that differ from one city and county to another. The most common elements of starting a short term rental business in Florida include:
- Fulfilling all requirements before listing your property on Airbnb or a similar platform
- Keeping an eye on changes in existing laws as the short term rental legal framework evolves in the US market
Florida short term rentals are required to have a license issued by the Division of Hotels and Restaurants if an entire unit is rented out for more than 3 times in a calendar year for periods of fewer than 30 days or 1 calendar month or if it is advertised or held out to the public as a place that is regularly rented to guests. Meanwhile, renting a single room or a few rooms rather than the whole unit is not considered public lodging and does not require a license.
In terms of property classification, there are 2 types of license.
What does Florida Department of Revenue do?
The purpose of the Department of Revenue is to provide fair and efficient child support and tax administration and achieve the highest levels of voluntary compliance while being accessible and responsive to citizens.
Why am I getting a letter from Florida Department of Revenue?
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How to get a tax ID number in Florida?
A Federal Employer Identification Number (FEIN or EIN) is a number assigned to businesses by the IRS for federal tax purposes. An EIN is essentially the equivalent of a social security number for your business, and you can obtain an EIN by filing Form SS-4 with the IRS.
Not all Florida businesses need an EIN, so we clarified the basic requirements below. Not the topic you’re looking for? Explore our website and learn how Sunshine Corporate Filings® can help you navigate the Florida business landscape.
We offer Florida registered agent service for $35 a year, an array of business formation and mail forwarding services, and the free use of our Florida business address for all of our clients.
Not every Florida business entity will need an EIN. The IRS provides a list of various reasons for why you will need an EIN.
You must obtain an EIN if:
- If you have a Florida LLC and your company falls into any of the above categories
There are four ways to submit a Form SS-4: online, by telephone, mail, and fax. The simplest, fastest and most-preferred method is online EIN filing. Toll-free number: 800-829-4933. Fax Number: 859-669-5760. Mailing Address: Internal Revenue Service Attn: EIN Operation Cincinnati, OH 45999.
To obtain an EIN for your Florida business, you must file a Form SS-4. It is free to obtain an EIN through the IRS. If you do not want to deal with the hassle of filing with the IRS, you can hire Sunshine Corporate Filings LLC as your Florida registered agent service, and we can obtain an EIN for you.
What is the email address for the Florida Doc?
Visitors and Inmates: (850) 717-3907 or email [email protected].