STRs and you

In November, the Texas 3rd Court of Appeals issued a ruling on short-term rentals. Last week, the city’s Code Department offered a short clarification on what the ruling means for enforcement of existing rules in Austin. The department clarified that it will continue to issue Type 2, or non-owner-occupied, short-term rental commercial licenses, but is not required to issue Type 2 licenses in residential areas. In 2016, City Council approved a gradual ban on Type 2 STRs that will be fully implemented by 2022. As for existing license renewal: “Austin Code Department will continue to renew existing residential and commercially zoned STR Type 2 licenses as long as they are renewed on or before the expiration date. An STR residential Type 2 license will not be re-issued if it becomes expired. An application qualifies as a renewal if the application is submitted before the existing license expires.” The statement from the city confirmed that the Code Department will continue its enforcement of short-term rental properties, though it can no longer enforce occupancy limits that were imposed as part of the city’s short-term rental regulations, but can pursue enforcement of over-occupancy as defined by the Property Maintenance Code minimum square footage requirements.