Where short-term rentals are allowed in Fredericksburg, TX
Fredericksburg is the Hill Country town that turned short-term rentals into a zoning question. Chapter 23, Article V of the city code requires a permit to operate inside the city limits, and four districts carry the use by right: C1 Neighborhood Commercial, C1.5 Commercial, C2 Commercial and the Central Business District, with the condominium variant needing a conditional use permit instead. Inspections are not a formality here: one before a new permit, one when it transfers, one on complaint, one after modifications, and one every year at renewal. In the extra-territorial jurisdiction, none of this applies.[3]
Every rule below links to the official source it comes from, verified September 20, 2026.
Can you rent short term in Fredericksburg?
Your zoning decides
What you apply for: Short-Term Rental permit
- Seasonal homes
- 751
- Housing units
- 6,525
- Residents
- 11,419
U.S. Census Bureau, 2024 ACS 5-year estimates
- City ruleAllowed by zone
- City feeNone published
- Tax on each staySet locally
- Seasonal homes115 per 1,000
Fredericksburg TX short-term rental permit
Fredericksburg requires a permit to operate a short-term rental inside the city limits, under Chapter 23, Article V of the city code — and requires nothing at all in its extra-territorial jurisdiction, where short-term rentals need no permit to operate. Inside the city the answer is zoning-led: C1 Neighborhood Commercial, C1.5 Commercial, C2 Commercial and the Central Business District allow all short-term rental uses by right, with the condominium variant needing a conditional use permit instead. A facility or complex holding several short-term rental units on a single commercial property is developed under the multifamily regulations of its base zoning district. Inspections are not a formality: one before a new permit is issued, one when the permit transfers to another owner, one on complaint, one after additions or modifications, and one every year at renewal.[3]
What Fredericksburg asks of you
City Ordinance Chapter 23, Article V requires a permit to operate a short-term rental inside the Fredericksburg city limits.[3]
Short-term rentals in the city's extra-territorial jurisdiction are not required to obtain a permit at all.[3]
The C1 Neighborhood Commercial, C1.5 Commercial, C2 Commercial and Central Business District zones allow all short-term rental uses by right, except the condominium form, which needs a conditional use permit.[3]
A complex of several short-term rental units on a single commercial property is developed under the multifamily regulations of its base zoning district.[3]
Inspections are required before a new permit is issued, when a permit transfers to another owner, on complaint, after additions or modifications, and annually at renewal.[3]
What Texas asks wherever you host
These rules apply at this address whatever the city decides.
Texas issues no state short-term rental licence. The statewide obligation is the hotel occupancy tax, and the Comptroller applies it to houses, condominiums and apartments as well as hotels.[1]
The state rate is 6 percent on a room costing $15 or more each day. Local hotel taxes reach further down, to sleeping rooms costing $2 or more each day, and the local taxing authority collects them itself.[1]
A guest who stays thirty or more consecutive days without interruption becomes a permanent resident and is exempt. Written notice of that intention makes the exemption run from the notice date; any interruption voids it.[2]
What a guest pays on top of your nightly rate in Fredericksburg
Each layer is set by a different authority, and not all of them are collected by the platform.
| Layer | Rate | Remitted to |
|---|---|---|
| Texas state hotel occupancy tax[1] | 6% | The state revenue department |
| Fredericksburg hotel occupancy tax[4] | Not published | The city |
The city runs its own hotel occupancy tax alongside the state's, and publishes its filing rules separately from the permit pages. A property in the ETJ still owes the state tax even though it needs no city permit.[4]
How short-term rental taxes work for US hostsWhat the census counts
How much of Fredericksburg is already a second home
The Census Bureau counts 751 of Fredericksburg's 6,525 homes as vacant for seasonal, recreational or occasional use — 115 out of every 1,000. That ranks Fredericksburg 7th of the 13 Texas cities on this site for the share of its housing stock kept for part-year use.
- Rank in the state
- 7th of 13
- Share of housing
- 115 per 1,000
- Median home value
- $460,300
U.S. Census Bureau, 2024 ACS 5-year estimates, tables B25004, B25001, B01003 and B25077.
Nearby and comparable
Where Fredericksburg sits among its neighbors
New Braunfels, TX
Allowed by zone
1,008 seasonal homes, 23 per 1,000 housing units.
Rules in New BraunfelsGranbury, TX
Allowed by zone
98 seasonal homes, 16 per 1,000 housing units.
Rules in GranburyKerrville, TX
Allowed by zone
104 seasonal homes, 9 per 1,000 housing units.
Rules in KerrvillePort Isabel, TX
Registration required
316 seasonal homes, 119 per 1,000 housing units.
Rules in Port IsabelFAQ
Fredericksburg short-term rental questions
Which Fredericksburg zones allow a short-term rental by right?
Do I need a permit in the Fredericksburg ETJ?
How often is a Fredericksburg short-term rental inspected?
Sources
- Hotel Occupancy Tax, Texas Comptroller of Public Accounts, read on September 20, 2026
- Hotel Occupancy Tax Exemptions (publication 96-224), Texas Comptroller of Public Accounts, read on September 20, 2026
- Short-Term Rental Permit, frequently asked questions, City of Fredericksburg, read on September 20, 2026
- Hotel Occupancy Taxes, City of Fredericksburg, read on September 20, 2026
This page is not legal advice. It summarizes the official sources listed on this page as they read on September 20, 2026. Rules can change after that date, so check with the issuing office before you apply or publish a listing.
Before you list
Free tools for new hosts
Short-term rental agreement generator
Parties, dates, rent, deposit checked against your state's cap, and the house rules clauses you enforce. A signed-ready PDF for direct and Vrbo bookings.
Airbnb house rules
Generate a complete PDF house rules document for your property: rules, schedule, amenities, emergency contacts.
Rental arbitrage calculator
Rent, deposit, furnishing, nightly rate and occupancy. You get monthly cash flow, the occupancy you break even at, and how long the setup takes to pay back.
Check-in instructions
The message a guest reads before getting in: access, keys, WiFi, parking, contact. English or bilingual output.