Llano County, TX

Horseshoe Bay, TX short-term rental permit

Horseshoe Bay does not ask you to live in the home, or to stay there while guests do. What it does ask for is a Local Responsible Party, named on the application, who can respond within one hour.[4]

Every rule below links to the official source it comes from, verified October 1, 2026.

Can you rent short term in Horseshoe Bay?

Get a permit first

What you apply for: Short-Term Rental Permit

Seasonal homes
1,060
Housing units
3,851
Residents
4,854

U.S. Census Bureau, 2024 ACS 5-year estimates

  • City rulePermit required
  • City feeNone published
  • Tax on each stay6%
  • Seasonal homes275 per 1,000

Horseshoe Bay short-term rental permit

Horseshoe Bay requires an annual Short-Term Rental Permit for a home or other dwelling rented for less than 30 consecutive days. Article 4.08 of the city code holds the rules. Under it, every short-term rental needs a permit. Guests must comply with city codes. The operator, or a designated agent, has to be available to respond to complaints within one hour. The city's permit page gives two fees. Its opening paragraph mentions an annual fee of $600. Its fee section asks for a $1,200 registration fee with the application, describes it as annual and says it cannot be transferred. The grace period is over. A property counts as registered only once the city has both the application and the payment. Before that it may face fines of up to $200 a day.[3]

What Horseshoe Bay asks of you

  • An actively advertised short-term rental needs the permit even when its calendar shows no open dates.[4]

  • Listings limited to stays of at least 30 consecutive days need no permit.[4]

  • The application comes from the owner of the dwelling or from a representative of that owner.[4]

  • The city's FAQ charges $600 per address to apply. A permit expires one year after issuance, and renewing it costs another $600.[4]

  • The fee section of the city's permit page lists $1,200 instead. It calls that registration fee annual, due with the application and not transferable.[3]

  • No in-person inspection is scheduled. The applicant certifies under penalty of perjury that a type A fire extinguisher and smoke detectors work.[4]

  • The city can still inspect when it has reason to doubt compliance with fire, building or zoning requirements.[4]

  • Hosts leave guests contact information along with instructions on city services.[4]

  • Only the residential dwelling can be rented, never a camper, an RV or a trailer on the lot. One rental contract at a time is allowed.[4]

  • The city caps neither the number of rentals in town nor the number one owner holds. Each rental takes a separate permit.[4]

  • The city may revoke a permit when the rental harms public health, safety or welfare nearby. The same ground lets it turn down a new application.[4]

  • Renting without a permit can cost up to $200 a day for a first violation. A second runs up to $400 a day, a third up to $650.[4]

  • Neighbors report a short-term rental through the city's citizen portal or at 830-563-4551.[5]

Apply on the Horseshoe Bay site

What Texas asks wherever you host

These rules apply at this address whatever the city decides.

  • Texas issues no state short-term rental license. What the state does impose is its hotel occupancy tax. The Comptroller applies it to houses, condominiums and apartments, not only to hotels.[1]

  • A room priced at $15 or more a day owes the state 6 percent. Local hotel taxes start lower, at $2 a day for a sleeping room. The local taxing authority collects those itself.[1]

  • After thirty consecutive days without interruption, a guest becomes a permanent resident, exempt from the tax. A guest who announces that plan in writing is exempt from the date of the notice. Any interruption voids it.[2]

Texas short-term rental rules

What a guest pays on top of your nightly rate in Horseshoe Bay

Each layer is set by a different authority, and not all of them are collected by the platform.

Short-term rental tax layers in Horseshoe Bay
LayerRateRemitted to
Texas state hotel occupancy tax[1]6%The state revenue department
Total on a taxable stay6%

Horseshoe Bay collects no local hotel occupancy tax. For the state's 6%, the city refers hosts to the Comptroller.[6]

Airbnb taxes for hosts

What the census counts

How much of Horseshoe Bay is already a second home

The Census Bureau counts 1,060 of Horseshoe Bay's 3,851 homes as vacant for seasonal, recreational or occasional use. That is 275 out of every 1,000. It ranks Horseshoe Bay 3rd of the 23 Texas cities on this site for the share of its housing stock kept for part-year use.

Rank in the state
3rd of 23
Share of housing
275 per 1,000
Median home value
$549,800

U.S. Census Bureau, 2024 ACS 5-year estimates, tables B25004, B25001, B01003 and B25077.

Nearby and comparable

Where Horseshoe Bay sits among its neighbors

San Antonio, TX

Permit required

Type 1 if the owner or operator lives on site, Type 2 if not. Type 2 rentals are capped at 12.5% of a block face.

San Antonio short-term rental rules

Port Aransas, TX

Registration required

1,957 seasonal homes, 364 per 1,000 housing units.

Port Aransas short-term rental rules

Surfside Beach, TX

Registration required

287 seasonal homes, 238 per 1,000 housing units.

Surfside Beach short-term rental rules

South Padre Island, TX

Registration required

3,704 seasonal homes, 669 per 1,000 housing units.

South Padre Island short-term rental rules
StatewideEvery Texas city on this site, in one tableState law, the tax stack and every city we cover in Texas, with what each one asks of a host.Texas short-term rental rules

FAQ

Horseshoe Bay short-term rental questions

Do I need a Horseshoe Bay permit if my calendar is blocked?

Yes, as long as the listing is still advertised. The exemption is for a listing that takes no booking shorter than 30 consecutive days.[4]

When can I renew a Horseshoe Bay permit?

Up to 60 days before it expires. Renewing late exposes you to fines.[4]

Does the Llano County hotel tax apply in Horseshoe Bay?

No. The county's 4% is due only from places outside the City of Llano, the City of Horseshoe Bay or the city's ETJ. It is collected in the unincorporated part of the county alone.[7]
Read nextHow to start an AirbnbThe six steps in order, starting with the permit check.Read the guide

Sources

  1. Hotel Occupancy Tax, Texas Comptroller of Public Accounts, read on September 20, 2026
  2. Hotel Occupancy Tax Exemptions (publication 96-224), Texas Comptroller of Public Accounts, read on September 20, 2026
  3. Short-Term Rentals, application and ordinances, City of Horseshoe Bay, read on October 1, 2026
  4. What do I need to know if I want to use my home as a short-term rental?, City of Horseshoe Bay, read on October 1, 2026
  5. Code Enforcement Division, City of Horseshoe Bay, read on October 1, 2026
  6. Tax Rates, City of Horseshoe Bay, read on October 1, 2026
  7. Hotel Occupancy Tax, frequently asked questions, Llano County Treasurer, read on October 1, 2026

This page is not legal advice. It summarizes the official sources listed on this page as they read on October 1, 2026. Rules can change after that date, so check with the issuing office before you apply or publish a listing.

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