Yavapai and Coconino County, AZ

Sedona, AZ short-term rental permit

Sedona issues its short-term rental permit unit by unit, so two rentals mean two permits. The conditions around that permit are ones Arizona law lets a city ask for, including the permit number in your listing.[4]

Every rule below links to the official source it comes from, verified October 2, 2026.

Can you rent short term in Sedona?

Get a permit first

What you apply for: City of Sedona short-term rental permit

Seasonal homes
1,260
Housing units
6,686
Residents
9,777

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

  • City rulePermit required
  • City fee$210
  • Tax on each staySet locally
  • Seasonal homes189 per 1,000

Sedona short-term rental permit

Sedona requires a city short-term rental permit for each rental unit, at a non-refundable, non-transferable fee of $210 a year per unit. Before the city will issue it, you need a transaction privilege tax license from the Arizona Department of Revenue. You also need contact details for the owner, the owner's designee and an emergency contact. Each unit must carry liability insurance of at least $500,000 in the aggregate, and all required building safety approvals must be in place. You must also notify every single-family property adjacent to, directly across from and diagonally across the street from yours before the first booking. Once issued, the permit number has to appear on every advertisement and listing. Arizona law caps any city permit fee at $250. Sedona sits just under the statutory ceiling.[4]

What Sedona asks of you

  • Each short-term rental unit requires its own city-issued permit, with an annual non-refundable, non-transferable fee of $210 per unit.[4]

  • You apply for a transaction privilege tax license from the Arizona Department of Revenue before the city permit.[4]

  • The city wants contact information for the owner, the owner's designee and an emergency contact.[4]

  • You must maintain liability insurance for each rental unit in the aggregate of at least $500,000.[4]

  • Building safety approvals and permits have to be in place, and the neighbors adjacent to, directly across from and diagonally across the street from the property have to be notified.[4]

  • The short-term rental permit number issued by the city goes on every advertisement and listing.[4]

Apply on the Sedona site

What Arizona asks wherever you host

These rules apply at this address whatever the city decides.

  • Arizona cities may not ban short-term rentals. A restriction by classification, use or occupancy is allowed only where the statute lists it.[1]

  • A city permit fee is capped at $250, or at the city's actual cost of issuing it if that is lower. The application may ask for six things only.[1]

  • A city may make you notify the adjacent, opposite and diagonally opposite properties before the first booking. It may also require the permit number on every advertisement.[1]

  • Stays shorter than thirty consecutive days are taxed under the state's transient lodging classification. Longer stays fall outside it.[2]

Arizona short-term rental rules

What a guest pays on top of your nightly rate in Sedona

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

Short-term rental tax layers in Sedona
LayerRateRemitted to
Arizona transient lodging transaction privilege tax[3]5.5%The state revenue department
City transient lodging tax[4]Not publishedThe city

Sedona's own transient lodging rate and the combined state and county rate are published in the Department of Revenue's transaction privilege tax rate table, which is reissued as rates change. Read the current table before you price.[2]

What the census counts

How much of Sedona is already a second home

The Census Bureau counts 1,260 of Sedona's 6,686 homes as vacant for seasonal, recreational or occasional use. That is 189 out of every 1,000. It ranks Sedona 4th of the 25 Arizona cities on this site for the share of its housing stock kept for part-year use.

Rank in the state
4th of 25
Share of housing
189 per 1,000
Median home value
$786,800

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

Nearby and comparable

Where Sedona sits among its neighbors

Carefree, AZ

License required

444 seasonal homes, 192 per 1,000 housing units.

Carefree short-term rental rules

Jerome, AZ

License required

51 seasonal homes, 179 per 1,000 housing units.

Jerome short-term rental rules

Show Low, AZ

Permit required

2,296 seasonal homes, 296 per 1,000 housing units.

Show Low short-term rental rules

Williams, AZ

Permit required

309 seasonal homes, 176 per 1,000 housing units.

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

FAQ

Sedona short-term rental questions

How much is a Sedona short-term rental permit?

$210 a year for each rental unit, non-refundable and non-transferable. Arizona law caps any city's permit fee at $250, so Sedona sits just under the ceiling.[4]

Does Sedona require insurance?

Yes. The city asks for liability insurance on each rental unit in the aggregate of at least $500,000 before you offer it for rent.[4]

Do I have to put the permit number in my listing?

Yes. Sedona requires the permit number it issues to appear on every advertisement and listing. Arizona law expressly allows a city to ask for that.[4]
Read nextHow to start an AirbnbThe six steps in order, starting with the permit check.Read the guide

Sources

  1. A.R.S. § 9-500.39, Limits on regulation of vacation rentals and short-term rentals, Arizona State Legislature, read on September 20, 2026
  2. A.R.S. § 42-5070, Transient lodging classification; definition, Arizona State Legislature, read on October 2, 2026
  3. A.R.S. § 42-5010, Rates; distribution base, Arizona State Legislature, read on October 2, 2026
  4. Property Owner Responsibilities, Short-term Rentals, City of Sedona, read on September 20, 2026

This page is not legal advice. It summarizes the official sources listed on this page as they read on October 2, 2026. Rules can change after that date, so check with the issuing office before you apply or publish a listing.

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