Tempe, AZ short-term rental license
Without the city's Short-Term Rental License, a Tempe rental of 29 days or less risks a penalty of up to $1,000 a month. Missing emergency contact details can add up to $1,000 a month more. Owners renting for 30 days or longer need no city license.[4]
Every rule below links to the official source it comes from, verified October 2, 2026.
Can you rent short term in Tempe?
Get a license first
What you apply for: Tempe Short-Term Rental License
- Seasonal homes
- 1,294
- Housing units
- 86,182
- Residents
- 188,065
U.S. Census Bureau, 2024 ACS 5-year estimates
- City ruleLicense required
- City fee$250
- Tax on each staySet locally
- Seasonal homes15 per 1,000
Tempe short-term rental license
To rent in Tempe for 29 days or less, you apply for a Short-Term Rental License before listing the property. Each unit takes its own license, application and payment. The fee is $250 a year for each property or unit. A license issued after July 1 costs $187.50. The application asks for your transaction privilege tax license number and proof of registration with the Maricopa County Assessor. Proof of liability coverage, $500,000 or more, goes in too. The local license number goes on your advertisements. Adjacent residential properties receive your emergency contact details. That contact responds within 30 minutes to an emergency and within 24 hours to any other complaint. No later than 24 hours before every stay, you check the person booking against the national sex offender public website. You keep that record for 12 months after the booking date. A complete application is decided within seven business days.[3]
What Tempe asks of you
Anyone renting a Tempe property for 29 days or less must hold a valid Short-Term Rental License, applied for before the property is listed.[3]
Each unit needs its own license, application and payment. Payment is $250 a year per property or unit, cut to $187.50 for a license issued after July 1.[3]
Applicants supply a transaction privilege tax license number and proof of registration with the Maricopa County Assessor. They also document a liability policy of at least $500,000.[3]
The local license number must be displayed on advertisements for the rental.[3]
Adjacent residential properties receive the emergency contact information. Responses are due within 30 minutes for an emergency and 24 hours for other complaints.[3]
The owner checks the person booking against the U.S. Department of Justice's national sex offender public website. That check happens at least 24 hours before every stay, and the record is kept for 12 months.[3]
Failing to obtain the license carries a penalty of up to $1,000 a month. Failing to provide emergency contact information carries up to $1,000 a month more.[4]
A first violation costs up to $500 or one night's advertised rent, whichever is greater. From the third violation, each one costs up to $3,500 or three nights' rent.[4]
Three verified violations within a rolling 12-month period can suspend the license for up to 12 months.[4]
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]
What a guest pays on top of your nightly rate in Tempe
Each layer is set by a different authority, and not all of them are collected by the platform.
| Layer | Rate | Remitted to |
|---|---|---|
| Arizona transient lodging transaction privilege tax[2] | Not published | The state revenue department |
| Tempe transaction privilege tax[5] | 1.8% | The city |
| Tempe transient lodging tax[5] | 5% | The city |
Tempe publishes its own two layers. Its 1.8% transaction privilege tax applies to a stay of any length, and its 5.0% transient lodging tax to stays under 30 days.[5]
Airbnb taxes for hostsWhat the census counts
How much of Tempe is already a second home
The Census Bureau counts 1,294 of Tempe's 86,182 homes as vacant for seasonal, recreational or occasional use. That is 15 out of every 1,000. It ranks Tempe 23rd of the 25 Arizona cities on this site for the share of its housing stock kept for part-year use.
- Rank in the state
- 23rd of 25
- Share of housing
- 15 per 1,000
- Median home value
- $455,400
U.S. Census Bureau, 2024 ACS 5-year estimates, tables B25004, B25001, B01003 and B25077.
Nearby and comparable
Where Tempe sits among its neighbors
Phoenix, AZ
Permit required
7,584 seasonal homes, 12 per 1,000 housing units.
Phoenix short-term rental rulesCave Creek, AZ
License required
221 seasonal homes, 77 per 1,000 housing units.
Cave Creek short-term rental rulesWickenburg, AZ
Permit required
388 seasonal homes, 78 per 1,000 housing units.
Wickenburg short-term rental rulesTucson, AZ
No city ordinance
3,726 seasonal homes, 15 per 1,000 housing units.
Tucson short-term rental rulesFAQ
Tempe short-term rental questions
What does a Tempe short-term rental license cost?
Do I have to screen Tempe guests?
How fast must my emergency contact respond?
Sources
- A.R.S. § 9-500.39, Limits on regulation of vacation rentals and short-term rentals, Arizona State Legislature, read on September 20, 2026
- A.R.S. § 42-5070, Transient lodging classification; definition, Arizona State Legislature, read on September 20, 2026
- Tempe Short-Term Rental license, apply for, City of Tempe, read on October 2, 2026
- Tempe Short-Term Rental license, Sales Tax and Licensing, City of Tempe, read on October 2, 2026
- Taxable Business Activities in Tempe, City of Tempe, read on October 2, 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.
Before you list
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