City Watch
Short-term rental rules in Tempe, AZ
How Tempe regulates short-term rentals: the rules that apply, their sources, and pending changes.
Short-term rentals here operate under a registration or permit system with ongoing operating rules.
- Annual STR license required before use (Sec. 16A-213)
- $250 non-refundable annual license fee (statutory cap)
- $500,000 liability insurance or equivalent marketplace coverage required
- 24/7 emergency point of contact with 30-min response duty
- Owner/designee background disqualifiers: registered sex offender, recent violent/deadly-weapon felony
- Neighbor notification required before first offering
- State AZ TPT license and Maricopa County Assessor registration required
- License suspension for 3 verified violations in 12 months or a single serious infraction
- No cap, no primary-residence requirement, no host-present rule; whole-home/absentee STR permitted
Based on: Tempe City Code Chapter 16A, Article XI, Secs. 16A-211 to 16A-224; Ordinance No. O2023.01
Summary of the rule
License required. Prior to use of a property as a short-term rental, the owner ... shall obtain an annual short-term rental license from the City. Renting, or offering for rent, a short-term rental without complying with the license requirement ... is prohibited.
View the ordinance source ↗✓ Verified
Last reviewed Sep 14, 2026 · Sources · Report an error
Pending legislation
Monitoring Tempe · system last checked Oct 25, 2026
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City Watch tracks changes from public sources — council agendas, state bills, local news — not a complete legal compendium.
A city permit is not the whole picture — HOA, condominium, deed, or lease rules may be stricter.
City Watch provides good-faith summaries of publicly available information as of the review date shown. Rules, enforcement, and permit availability can change, and summaries may contain errors or omissions. Ratings describe the general regulatory environment; they do not establish whether a particular property or stay is permitted. This is general information, not legal advice. Before buying, listing, or hosting, verify applicable requirements with the responsible authorities and review any HOA, condominium, deed, or lease restrictions.