City Watch
Short-term rental rules in Ouray, CO
How Ouray regulates short-term rentals: the rules that apply, their sources, and pending changes.
Rules here limit which homes may operate as short-term rentals, how many, where, or for how many nights a year.
- Residential-zone exclusion — STRs prohibited outright in the R-1 zoning district (Ouray Municipal Code Sec. 7-7.H.3.a)
- STRs prohibited in accessory dwelling units citywide (Sec. 7-7.H.3.b)
- Hard citywide numeric cap on STR licenses (Cap adopted by City Council; currently 120 total licenses per city STR program page)
- STR permit required with mandatory site/building inspection prior to licensure in the R-2, C-1, C-2 zones where STR remains permitted
Based on: Ouray Municipal Code Sec. 7-7 (Use Regulations), subsection H 'Short-Term Rentals'; Table of Allowed Uses (7-7.A).
Summary of the rule
STRs are prohibited in the R-1 Zone District.
View the ordinance source ↗✓ Verified
Last reviewed Sep 16, 2026 · Sources · Report an error
Pending legislation
Monitoring Ouray · 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.