City Watch
Short-term rental rules in Lexington, KY
How Lexington 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.
- Non-owner/absentee whole-home (un-hosted) STR requires a discretionary Board-of-Adjustment conditional use permit — not permitted by-right in residential zones
- Conditional use permit may be denied if 2% of homes within 1,000 ft are STRs or another STR is within 600 ft
- Three-license stack: zoning compliance permit + business license + $200 annual special-fees license
Based on: LFUCG Zoning Ordinance Art. 3-13 (General regulations for Short Term Rentals) + Code of Ordinances Sec. 13-77 (STR
Summary of the rule
Un-hosted Short Term Rentals (a primary resident does NOT occupy the dwelling — i.e. non-owner/absentee whole-home) in residential zones are NOT permitted by-right: they require a CONDITIONAL USE PERMIT heard by the Board of Adjustment (a discretionary, quasi-judicial, deniable approval under KRS 100.237), and the permit MAY BE DENIED if 2% of homes within 1,000 feet are STRs or another STR exists within 600 feet. Because absentee whole-home STR is barred by-right in residential zones and gated behind a deniable discretionary permit, this forecloses whole-home STR of the general residential stock.
View the ordinance source ↗✓ Verified
Last reviewed Sep 14, 2026 · Sources · Report an error
Pending legislation
Monitoring Lexington · system last checked Nov 9, 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.