Short Term Rental, Denver, Airbnb, VRBO, Laws, Denver Real Estate

The following is an advisary sent out by DORA helping to advise Denver and Colorado residents on how to work with your HOA if you are considering using your home as a Short Term Rental:



Short-Term Rentals (STRs) are residential properties available for rent for a period ranging from nightly to 30 days to 6 months. STRs continue to be an issue in common interest communities and has led to associations getting creative in ways to restrict or regulate them. Take 5 to Get Wise and learn what it means to operate a short-term rental in your HOA.

Those considering operating STRs in their HOA.

Any prohibitions on STRs must be in the association’s covenants to be valid. Owners seeking to operate an STR out of their home should review their covenants for any restrictions.

Associations can enforce their STR restrictions by imposing fines on the homeowner. If fining does not stop the owner from using his or her home as an STR, the association can file a lawsuit for Injunctive relief; which is a court order telling  someone they must immediately stop the act or actions stated in the order.

Along with reviewing their associations covenants, owners, prior to starting an STR, should look to see if there are any city or county ordinances, requirements or restrictions pertaining to STRs.

The Town of Avon for example requires property owners to obtain a business license and a sales tax license in order to offer a STR in their residence for fewer than 30 days. Furthermore, to advertise the rental property in Avon, owners must include the Avon business license number in the advertisement. Another example is the City & County of Denver which requires hosts to obtain a business license, lodgers tax ID and have their license on all advertisements in order to offer a short-term rental.

Prior to operating an STR in their HOA owners should also consider.

  • What type of insurance may be needed.
  • What license and taxes will need to be filed.
  • Whether the property adheres to zoning code requirements including having operable smoke detectors, carbon monoxide detectors and fire extinguishers.

Looking Forward

The market for STRs in Colorado is increasing exponentially, signifying that STRs aren’t going away anytime soon. Associations should be prepared to address them in ways that work best for the community. Boards should consider having open discussions with the association members regarding their questions, concerns and needs when it comes to STRs.


We would love to help you rent, sell or buy!  Give us a call today!

Doug & Suzanne