LicensedRental

McLennan County, Texas

Waco, TX vacation rental requirements

Waco licenses every short-term rental for two years ($500, then $250 to renew), after a life safety inspection. You submit a site plan showing off-street parking and post an evacuation plan in every bedroom. Homes you don’t live in can’t be rented in most single-family zones. Stays owe 15% hotel tax (6% state, 7% city, 2% county); Airbnb collects only the state share.

Checked against official sources November 8, 2026

Download checklist (PDF)Free. A printable version of this guide to tick off, with the official sources.

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Market
About 640 Airbnb listings
Ranked 16th in Texas by AirROI.Source
City license
Required, $500 for two years
$250 to renew, plus a $75 inspection.Source
Where allowed
Depends on license type and zone
Since June 2021, non-owner-occupied (Type II) rentals can’t get a special permit in R-E and R-1 zones; 500 feet apart in R-2.Source
Drawings
Site plan + evacuation plans
Site plan with parking at application; evacuation plan in each bedroom.Source
Occupancy
2 adults per bedroom + 2
No more than 4 unrelated people in R-E and R-1 zones.Source
Hotel taxes
6% state + 7% city + 2% county
Filed with Avenu; Airbnb doesn’t collect the local 9%.Source

The fee amounts come from the city’s 2022 planning fee schedule; confirm current fees when you apply.

A license doesn’t pass to a new owner if the rules have changed since it was issued.

Your licensing checklist

In order: the state, the county, then the town.

State of Texas

  1. Know who pays the hotel tax

    Airbnb collects and pays the 6% state hotel tax on its bookings. If guests pay you directly or through a site that doesn’t collect, register with the Comptroller and file the state tax yourself.Source

    Texas hotel occupancy tax →

  2. Register for local hotel tax

    Your city (and in some places your county) charges its own hotel tax, filed with that city or county, not the state. Airbnb pays it only in the places on its list; everywhere else you register and file it yourself, even for Airbnb bookings.Source

  3. Check your city’s rules

    Many Texas cities require a short-term rental permit or registration, and some require an inspection, a local contact, or posted rules. Outside city limits there’s usually no permit, but deed restrictions and HOA rules often limit rentals. Pick your area for the local rules.Source

McLennan County, Texas

  1. Then your city

    Texas counties can’t zone, so rental rules come from the city your home is in. Outside city limits there’s usually no permit, but deed restrictions and HOA rules may limit rentals. Pick your city.Source

  2. Hotel taxes on each stay

    Stays of 29 nights or less owe the 6% state hotel tax, which Airbnb collects on its bookings. If guests pay you directly, file it with the Texas Comptroller. McLennan County reports a 2% county hotel tax (a venue tax). Airbnb doesn’t collect it; inside Waco it’s filed with the city’s tax collector, Avenu.Source

City of Waco

  1. Find your license type and zone

    Type I: you or an operator live on site. Type II: a house or duplex you don’t live in. Type III: a unit in a building of three or more. Check your zoning; some types need a special permit from the Plan Commission and City Council (60 to 90 days, $500), and Type II rentals are 500 feet apart in single-family and R-2 zones.Source

    Waco short-term rentals →

  2. Draw your site plan

    Apply on the city’s Citizen Self Service portal with a site plan showing the property, every required parking space with its size, and how cars get in. You need one off-street space per rented bedroom (Type I: two plus one per room); guests can’t park on the street.Source

    Citizen Self Service →

  3. Pass the life safety inspection

    After you pay the invoice, schedule the inspection at 254-750-5612. Post an evacuation plan in every sleeping area; the city has a sample map.Source

  4. Post the sign and list your number

    Display the city’s sign in a common area with your contact, license number, occupancy, and parking limits. Every listing must show the license number and occupancy limit. If you live outside McLennan County, name a designated operator who lives in the county.Source

  5. Hotel taxes on each stay

    Stays of 29 nights or less owe the 6% state hotel tax, which Airbnb collects on its bookings. If guests pay you directly, file it with the Texas Comptroller. Waco’s 7% and McLennan County’s 2% are both filed with Avenu, which collects for the city and county. Airbnb doesn’t collect them, and you need city and county tax records to renew.Source

Fees

$575 for the first two years, then $250

STR license (two years)$500
License inspection$75
Renewal$250
Special permit, if your zone needs one$500
Non-compliance fee$500

In effect since October 1, 2022. Source

Inspection checklist

What the inspector looks for, from City of Waco’s published checklist.

  • Life safety inspectionOr a certificate of occupancy issued in the last 12 months.Source
  • Evacuation plan in each sleeping area
  • City sign in a common areaContact, license number, occupancy and parking limits.Source

House rules for guests

Parking
Off-street only
One space per rented bedroom.Source
Events
Only in commercial zones

Sources

A plain-language summary to help you prepare, not legal advice. Rules and fees change; confirm with the office before you apply. Spot something out of date? Email hello@licensedrental.com.