Kansas City, Missouri, renowned for its rich jazz heritage, distinctive barbecue, and vibrant arts scene, is a draw for both domestic and international tourists. With an increasing number of visitors looking for alternative accommodation options, Airbnb and other short-term rentals (STRs) have grown in popularity.
However, operating an STR in Kansas City requires a good understanding of local regulations. This guide will explore the regulatory landscape for short-term rentals in Kansas City, providing hosts with the necessary information to operate legally and successfully.
Overview of Short-Term Rental Regulations in Kansas City
Investing in short-term rental (STR) properties requires an in-depth understanding of local regulations. Below is a comprehensive list of frequently asked questions (FAQs) for STR operators and investors to help you navigate the rules in Kansas City and stay compliant while maximizing profitability.
1. What is considered a short-term rental in Kansas City?
In Kansas City, a short-term rental (STR) is defined as any dwelling unit, or portion thereof, offered as lodging accommodations for a period of 30 or fewer consecutive days.
Detailed information is available in the Code of Ordinances and Kansas City STR Website.
2. Do I need a permit to operate a short-term rental in Kansas City?
Yes, operating an STR in Kansas City requires a valid Short-Term Rental Permit. The permit must be renewed annually, and the application process includes providing proof of property ownership or authorization, a safety self-certification, and payment of applicable fees:
- Owner-Occupied STR Permit: $100 annually.
- Non-Owner-Occupied STR Permit: $259 annually.
In Kansas City, operators are required to obtain a business license in addition to the Short-Term Rental (STR) permit. The business license ensures compliance with local business operation regulations and is necessary for legal operation of STRs and it has to be renewed annually on or before February 28 of each year.
- If gross revenue is $0 – $5,000: The business license fee is $25.
- If gross revenue exceeds $5,000: The fee is calculated as $25 plus $1.50 for every additional $1,000 of gross revenue.
3. What are the zoning laws for STRs in Kansas City?
STRs are permitted in various zoning districts, including residential and commercial zones, subject to specific regulations. In residential zones, the property owner must obtain consent from adjacent property owners, and there may be limitations on the number of STRs allowed within a certain distance.
You can access the zoning map and related information through the following link: KCMO Zoning and Development Code
4. Are there occupancy limits for short-term rentals in Kansas City?
Yes, occupancy for STRs is limited to no more than two persons per bedroom, plus two additional persons per dwelling unit. For example, a two-bedroom unit can accommodate up to six guests.
Top 100 Airbnb Rental Markets
Instantly compare top 100 short-term (Airbnb) rental markets in the US
5. What taxes are short-term rental hosts required to pay?
STR operators in Kansas City are required to collect and remit the following taxes:
- Convention and Tourism Tax: 7.5% for guests renting rooms within Kansas City limits.
- Sales Tax: Varies depending on the location; operators should consult the Missouri Department of Revenue for specific rates.
- Hotel/Motel Occupancy Fee: $3 per room, per night.
Operators must register with the City’s Revenue Division to remit these taxes.
6. What are the safety and health requirements for STR properties in Kansas City?
STR properties must comply with all applicable building and safety codes. Operators are required to complete a safety self-certification checklist as part of the permit application, ensuring the property has functioning smoke detectors, carbon monoxide detectors, fire extinguishers, and adequate egress.
7. How are noise and nuisance complaints handled in Kansas City?
Operators are responsible for ensuring guests do not create disturbances. Complaints can be reported to the City’s 311 Action Center. Repeated violations may result in fines and potential revocation of the STR permit.
8. Can I manage multiple short-term rental properties in Kansas City?
Yes, individuals or entities can manage multiple STR properties, provided each property has its own valid permit and complies with all city regulations.
9. What are the penalties for non-compliance with STR regulations in Kansas City?
Operating without a permit or violating STR regulations can result in fines up to $1,000 per violation, per day. Additionally, the City may revoke or suspend the STR permit for repeated violations.
10. Are there any updates or changes to Kansas City’s STR regulations I should be aware of?
The City periodically updates STR regulations. Operators should regularly consult the City’s official STR webpage for the latest information. The last update to Kansas City’s Short-Term Rental (STR) regulations was made in June 2023.
11. Can I self-manage my short-term rental, or do I need a property management company in Kansas City?
Operators can self-manage their STRs or hire a property management company. Regardless of management, the property owner is ultimately responsible for compliance with all regulations.
12. What are the insurance requirements for short-term rentals in Kansas City?
While specific insurance coverage is not mandated by the City, operators are encouraged to obtain liability insurance to cover potential risks associated with short-term rentals.
13. Are there any local rules regarding hosting platforms (e.g., Airbnb, Vrbo) in Kansas City?
Operators must ensure their listings on hosting platforms comply with all local regulations, including displaying the valid STR permit number. Some platforms may collect certain taxes on behalf of hosts; however, operators are responsible for ensuring all required taxes are remitted.
14. What are the inspection requirements for STRs in Kansas City?
Kansas City requires STR operators to complete a safety self-certification checklist during the permit application and allows the City to conduct on-site inspections for compliance, with reasonable notice provided; failure to comply may result in fines or permit revocation.
These inspections may occur during the permit review process, in response to complaints, as part of routine enforcement, or to verify compliance with safety and zoning regulations.
15. Are there any neighborhood-specific restrictions for STRs in Kansas City?
Yes, certain neighborhoods may have additional restrictions or requirements for STRs. Investors should consult the City’s zoning maps and neighborhood associations for specific information.
You can access the zoning map and related information through the following link: KCMO Zoning and Development Code
16. Is there a cap on the number of STR permits issued in Kansas City?
Currently, there is no citywide cap on the number of STR permits; however, density limitations may apply in certain residential areas to prevent over-concentration.
17. What parking requirements exist for STRs in Kansas City?
Parking requirements for STRs vary based on zoning district and property specifics. Operators must provide the required number of off-street parking spaces as stipulated by the City’s zoning ordinance: KCMO Zoning and Development Code.
