Short-Term Rental License – DCRA Extends Grace Period for Obtaining License.

The District regulates short-term residential rentals, such as “AirBNB”.

The regulations are found

The grace period for obtaining the license and endorsement is extended to June 9, 2022.

A Basic Business license is required, with two, alternative endorsements available.

Short-Term Rental Endorsement (Host is present during rental – such as renting out bedrooms).

  • Eligibility for License:
    • Must be within host/applicant’s primary residence.
    • Must have Homestead Tax Deduction per D.C. Official Code § 47-850. For the purposes of short-term rentals, accessory dwelling units, including English basements, are considered part of a host’s primary residence.
    • Only natural persons are eligible for short-term rental licenses; business entities such as an LLC or corporation are not eligible.
  • Requirements for Operation
    • Host is present during rental.
    • Occupancy limited to a maximum of eight (8) transient guests, or two (2) guests per bedroom, whichever is greater.
    • As long as the host is present, there is no limit on the number of stays allowed during a calendar year; however, each short-term rental stay is limited to 30 or fewer continuous nights.
    • Must have $250,000 liability insurance (which might be offered by the booking service).
    • Posting within Premises:
      • 24/hour emergency telephone number to be posted in premises.
      • Copy of Basic Business License and Endorsement
    • Provide cleaning and linen exchange between rentals.
    • Smoke and Carbon Dioxide Detectors
    • Fire Extinguisher
    • 2 years of record-keeping
  • Cost of License
    • 2-year fee is $104.50

Short-Term Rental: Vacation Rental Endorsement: (Host is not present – for example, a full home).  Same eligibility and requirements as above.

  • Limitation:
    • cumulatively, vacation rentals cannot exceed 90 nights in any calendar year
    • each rental is limited to 30 or fewer continuous nights.

Once the extended enforcement grace period ends on June 9, 2022, failure to comply with the District’s short-term rental requirements may result in fines of up to $250 for the first violation, escalating up to $1,000 for a third violation. Violations can be reported to the District of Columbia Short-Term Rental Hotline by calling 202-221-8550.

For further information and a list of Frequently Asked Questions visit dcra.dc.gov/shorttermrentals.