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Virginia Beach, Virginia Short-Term Rental Regulation: A Guide For Airbnb Hosts

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Virginia Beach, Virginia

Disclaimer: This article is for informational purposes only and not legal advice. Regulations could have changed since this article was published. Check local zoning authorities and consult a legal professional before making any decisions.

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What are Short-Term Rental (Airbnb, VRBO) Regulations Virginia Beach, Virginia?

Virginia Beach, a popular coastal destination, has implemented comprehensive regulations for short-term rentals to balance tourism demands with residential neighborhood preservation. As a real estate expert specializing in short-term rentals, I've seen firsthand how understanding these regulations is crucial for anyone looking to enter this market. Let's dive into the specific rules and requirements for operating a short-term rental in Virginia Beach.

Starting a Short-Term Rental Business in Virginia Beach, Virginia

Starting a short-term rental business in Virginia Beach requires careful navigation of the city's regulations. The first and most critical step is determining if your property is eligible for short-term rental use.

In Virginia Beach, short-term rental (STR) eligibility is limited to three specific categories:

Grandfathered Properties: These are properties that were registered with the Commissioner of the Revenue's office prior to July 1, 2018, and have paid all applicable transient occupancy taxes. These properties must meet the conditions outlined in section 241.2 of Virginia Beach City Code. It's important to note that expanding the dwelling by more than 25% or 1,000 square feet (whichever is less) will revoke the grandfathered status.

Sandbridge Special Service District: All properties located in this district are eligible for use as STRs. However, owners must still obtain the required STR zoning permit and meet all applicable requirements set by the Commissioner of the Revenue.

Properties with Conditional Use Permits: Properties that were granted an STR conditional use permit by the City Council before September 7, 2021, and are not located within an STR Overlay District are considered grandfathered. These properties must still meet the conditions of their CUP.

For properties in the Oceanfront Resort area, which is currently the only STR Overlay District, owners must obtain a conditional use permit from the City Council at a public hearing. These permits must be renewed every five years, and yearly STR zoning permits are still required.

Short-Term Rental Permit Requirements in Virginia Beach

To legally operate a short-term rental in Virginia Beach, you must obtain several permits and meet specific requirements:

  • Short-Term Rental Zoning Permit: This permit costs $200 and must be renewed annually. It's required for each address used for short-term rental purposes.
  • Sworn Statement Form: You must complete this form certifying that you are operating or intend to operate a short-term rental, including the property's address and ownership details.
  • Safety Inspections: Two types of safety inspections are required:
    1. A life-safety inspection report submitted annually (or every three years if the property is managed by a City of Virginia Beach certified property management company)
    2. A structural safety inspection report submitted with the initial zoning permit request and then every three years thereafter.
  • Parking Plan: You must provide adequate off-street parking for guests. A detailed parking plan must be submitted with your short-term rental application.
  • Insurance Policy: Liability insurance of at least $1,000,000 is required, and proof must be provided to the Zoning Office.
  • Registration and Tax Compliance: You must provide proof of current short-term rental registration and evidence that all transient occupancy taxes have been paid.

Short-Term Rental Operational Requirements in Virginia Beach

Once your short-term rental is up and running, you must comply with several operational requirements:

  1. Maximum Occupancy: The maximum number of individuals allowed per bedroom is three between 11:00 p.m. and 7:00 a.m. This helps maintain a peaceful environment for neighbors and prevents overcrowding.
  2. Noise Restrictions: Outdoor amplified sound is prohibited between 10 p.m. and 10 a.m. to maintain neighborhood tranquility.
  3. Accessory Structures: Structures like converted detached garages cannot be used or occupied as short-term rentals.
  4. Signage: The Annual Zoning Permit requires properties to have a 4-square-foot sign on the property identifying the building as a short-term rental home.

Enforcement and Penalties

Virginia Beach takes enforcement of short-term rental regulations seriously. The Zoning Department is responsible for enforcing these regulations and can issue fines directly without court involvement.

Violations can result in fines of up to $200 for initial offenses, potentially increasing to $500 for repeated problems. Property owners have 15 days to address any issues before a hearing is scheduled.

The City Council has the ultimate authority to revoke permits and grandfather status for non-compliance. This strict enforcement ensures that all short-term rentals operate within the established guidelines and maintain community standards.

Understanding Virginia Beach's short-term rental regulations is essential for anyone looking to enter this market. While the rules may seem restrictive, they're designed to maintain the balance between tourism and residential quality of life. By carefully navigating these regulations and exploring all available options, property owners can still find profitable ways to leverage their investments in this vibrant coastal city.

Short-Term Rental Licensing Requirement in Virginia Beach, Virginia

Navigating the licensing requirements for short-term rentals in Virginia Beach is a critical step for property owners looking to enter this market. The city has established a comprehensive framework to ensure all rentals meet safety standards and comply with local regulations. Here's everything you need to know about getting properly licensed in Virginia Beach.

Eligibility Requirements

Before applying for any licenses or permits, you must first determine if your property is eligible to operate as a short-term rental. As of April 2025, Virginia Beach limits STR eligibility to three specific categories:

  1. Grandfathered Properties: These are properties that were registered with the Commissioner of the Revenue's office before July 1, 2018, and have paid all applicable transient occupancy taxes. These properties must comply with section 241.2 of Virginia Beach City Code. It's important to note that expanding the dwelling by more than 25% or 1,000 square feet (whichever is less) will revoke the grandfathered status.
  2. Sandbridge Special Service District Properties: All properties in this district are eligible for STR use, though they still require the proper permits and must meet all requirements set by the Commissioner of the Revenue.
  3. Properties with Pre-2021 Conditional Use Permits: Properties that received an STR conditional use permit from the City Council before September 7, 2021, and are not located within an STR Overlay District maintain their eligibility but must still adhere to the conditions of their CUP.

Properties in the Oceanfront Resort area (currently the only STR Overlay District) must obtain a conditional use permit from the City Council through a public hearing. These permits require renewal every five years, in addition to the annual STR zoning permits.

Required Permits and Documentation

Once you've confirmed your property's eligibility, you'll need to obtain the following permits and documentation:

  1. Short-Term Rental Zoning Permit: This is the primary permit required for all STR operations in Virginia Beach. The permit costs $200 and must be renewed annually. Each property used for short-term rental purposes requires its own permit.
  2. Sworn Statement Form: You must complete and submit a sworn statement certifying that you are operating or intend to operate a short-term rental, including details about the property's address and ownership information.
  3. Life-Safety Inspection Report: This report must be submitted annually, unless your property is managed by a City of Virginia Beach certified property management company, in which case it can be submitted every three years. The inspection must be completed by a certified ASHI home inspector or City Zoning Inspector.
  4. Structural Safety Inspection Report: This report must be submitted with your initial zoning permit application and then resubmitted every three years thereafter. The inspection must be conducted by an architect or engineer licensed in Virginia who will examine exterior structures like decks, stairs, balconies, and porches. For structures under 30 inches in height, photos may be submitted instead of a formal inspection report.
  5. Parking Plan: You must provide documentation showing that your property has adequate off-street parking—specifically, one parking space per bedroom. The plan should clearly show the dimensions and layout of available parking spaces.
  6. Proof of Liability Insurance: You must provide evidence of liability insurance coverage of at least $1 million specifically applicable to rental activity. The policy document must list the address of the short-term rental property. Note that free policies offered through online vacation rental platforms are generally not accepted.
  7. Registration with Commissioner of Revenue: All STR properties must register annually with the Commissioner of the Revenue's Office and submit monthly reports with the remittance of all applicable transient occupancy taxes.
  8. Virginia Beach 311 Form: This form must include the phone number of a responsible party who can handle issues at the rental property and respond within 30 minutes.

Submission Process and Timeline

You can submit your STR permit application through two methods:

Online Application: The preferred method is through Accela Citizen Access, the city's online portal. After creating a login, click the Planning tab to find the STR request form. You'll need to upload all supporting documents through this portal.

Mail or In-Person Submission: Alternatively, you can download the required forms and submit a completed application packet by mail or in person to:

Zoning Administration
Attention STR Team
2875 Sabre St, Suite 500
Virginia Beach, VA 23452

The processing time for STR permit applications typically takes 2-4 weeks, depending on application volume and completeness of documentation. Incomplete applications will delay the process, so it's crucial to ensure all required documents are properly submitted.

Once approved, your permit will be sent via email and is valid for one year from the date of issuance. Remember that renewal applications should be submitted before your current permit expires to avoid any lapse in legal operation.

Fees and Financial Obligations

Operating a short-term rental in Virginia Beach comes with several financial obligations:

  1. Zoning Permit Fee: $200 annually for each property
  2. Conditional Use Permit Fee (if applicable): Varies based on property type and location, but typically ranges from $1,000 to $2,500
  3. Transient Occupancy Tax: Must be collected on all rentals of 90 days or less. The current rate includes state sales tax ranging from 5.3% to 7.0%, plus applicable local taxes.
  4. Record-Keeping Requirements: You must maintain detailed records of all rental transactions for at least three years, including the number of rental contracts, total tax collected, and dates of each guest's stay.

Penalties for Non-Compliance

Virginia Beach strictly enforces its short-term rental regulations, and operating without proper licensing can result in significant penalties:

  1. Monetary Fines: Violations can result in fines of up to $200 for initial offenses, potentially increasing to $500 for repeated violations.
  2. Compliance Timeline: Property owners typically have 15 days to address any issues before a hearing is scheduled.
  3. Permit Revocation: The City Council has the authority to revoke permits and grandfather status for non-compliance with regulations.
  4. Escalating Enforcement: Repeat offenders may face escalating fines and additional legal action as determined by city ordinances.
  5. Tax Penalties: Failure to collect and remit transient occupancy taxes can result in additional penalties and interest charges.

A local property manager we spoke with recently shared, "The city doesn't mess around with enforcement. I've seen owners lose their permits after multiple noise complaints from neighbors. The best approach is to be proactive about compliance from day one."

By understanding and following these licensing requirements, you'll be well-positioned to operate a successful and legal short-term rental business in Virginia Beach. The process may seem daunting at first, but careful attention to detail and compliance with all regulations will help ensure your business runs smoothly and avoids costly penalties.

Required Documents for Virginia Beach, Virginia Short-Term Rentals

Successfully operating a short-term rental in Virginia Beach requires meticulous documentation to ensure compliance with city regulations. Each document serves a specific purpose in maintaining safety standards and accountability. Here's a comprehensive breakdown of all required documentation for Virginia Beach STRs:

Sworn Statement Form

This document serves as your official declaration of intent to operate a short-term rental. The sworn statement certifies that you own the property, plan to use it as a vacation rental, will adhere to all city regulations, and will maintain up-to-date emergency contact information. This straightforward form establishes your legal commitment to operating within the parameters set by Virginia Beach ordinances.

You can obtain this form through the City of Virginia Beach Planning Department website or at their physical office. The form must be completed, signed, and submitted with your initial application and each annual renewal.

Life-Safety Inspection Report

This critical document verifies that your property meets all safety standards required for short-term rental operations. The inspection covers essential safety features including:

  1. Smoke detectors in all bedrooms and hallways
  2. Carbon monoxide detectors (if applicable)
  3. Fire extinguishers
  4. Proper egress windows and emergency exits
  5. Electrical system safety
  6. Adequate lighting in common areas and exits

The life-safety inspection must be conducted annually by either a certified ASHI home inspector or a City Zoning Inspector. However, if your property is managed by a City of Virginia Beach certified property management company, this report only needs to be submitted every three years.

The inspection form template is available through the Virginia Beach Planning Department. Completed reports must be submitted with your initial application and each subsequent renewal.

Structural Safety Inspection Report

This document focuses specifically on the safety of exterior structures that guests might use during their stay. A licensed Virginia architect or engineer must inspect and certify the structural integrity of:

  1. Exterior stairways
  2. Decks and balconies
  3. Porches
  4. Any elevated structures accessible to guests

For structures under 30 inches in height, you may submit photographs instead of a formal inspection report. For all other structures, the professional inspection must verify weight capacity, structural integrity, and overall safety.

This report must be submitted with your initial application and then every three years thereafter. After inspection, you must also post a visible placard indicating the maximum occupancy for these exterior structures.

Parking Plan

The parking plan documents how your property meets Virginia Beach's requirement of one off-street parking space per bedroom. This plan must include:

  1. A detailed diagram showing the dimensions and layout of all available parking spaces
  2. Measurements confirming each space meets minimum size requirements
  3. Clear indication of the property boundaries
  4. Photos of the parking area

The parking plan ensures your rental won't contribute to street congestion in residential neighborhoods. You can create this document yourself using property surveys, measurements, and photographs, but it must clearly demonstrate compliance with the one-space-per-bedroom requirement.

Proof of Liability Insurance

This document provides evidence that you maintain adequate insurance coverage specifically for your rental activity. Virginia Beach requires liability insurance of at least $1,000,000 underwritten by city-acceptable insurers.

The insurance policy document must explicitly list the address of the short-term rental property and indicate coverage for rental activities. Most standard insurers are acceptable, though the city notes that several free policies offered through online vacation rental platforms (like basic Airbnb coverage) are generally not sufficient.

You can obtain this document from your insurance provider. Be sure to specify that you need coverage for short-term rental activity, as standard homeowner's policies often don't cover this use.

Virginia Beach 311 Form

This form provides the city with emergency contact information for your rental property. It must include:

  • The phone number of a responsible party who can address issues at the rental property
  • Confirmation that this person can respond within 30 minutes to any problems
  • Alternative contact information if the primary contact is unavailable

This form ensures that any neighborhood complaints or emergencies can be quickly addressed, even when you're not personally present at the property. The form is available through the Commissioner of the Revenue's Office or the Planning Department.

Commissioner of Revenue Registration

All short-term rental properties must register annually with the Commissioner of the Revenue's Office. This registration establishes your business for tax purposes and requires:

  • Property ownership information
  • Rental activity details
  • Contact information
  • Agreement to submit monthly reports and remit transient occupancy taxes

This registration is separate from your zoning permit and focuses specifically on tax compliance. You can register through the Commissioner of the Revenue's Office, which will forward your information to the Zoning office for approval.

Transient Occupancy Tax Forms

These forms document your collection and remittance of all applicable transient occupancy taxes (TOTs). Virginia Beach requires TOT collection on all rentals of 90 days or less. The forms include:

  • Monthly reporting of all rental activity
  • Calculation of taxes owed based on rental income
  • Documentation of guest stays and durations

These forms must be submitted monthly to the Commissioner of the Revenue's Office along with payment of all taxes collected. Detailed record-keeping of all rental transactions is required for at least three years.

Conditional Use Permit (If Applicable)

Properties in the Oceanfront Resort Overlay District or those seeking special approval must obtain a Conditional Use Permit (CUP) from the City Council. This permit application includes:

  • Detailed property information
  • Proposed rental use specifics
  • Site plans and property photographs
  • Notification of adjacent property owners
  • Public hearing documentation

CUPs must be renewed every five years and require a public hearing before the City Council. This document is only required for properties in designated overlay districts or those seeking exceptions to standard zoning requirements.

Gathering and maintaining these documents requires diligence, but proper documentation is essential for legal operation of your Virginia Beach short-term rental. The city's strict enforcement means that missing or incomplete documentation can result in penalties, fines, or even revocation of your rental privileges. By meticulously preparing each required document, you'll establish a solid foundation for a successful and compliant short-term rental business.

Virginia Beach, Virginia Short-Term Rental Taxes

Operating a short-term rental in Virginia Beach comes with specific tax obligations that every property owner must understand and comply with. These taxes contribute to local infrastructure, tourism development, and other municipal services. Here's a comprehensive breakdown of the tax requirements for short-term rental operators in Virginia Beach as of April 2025.

Transient Occupancy Tax (TOT)

The Transient Occupancy Tax is the primary tax applied to short-term rentals in Virginia Beach. This tax applies to all rentals of 90 days or less and consists of multiple components:

  • City Lodging Tax: 9% of the total gross rental amount for most areas of Virginia Beach. This portion goes directly to the city to fund local services and tourism initiatives.
  • Sandbridge Special Service District Rate: Properties located in the Sandbridge Special Service District are subject to a higher rate of 10.5% instead of the standard 9%. This additional tax helps fund beach replenishment and other services specific to the Sandbridge area.
  • Virginia State Sales Tax: 6% of the total gross rental amount. While collected together with the city portion, this amount must be remitted separately to the Virginia Department of Taxation.
  • Flat Room Tax: $2 per night per rental. This is a fixed amount regardless of the rental price.

For most Virginia Beach properties, the total tax rate that guests will pay is 15% (9% city lodging + 6% state sales tax) plus the $2 per night flat room tax. For properties in the Sandbridge Special Service District, the total rate is 16.5% (10.5% city + 6% state) plus the $2 per night fee.

What Constitutes "Total Gross Rental"

When calculating the tax amount, it's crucial to understand what makes up the "total gross rental" amount. According to Virginia Beach tax regulations, this includes:

  • The base nightly rental fee
  • Cleaning fees
  • Additional fees (linens, pets, etc.)
  • Guest service fees
  • Any other charges included in the guest's bill

For example, if you charge $200 per night for a 3-night stay, a $100 cleaning fee, and a $50 pet fee, your total gross rental would be $750. The TOT would then be calculated as 15% of $750 ($112.50) plus $6 ($2 × 3 nights) for a total tax of $118.50.

Reporting and Payment Requirements

All short-term rental operators must:

  • Register Annually: Register with the Commissioner of the Revenue's Office each year.
  • File Monthly Reports: Submit monthly tax reports by the 20th of the following month, even if no rentals occurred (known as "zero filing").
  • Remit Collected Taxes: Pay all collected taxes to the appropriate authorities by the monthly deadline.
  • Maintain Records: Keep detailed records of all rental transactions for at least three years, including the number of rental contracts, total tax collected, and dates of each guest's stay.

Failure to file on time may result in penalties, and the Virginia Beach Short-Term Rental Task Force has recently recommended increasing fine schedules for non-compliance. As of April 2025, the Virginia Beach City Council is seeking to amend the Code of Virginia to increase fines up to $500 for first violations, $1,000 for second violations, and $1,500 for third and subsequent violations.

Tax Deductions and Write-offs for Short-Term Rental Owners

Operating a short-term rental in Virginia Beach also offers several potential tax deductions that can significantly reduce your overall tax burden:

Standard Rental Expense Deductions:

  • Property taxes
  • Mortgage interest
  • Insurance premiums
  • Utilities (electricity, water, gas, internet)
  • Cleaning and maintenance costs
  • Repairs and replacements
  • Furnishings and supplies
  • Property management fees
  • Advertising and marketing expenses

Short-Term Rental Tax Loophole:
If you qualify for the "short-term rental tax loophole," you may be able to treat your rental income as non-passive income rather than passive income. This classification can provide significant tax advantages, including the ability to offset rental losses against other income types.

To qualify, you must:

  • Provide substantial services to guests (beyond basic amenities)
  • Meet one of the "material participation" tests, such as:
  • Spending more than 500 hours working in your rental business
  • Carrying out all necessary tasks yourself
  • Working more than 100 hours in the business on a regular basis

Read more about it in our in-depth STR tax loophole guide.

14-Day Rule Exception:
If you rent your property for 14 days or less per year, you don't have to report the rental income on your tax return. However, you also cannot claim rental expense deductions if you use this exception.

Depreciation:
You can depreciate the cost of your rental property (excluding land) over 27.5 years, providing a significant annual deduction. You can also depreciate furniture, appliances, and other assets over their useful lives.

Start-up Costs:
Initial costs to prepare your property for rental can be deducted or amortized over time.

Working with a tax professional who specializes in short-term rental properties can help ensure you're maximizing your deductions while remaining compliant with all tax obligations. The tax landscape for short-term rentals continues to evolve, with Virginia Beach's Short-Term Rental Task Force making ongoing recommendations for changes to regulations and enforcement.

Understanding and properly managing your tax obligations is a crucial aspect of running a successful short-term rental business in Virginia Beach. By staying informed about current tax rates, filing requirements, and potential deductions, you can ensure compliance while optimizing your rental property's financial performance.

Virginia Wide Short-Term Rental Rules

While Virginia Beach has its own specific regulations for short-term rentals, hosts must also be aware of state-level rules that impact their operations. Virginia takes a largely decentralized approach to short-term rental regulation, allowing localities significant autonomy in creating and enforcing their own rules. However, there are several state-wide considerations that directly affect Virginia Beach hosts.

State Regulatory Framework

Virginia does not currently impose state-level licensing requirements for short-term rentals. Instead, the Commonwealth has established a framework that empowers localities to create their own regulatory systems. This approach allows cities like Virginia Beach to develop rules tailored to their specific tourism patterns and community needs.

The Virginia Code § 15.2-983, enacted in 2017, explicitly authorizes localities to create short-term rental registries and establish reasonable regulations. This legislation serves as the legal foundation for Virginia Beach's comprehensive regulatory system. Under this state law, localities can require operators to register annually, impose reasonable fees, and penalize those who fail to register.

It's worth noting that while the state doesn't require a specific state-level short-term rental license, all Virginia STRs need to have a valid business license issued by their city. These business licenses are valid for one year and must be renewed annually, regardless of which Virginia locality you operate in.

Pending Legislation: State-Wide Registry

As of April 2025, there is significant pending legislation that could impact Virginia Beach short-term rental hosts. Delegate Lee Ware has filed legislation (HB1557) that would create a state-wide registry of all short-term rental properties. This registry would track:

  1. The location of all short-term rental properties across Virginia
  2. Rental rates charged by each property
  3. Ownership information

If passed, this legislation would require all Virginia Beach hosts to register with both the city and the state registry. The bill specifies that the Department would provide commissioners of revenue or other assessing officials access to this registry for all short-term rentals within their jurisdiction. This would give Virginia Beach tax authorities additional tools to ensure compliance with transient occupancy tax requirements.

Importantly, the proposed legislation explicitly states that nothing in it should be construed to limit a locality's ability to prohibit short-term rentals. This preserves Virginia Beach's authority to maintain its current regulatory framework.

State Tax Requirements

While Virginia Beach collects its own transient occupancy tax, short-term rental hosts must also comply with state-level tax requirements:

Virginia State Sales Tax: All short-term rentals in Virginia are subject to the 6% state sales tax. This tax must be collected from guests and remitted to the Virginia Department of Taxation. While this is often collected alongside local transient occupancy taxes, it's technically a separate obligation.

State Income Tax Reporting: Income from short-term rentals must be reported on your Virginia state income tax return. This is in addition to reporting rental income on your federal tax return.

Business Personal Property Tax: Short-term rental furnishings and equipment may be subject to business personal property tax at the state level, separate from local property taxes.

Compliance with State Housing Codes

All short-term rentals in Virginia must comply with the Virginia Uniform Statewide Building Code (USBC), which establishes minimum standards for building construction and maintenance. This includes requirements for:

  1. Structural integrity
  2. Electrical systems
  3. Plumbing systems
  4. Fire safety
  5. Accessibility

These state-level building code requirements exist alongside Virginia Beach's local safety inspection requirements. While the local inspections focus on specific short-term rental concerns, compliance with the USBC is a broader obligation that applies to all residential properties in Virginia.

Fair Housing Laws

Virginia's Fair Housing Law prohibits discrimination in housing based on protected characteristics including race, color, religion, national origin, sex, elderliness, familial status, disability, source of funds, sexual orientation, gender identity, and military status. These protections extend to short-term rentals, meaning Virginia Beach hosts cannot discriminate against potential guests based on these characteristics.

The Virginia Fair Housing Board investigates complaints of housing discrimination and can impose penalties for violations. This state-level protection exists alongside federal fair housing laws and applies to all short-term rental operations in Virginia Beach.

By understanding both the local Virginia Beach requirements and the broader state-level framework, short-term rental hosts can navigate the regulatory landscape successfully while maximizing the potential of their investment properties.

Does Virginia Beach Strictly Enforce STR Rules?

Virginia Beach stands out as one of the most stringent enforcers of short-term rental regulations in the Commonwealth of Virginia. Based on extensive discussions among hosts on real estate forums like Bigger Pockets and Reddit, Virginia Beach has earned a reputation for its rigorous and uncompromising approach to STR enforcement.

Virginia Beach is decidedly not Airbnb-friendly compared to other cities in Virginia or across the nation. The city's regulatory framework is designed with strict limitations on where STRs can operate, with eligibility largely restricted to grandfathered properties, the Sandbridge Special Service District, and properties with pre-2021 conditional use permits. This restrictive approach places Virginia Beach among the more challenging markets for new STR operators in the country.

The Zoning Department in Virginia Beach takes an active role in enforcement, with the authority to issue fines directly without court involvement. Violations can result in initial fines of up to $200, with penalties escalating for subsequent offenses. Property owners typically have just 15 days to address any issues before a hearing is scheduled. The City Council wields significant power in this arena, with the authority to revoke permits and grandfather status for non-compliance with regulations.

Despite the strict regulations, some hosts do continue to operate STRs in Virginia Beach without proper permits. However, these operators face significant risks. The city actively monitors rental platforms and investigates properties suspected of operating illegally. According to discussions on real estate forums, the city has been known to use data from rental platforms to identify non-compliant properties and issue citations.

The prevailing opinion among experienced hosts on both Bigger Pockets and Reddit is that the risks of non-compliance in Virginia Beach far outweigh any potential rewards. While some hosts in other Virginia localities might take chances with regulations, the strict enforcement in Virginia Beach makes this approach particularly hazardous.

As of April 2025, Virginia Beach has 1,507 active short-term rental listings, according to recent data. This relatively modest number for a major tourist destination reflects the impact of the city's restrictive regulations and enforcement practices. By comparison, similarly sized beach destinations in more STR-friendly states often have two to three times this number of listings.

The city's enforcement efforts are further bolstered by a community reporting system that allows neighbors to report suspected illegal STRs. This community-based enforcement mechanism adds another layer of scrutiny that makes operating without proper permits particularly challenging in Virginia Beach.

In conclusion, Virginia Beach strictly enforces its STR rules with a vigilance that exceeds most other Virginia localities. The city is not considered Airbnb-friendly when compared to other markets, and while some hosts do attempt to operate despite the rules, the consensus among experienced operators is that compliance is the only viable long-term strategy in this market. The potential consequences of non-compliance—substantial fines, permit revocation, and forced closure—create a high-risk environment that most professional hosts choose to avoid unless they can fully meet the city's stringent requirements.

How to Start a Short-Term Rental Business in Virginia Beach, Virginia

Starting a short-term rental business in Virginia Beach requires careful navigation of the city's stringent regulations. The process involves several critical steps to ensure your property is legally compliant and positioned for success in this competitive market. Here's a comprehensive guide to launching your short-term rental business in Virginia Beach:

Determine Your Property's Eligibility

Before investing time and resources, verify if your property qualifies for short-term rental use under Virginia Beach's restrictive eligibility criteria. As of April 2025, only properties falling into one of these categories are eligible:

  1. Properties registered with the Commissioner of the Revenue before July 1, 2018, that have consistently paid transient occupancy taxes (grandfathered properties)
  2. Properties located within the Sandbridge Special Service District
  3. Properties with conditional use permits granted before September 7, 2021, that are not in an STR Overlay District
  4. Properties in the Oceanfront Resort area (the only current STR Overlay District) with a conditional use permit from City Council

If your property doesn't meet any of these criteria, consider alternative options like monthly rentals (30+ days) which aren't subject to the same restrictions, or explore traditional long-term rental arrangements.

Tip: If you're considering purchasing a property specifically for short-term rental use, focus your search in the Sandbridge area where regulations are more accommodating, or look for properties with existing grandfather status or conditional use permits.

Apply for a Conditional Use Permit (If Required)

If your property is in the Oceanfront Resort area or doesn't qualify under the grandfathered or Sandbridge exceptions, you'll need to apply for a Conditional Use Permit (CUP) through the City Council. This process involves:

  1. Submitting a detailed application to the Planning Department
  2. Notifying adjacent property owners about your intentions
  3. Participating in a public hearing before the Planning Commission
  4. Awaiting final approval from the City Council

CUPs must be renewed every five years and involve significant fees ranging from $1,000 to $2,500 depending on your property type and location.

Tip: Prepare a compelling case for your CUP application by emphasizing how your short-term rental will benefit the community, maintain neighborhood character, and address potential concerns about noise, parking, and property values. Consider hiring a local attorney specializing in short-term rental regulations to guide you through this process.

Obtain a Short-Term Rental Zoning Permit

All eligible short-term rentals in Virginia Beach must secure an annual zoning permit, which costs $200. To obtain this permit, you'll need to:

  1. Complete the Accela Citizen Access online short-term rental zoning permit request
  2. Upload all supporting documents (detailed in step 4)
  3. Pay the $200 annual fee

Alternatively, you can submit your application by mail or in person to the Zoning Administration office on Sabre Street.

Tip: Submit your renewal application at least 30 days before your current permit expires to avoid any lapse in legal operation. Set calendar reminders to ensure you never miss this critical deadline.

Gather and Submit Required Documentation

The Virginia Beach Planning Department requires several documents with your short-term rental application:

  1. A sworn statement form certifying your operation or intent to operate a short-term rental
  2. A life-safety inspection report (submitted annually unless your property is managed by a certified property management company)
  3. A structural safety inspection report for exterior features like decks and balconies (submitted initially and every three years thereafter)
  4. A detailed parking plan showing one off-street parking space per bedroom
  5. Proof of liability insurance of at least $1,000,000 specifically covering rental activities
  6. Evidence of registration with the Commissioner of Revenue and payment of all applicable taxes
  7. A Virginia Beach 311 form with emergency contact information

Tip: Create a dedicated folder (both physical and digital) to organize all your STR documentation. This will streamline annual renewals and ensure you can quickly address any compliance questions from city officials.

Register with the Commissioner of Revenue

All short-term rental properties must register with the Commissioner of the Revenue's Office annually. This registration establishes your business for tax purposes and requires:

  1. Completing the registration form with property ownership information
  2. Providing detailed rental activity information
  3. Agreeing to submit monthly reports and remit transient occupancy taxes

Tip: Set up a separate business bank account and credit card exclusively for your short-term rental operations. This separation will simplify accounting, tax preparation, and help establish your rental as a legitimate business entity.

Set Up Tax Collection and Reporting Systems

Virginia Beach requires short-term rental operators to collect and remit several taxes:

  1. City Lodging Tax (9% of gross rental amount, or 10.5% in Sandbridge)
  2. Virginia State Sales Tax (6% of gross rental amount)
  3. Flat Room Tax ($2 per night per rental)

You must file monthly tax reports by the 20th of the following month, even if no rentals occurred. Maintain detailed records of all rental transactions for at least three years.

Tip: Consider using specialized short-term rental management software that automatically calculates and tracks tax obligations. Many platforms can generate monthly reports that simplify tax compliance and minimize the risk of errors or missed payments.

Ensure Property Compliance with Safety Standards

Your short-term rental must meet specific safety requirements, including:

  1. Smoke detectors in all bedrooms and hallways
  2. Carbon monoxide detectors (if applicable)
  3. Fire extinguishers
  4. Proper egress windows and emergency exits
  5. Safe electrical systems
  6. Adequate lighting in common areas
  7. Structurally sound exterior features (decks, stairs, balconies)

Tip: Schedule regular maintenance checks beyond the required inspections to ensure ongoing safety compliance. Create a preventative maintenance calendar to address potential issues before they become serious problems or safety hazards.

Form an LLC or Business Entity

While not strictly required by Virginia Beach regulations, forming a Limited Liability Company (LLC) for your short-term rental business offers significant advantages:

  1. Personal liability protection
  2. Tax benefits and business expense deductions
  3. Enhanced professional image
  4. Simplified accounting and financial management

To form an LLC in Virginia, you'll need to file Articles of Organization with the Virginia State Corporation Commission and obtain necessary licenses and permits.

Tip: Consult with a business attorney and tax professional familiar with short-term rental operations to determine the optimal business structure for your specific situation. The upfront cost of professional advice can save you significant money and headaches in the long run.

Create House Rules and Operational Guidelines

Develop clear house rules that comply with Virginia Beach's short-term rental regulations:

  1. Maximum occupancy of three individuals per bedroom between 11:00 p.m. and 7:00 a.m.
  2. No outdoor amplified sound between 10 p.m. and 10 a.m.
  3. No use of accessory structures (like converted garages) as rental space
  4. Clear parking instructions based on your approved parking plan
  5. Noise restrictions and quiet hours
  6. Trash disposal procedures

Tip: Create a comprehensive digital and physical welcome book that clearly communicates all house rules, emergency procedures, and local information. Consider installing noise monitoring devices (that don't record conversations) to ensure compliance with noise restrictions and protect your property from potential complaints.

Market Your Property Effectively

Once your property is fully compliant with all regulations, develop a marketing strategy to attract guests:

  1. Create professional listings on platforms like Airbnb and VRBO
  2. Invest in high-quality photography that showcases your property's best features
  3. Highlight your property's unique selling points and proximity to Virginia Beach attractions
  4. Set competitive rates based on market research and seasonal demand
  5. Consider working with a professional property manager to maximize occupancy and revenue

Tip: Emphasize your property's legal compliance in your marketing materials. Many guests are becoming increasingly aware of illegal short-term rentals and prefer to book properties that operate within local regulations. This can be a significant competitive advantage in the Virginia Beach market.

Starting a short-term rental business in Virginia Beach requires significant upfront investment in time and resources to navigate the regulatory landscape. However, for properties that qualify under the city's eligibility criteria, a well-managed short-term rental can provide substantial returns, especially during the peak summer season when Virginia Beach attracts thousands of tourists seeking quality accommodations.

By following these steps and maintaining strict compliance with all regulations, you'll position your short-term rental business for long-term success in Virginia Beach's competitive but potentially lucrative vacation rental market.

Who to Contact in Virginia Beach about Short-Term Rental Regulations and Zoning?

Navigating the complex landscape of short-term rental regulations in Virginia Beach requires direct communication with the appropriate municipal departments and community resources. Having the right contacts can make the difference between a smooth permitting process and frustrating delays. Here's a comprehensive list of official contacts and community resources for Virginia Beach short-term rental operators:

Official City Departments

Virginia Beach Zoning Department

The Zoning Department is your primary point of contact for all short-term rental regulations, permit applications, and compliance questions in Virginia Beach. Their knowledgeable staff can provide guidance on the application process, permit requirements, and safety inspections.

  1. Phone: (757) 385-4111
  2. Email: zoning@vbgov.com
  3. Address: 2875 Sabre St, Suite 500, Virginia Beach, VA 23452

Commissioner of the Revenue's Office

This office handles all tax-related matters for short-term rentals, including registration, transient occupancy tax collection, and filing requirements.

  1. Phone: (757) 385-4251
  2. Email: coradmin@vbgov.com
  3. Address: 2401 Courthouse Dr, Virginia Beach, VA 23456
  4. Tax Relief Questions: (757) 385-4385 or req@vbgov.com

Virginia Beach 311

For general inquiries about city services and regulations, Virginia Beach's 311 service provides a convenient point of contact.

  1. Phone: (757) 385-3111
  2. Email: vb311@vbgov.com

Virginia Beach STRA (Short-Term Rental Alliance)

This organization serves as the collective voice of the Virginia Beach short-term rental community, advocating for fair regulations and providing support to local hosts. Their website offers valuable information about current regulations and community initiatives.

By utilizing these official contacts and community resources, you'll be better equipped to navigate Virginia Beach's complex short-term rental regulatory landscape. Remember that building positive relationships with city officials and staying connected with the local host community are key strategies for long-term success in the Virginia Beach short-term rental market.

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