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Short-Term Rental Regulations
in Prescott, AZ

Last verified: March 2026 · Report an update

Zoning & Conditions

Rentals of 29 days or less require registration and a safety inspection. Occupancy is limited to two persons (13+) plus two additional persons per bedroom. Owners must provide a 24/7 local contact capable of responding in person within 45 minutes and notify all adjacent property owners.

How to Obtain a Permit

1. Apply online via the City of Prescott website and pay the $95 initial fee ($30 registration + $65 inspection). 2. Provide required documentation including a valid Arizona TPT license, local contact info, and proof of neighbor notification. 3. Pass a mandatory health/safety inspection by the Building Department before the certificate is issued. Renew annually for $30.

Regulatory Updates — Prescott

Proposed and recent legislation

PassedJuly 2023

Prescott STR Registration Requirement

All STR operators must register with the city annually; failure results in fines of $500/day. Registration requires basic safety compliance and posting of registration number in all listings.

PassedSeptember 2024

Prescott Historic District Parking Rules Update

New off-street parking requirements for STRs in the Courthouse Plaza Historic District; operators must provide at least one off-street space per two bedrooms.

ProposedNovember 2025

Arizona STR Preemption Law Review

State legislators reviewing potential updates to ARS 9-500.39 to give municipalities additional noise and safety authority; core preemption of bans expected to remain intact.

Official Resources

Official Prescott STR regulation source

Local Resources & Advocacy

Statewide advocacy organization representing Arizona STR operators; monitors legislation and defends ARS 9-500.39 preemption protections.

Local business chamber supporting tourism and vacation rental operators as key contributors to Prescott's economy.

National trade association offering education, advocacy, and resources for professional vacation rental managers.

Frequently Asked Questions

Are short-term rentals allowed in Prescott, AZ?
Rentals of 29 days or less require registration and a safety inspection. Occupancy is limited to two persons (13+) plus two additional persons per bedroom. Owners must provide a 24/7 local contact capable of responding in person within 45 minutes and notify all adjacent property owners.
Is a permit required to operate a short-term rental in Prescott?
Yes, a permit is required to operate a short-term rental in Prescott. 1. Apply online via the City of Prescott website and pay the $95 initial fee ($30 registration + $65 inspection). 2. Provide required documentation including a valid Arizona TPT license, local contact info, and proof of neighbor notification. 3. Pass a mandatory health/safety inspection by the Building Department before the certificate is issued. Renew annually for $30.
How do I get a short-term rental permit in Prescott?
1. Apply online via the City of Prescott website and pay the $95 initial fee ($30 registration + $65 inspection). 2. Provide required documentation including a valid Arizona TPT license, local contact info, and proof of neighbor notification. 3. Pass a mandatory health/safety inspection by the Building Department before the certificate is issued. Renew annually for $30.
Is Prescott STR-friendly?
Generally yes. Arizona's ARS 9-500.39 prevents Prescott from banning STRs or imposing owner-occupancy requirements. You need city annual registration and a state TPT license, but operations are permitted throughout the city.
Are there restrictions for STRs in Prescott's historic neighborhoods?
Prescott's Courthouse Plaza Historic District has additional parking requirements (at least one off-street space per two bedrooms), but STRs are not prohibited there. Noise enforcement is stricter in the historic core.
What taxes must I collect in Prescott?
Arizona TPT (5.6% state rate plus local rate), Yavapai County bed tax, and any Prescott city privilege tax. Register with the Arizona Department of Revenue for your TPT license before your first booking.
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Disclaimer

This information is for general reference only and may not reflect the most current regulations. STR regulations change frequently. Always verify requirements with official local government sources before operating a short-term rental.

Last verified: March 2026 · Suggest a correction