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Short-Term Rental Regulations
in Key West, FL

Last verified: March 2026 · Report an update

Zoning & Conditions

Transient (short-term) rentals are regulated and may only operate where transient use is an allowed zoning use or where a transient license has been transferred/authorized; the City defines transient accommodations as rented for periods of less than 30 days or one calendar month and requires a City Business Tax Receipt for residential rentals. Transfers of transient units/licenses are subject to planning board/DRC review, room-count and density limits, and building/fire-code compliance and inspections.

How to Obtain a Permit

1) Obtain a City of Key West Business Tax Receipt / transient license via the City Licensing Division (apply to Licensing for transient designation). 2) For creation/transfer of transient units or licenses, submit required application to the Planning Department (Planning/DRC and planning board review), provide required notices to neighboring property owners, pay fees established by resolution, and comply with building and fire department inspections. 3) Maintain annual licensing/permit status as required by the City and comply with tracking/certification and any conditions imposed by approvals.

Regulatory Updates — Key West

Proposed and recent legislation

PassedMarch 2023

Non-Hosted STR Cap in Residential Zones

Key West enacted an ordinance capping the total number of non-hosted short-term rental nights allowed in residential zoning districts. The ordinance was challenged in court by STR operators arguing it violated SB 280's preemption framework. The litigation produced mixed results, with some provisions upheld and others requiring modification.

PassedSeptember 2023

Vacation Rental Registration and Inspection Program

Key West requires all STR operators to register annually with the city, undergo a safety inspection, pay an annual registration fee, and designate a 24/7 local contact. Registration is prerequisite to obtaining a Florida DBPR vacation rental license. Unlicensed operation carries daily fines.

ProposedApril 2025

City Lobbying for SB 280 Reform

Key West joined Miami Beach and other Florida municipalities in lobbying the Florida legislature to amend or limit SB 280's preemption provisions, seeking explicit authority to impose STR density caps in residential neighborhoods based on housing availability and community character.

Official Resources

Official Key West STR regulation source

Local Resources & Advocacy

Florida Vacation Rental Management Association (FVRMA)Statewide

Statewide trade group that has challenged Key West's cap ordinances through litigation and lobbying, defending SB 280 preemption rights for all Florida vacation rental operators.

Key West Chamber of CommerceLocal

Tracks local business and tourism regulations including STR ordinance changes. Represents vacation rental operators alongside hotel, restaurant, and retail interests in city regulatory proceedings.

Vacation Rental Management Association (VRMA)National

National trade association providing regulatory monitoring and advocacy resources for vacation rental managers in high-risk markets like Key West.

Frequently Asked Questions

Are short-term rentals allowed in Key West, FL?
Transient (short-term) rentals are regulated and may only operate where transient use is an allowed zoning use or where a transient license has been transferred/authorized; the City defines transient accommodations as rented for periods of less than 30 days or one calendar month and requires a City Business Tax Receipt for residential rentals. Transfers of transient units/licenses are subject to planning board/DRC review, room-count and density limits, and building/fire-code compliance and inspections.
Is a permit required to operate a short-term rental in Key West?
Yes, a permit is required to operate a short-term rental in Key West. 1) Obtain a City of Key West Business Tax Receipt / transient license via the City Licensing Division (apply to Licensing for transient designation). 2) For creation/transfer of transient units or licenses, submit required application to the Planning Department (Planning/DRC and planning board review), provide required notices to neighboring property owners, pay fees established by resolution, and comply with building and fire department inspections. 3) Maintain annual licensing/permit status as required by the City and comply with tracking/certification and any conditions imposed by approvals.
How do I get a short-term rental permit in Key West?
1) Obtain a City of Key West Business Tax Receipt / transient license via the City Licensing Division (apply to Licensing for transient designation). 2) For creation/transfer of transient units or licenses, submit required application to the Planning Department (Planning/DRC and planning board review), provide required notices to neighboring property owners, pay fees established by resolution, and comply with building and fire department inspections. 3) Maintain annual licensing/permit status as required by the City and comply with tracking/certification and any conditions imposed by approvals.
How do Key West's STR restrictions differ from the rest of Florida?
Key West is unique in Florida because it has pushed harder than almost any other city to restrict STRs within the limits allowed by SB 280. While the preemption prevents a complete ban, Key West has imposed non-hosted rental caps in residential zones and has been in ongoing litigation to defend those caps. Operators in Key West residential neighborhoods face more restrictive conditions than operators in most other Florida markets and should review current ordinance status with a Florida attorney familiar with Monroe County vacation rental law.
What permits are needed to operate a Key West vacation rental?
Operators need a City of Key West vacation rental registration (annual renewal with safety inspection and 24/7 local contact designation), a Florida DBPR vacation rental license, and Monroe County tourist development tax registration. Properties must be in a compliant zone under current ordinances before registration is issued. Given the ongoing litigation around Key West's cap rules, operators should verify current regulations directly with the city's planning and zoning department.
What taxes apply to Key West short-term rental income?
Operators collect Florida state sales tax (6%) and Monroe County tourist development tax (5%), for a combined rate of approximately 11–12%. Monroe County also imposes a municipal service tax district surcharge in some areas. Airbnb and Vrbo collect and remit Florida state and Monroe County taxes on behalf of hosts in most cases. Operators renting directly should register with the Florida Department of Revenue and the Monroe County Tax Collector.
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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