Vermont's ski resorts, fall foliage season, and charming New England towns create consistent year-round STR demand despite relatively small population. Whether you already own a vacation rental in Vermont or are evaluating your first investment, understanding the regulatory landscape is essential. STR laws in Vermont vary significantly by city and county — and getting compliance wrong can mean fines, forced delistings, or lost income.
This guide covers Vermont's approach to short-term rental regulation at the state level, then breaks down the rules in key markets investors and hosts need to know. Regulations as of 2026 — always verify current rules directly with your local municipality before listing.
If you'd like help navigating STR compliance in Vermont, Awning's property management team operates in Stowe, Killington, and the Mad River Valley and helps hosts stay compliant while maximizing revenue.
How Vermont Defines a Short-Term Rental
For regulatory and tax purposes, a short-term rental in Vermont is generally defined as a residential property rented for 30 consecutive days or fewer. Any rental longer than this threshold is typically treated as a long-term rental and subject to different rules.
Does Vermont Require a Statewide STR License?
Vermont passed Act 48 in 2020, requiring all STR operators to register with the Vermont Department of Taxes and collect lodging taxes. This statewide registration is in addition to any local permits.
Vermont Short-Term Rental Taxes
Vermont imposes a 9% state meals and rooms tax on STR income. Municipalities can add a local option tax of up to 1%. Airbnb collects and remits Vermont state taxes automatically. Hosts using other platforms must register with the Vermont Department of Taxes.
Regardless of which booking platform you use, it is your responsibility as a host to ensure all applicable taxes are collected and remitted correctly. Failure to comply can result in penalties, back taxes, and potential loss of your ability to operate.
STR Regulations by City in Vermont
Below are the key STR markets in Vermont and their current regulatory requirements. City regulations change frequently — check with your local planning or licensing department for the most current rules before investing.
Stowe
Stowe requires STR operators to register with the town and comply with zoning bylaws. Properties in ski-in/ski-out communities near Mount Mansfield face strong demand and premium rates, but the town has debated additional restrictions due to year-round housing affordability concerns.
Killington
Killington's resort economy is largely built around vacation rentals. The town requires basic registration and zoning compliance. Many Killington properties are within private resort communities with their own HOA rental rules.
Burlington
Burlington requires STR operators to obtain a Certificate of Compliance and register with the city. The city distinguishes between owner-occupied and non-owner-occupied STRs and has restricted non-owner-occupied rentals in residential zones.
Key Questions to Ask Before Listing an STR in Vermont
- Does your city or county require an STR permit or license?
- Are there caps on the number of STR permits in your neighborhood or zone?
- Is your property owner-occupied or non-owner-occupied — and does that distinction affect your eligibility?
- What occupancy, noise, and parking rules apply to your specific property?
- Which taxes are you responsible for collecting and remitting vs. what the platform handles?
- Does your HOA or condo association allow short-term rentals?
The Bottom Line
Vermont's STR regulatory environment ranges from investor-friendly rural counties to tightly regulated resort towns and urban cores. Understanding the specific rules in your target market — not just at the state level — is what determines whether your rental operates smoothly or faces costly disruptions.
Staying on top of changing regulations is one of the most valuable things a professional property manager brings to your operation. Awning manages short-term rentals in Stowe, Killington, and the Mad River Valley and monitors local regulatory changes so you don't have to. Reach out to learn how we can help you operate compliantly and profitably in Vermont.


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