Overview: STR Status in Avon, CO

Short-term rentals are explicitly allowed in Avon, Colorado, but only under specific conditions and within designated areas. The town has established a comprehensive regulatory framework that requires property owners to obtain proper licensing, adhere to zoning requirements, and comply with tax obligations. Avon operates a dual system of zoning overlay districts and individual licensing to manage STR activity, balancing the resort economy's needs with workforce housing preservation.

How to Start a Short-Term Rental Business in Avon

Starting an STR business in Avon requires a systematic four-step compliance process:

Step 1: Verify Zoning & Hosting Eligibility

• Confirm your property is located within the Avon Short Term Rental Overlay (STRO) using the official mapping system
• Check the License Availability Report to determine if your property qualifies under the 15% cap for STR-Full licenses (applies to properties outside the Town Core)
• Verify STRs are permitted under your HOA covenants, if applicable

Step 2: Obtain Your Short-Term Rental License

• Apply through the MuniRevs online portal at avon.munirevs.com
• Complete the STR License Registration Form (applied to your account within 5-10 business days)
• Submit required documentation to the Community Development Department for review
• Upon approval, sign the affidavit acknowledging management requirements and property safety standards
• Pay applicable licensing fees through the MuniRevs system

Step 3: Post Your Business License Number

• Display your Avon business license number prominently in all advertisements
• Include "Avon Business License No. [insert number]" on Airbnb, VRBO, and other online platforms
• Non-compliance with advertising requirements violates Chapter 5.04.050

Step 4: Tax Collection & Remittance

• Collect and remit 10% total tax rate (4% sales tax, 4% accommodations tax, 2% STR tax for community housing)
• File returns and payments online by the 20th of each month
• Market-place facilitators (Airbnb, VRBO) must collect and remit taxes; if not using facilitators, owner must handle collection

Required Documents, Permits, Licenses, and Guidelines

Essential Licenses:

• Business License indicating STR intent
• Sales Tax License
• STR License Registration Form (through MuniRevs)
• Tax Filings (monthly online submissions)

Documentation Requirements:

• Affidavit confirming awareness of management requirements and safety standards
• Proof of property safety compliance
• Responsible party identification
• Annual license renewal documentation

Safety Requirements:

• Carbon monoxide alarms (required by Colorado law, installed within 15 feet of bedroom entrances)
• Smoke alarms (operational throughout property)
• Egress windows (functional)
• Handrails (properly installed and maintained)

Specific Regulations for Short-Term Rentals

STR License Types:

1. STR-Full (STR-F): Unlimited short-term rental privileges
2. STR-Resident Occupied (STR-RO): Owner lives on-site while renting portions
3. STR-Limited (STR-L): Maximum 42 days per year rental allowance

Geographic Restrictions:

• Town Core: Unlimited STR licenses permitted where zoning allows
• Outside Town Core (STRO only): Maximum 15% of dwelling units per property may hold STR-Full licenses
• STR-Limited and STR-Resident Occupied licenses: Not subject to 15% cap

Tax Obligations:

• Total Rate: 10% of rental price (4% sales tax, 4% accommodations tax, 2% STR community housing tax)
• Collection Responsibility: Market-place facilitators or property owners
• Filing Deadline: 20th of each month
• Penalties: Interest and late fees apply for non-payment

Operational Requirements:

• Minimum rental periods may be set by HOAs (example: The Kestrel requires 3-day minimum)
• Properties must comply with bear safety guidelines
• License holders responsible for guest safety and property maintenance

Contact Information for Local STR Authorities

Business License & Tax Questions:

• Nicole Sharpe, Accountant
• Email: nsharpe@avon.org
• Phone: (970) 748-4046

License Availability & Registration Process:

• Emily Block, Community Development Coordinator
• Email: eblock@avon.org
• Phone: (970) 748-4012

Building Safety & Carbon Monoxide Requirements:

• Derek Place, Building Official
• Phone: (970) 748-4011

General Town Contact:

• Town Hall: (970) 748-4000
• Address: 100 Mikaela Way, P.O. Box 975, Avon, CO 81620

Online Resources:

• MuniRevs Portal: https://avon.munirevs.com
• STR Complaints: https://www.avon.org/FormCenter/Forms-for-Website-3/Short-Term-Rental-Complaints-Violations-51

Sources and References

Primary Regulatory Sources:

• Town of Avon Short-Term Rentals Main Page
• Avon STR Background and Updates
• Avon Municipal Code - Home Rule Charter and Code

Specific Ordinance References:

• Avon STR Overlay District Ordinance No. 09-12
• 2022 STR Regulatory Updates (Ordinances 22-08 and 22-09)

Official Documents:

• Avon Short Term Rental Overlay Map
• License Availability Report
• License Types and Fees

Additional Resources:

• Rent Responsibly - Avon STR Summary
• Recent STR Policy Discussion (May 2025)
• NeighBEARhood Ambassador Campaign

Important Compliance Note: This guide is for informational purposes. Always consult the Town of Avon's official website at www.avon.org for the most current regulations and compliance procedures. Municipal code requirements may be updated, and investors should verify current requirements before proceeding with STR operations.