This guide consolidates local, county, and state-level requirements that apply to short-term rentals in Downtown Kissimmee (City of Kissimmee), with an emphasis on what investors must do to operate legally. It is written for investors, operators, and property managers who need a clear, actionable roadmap.

Overview: Are short-term rentals allowed in Downtown Kissimmee, FL?

Yes—short-term rentals are allowed in Kissimmee, but only in specific zoning districts and only with the proper approvals and tax registrations. Kissimmee defines short-term rentals as residential dwellings rented for fewer than 30 days and regulates them under its zoning and development ordinances. STRs are permitted by conditional use in certain residential and mixed-use zoning categories, notably RB-, RB-2, RC-1, and RC-2. Downtown properties that fall within one of these eligible districts can proceed with permitting; properties outside these districts are not eligible for STR operation as of this writing. Because Downtown Kissimmee includes a mix of zoning, the very first step is to confirm that the subject parcel is in an STR-eligible zone. If it is, you must then obtain a conditional use permit, complete a safety/compliance review, and secure a Short-Term Rental Business Tax Receipt before collecting guests or revenues.

• Allowed districts (subject to conditional use): RB-, RB-2, RC-1, RC-2
• Definition: STR = fewer than 30 days
• Process: Conditional Use Permit → Business Tax Receipt (BTR) → ongoing compliance

How to start a short-term rental business in this market

The following process is designed for Downtown Kissimmee investors who want to launch an STR legally and avoid costly enforcement. Treat this as a gate-by-gate roadmap; do not list or collect funds until all steps are complete.

1. Confirm zoning eligibility with the City of Kissimmee

• Use the City’s Planning & Zoning tools to identify the property’s zoning category and confirm whether it is RB-, RB-2, RC-1, or RC-2. If the property is not in an eligible district, an STR is not permitted under current regulations.
• Proceed to the conditional use application only after zoning is verified.

2. Apply for a Conditional Use Permit (CUP) for STR use

• Submit a CUP application to the City. The application is reviewed internally by the Development Review Committee (DRC), then proceeds to a public hearing before the Planning Advisory Board (PAB).
• Typical submittals include: application form, site plan or plot plan, floor plans, proof of ownership or authorization, narrative of the STR operation, and any supporting materials. The DRC may request additional information to ensure compatibility with the surrounding area.
• Attend the PAB hearing. If approved, you will receive the CUP with conditions of approval that must be carried forward into your operations (e.g., occupancy limits, parking, life-safety measures).

3. Apply for the Short-Term Rental Business Tax Receipt (BTR)

• Once the CUP is approved, apply for a Short-Term Rental BTR through the City’s business license process.
• The BTR verifies that your listing meets zoning criteria and aligns with City tax and compliance oversight.

4. Complete state and county tax registrations and set up remittance

• Florida Department of Revenue (DOR): Register to collect and remit Florida state sales tax on transient rentals. File returns per your assigned cadence (often monthly or quarterly depending on volume).
• Osceola County Tax Collector: Set up Tourist Development Tax (TDT) and any other transient rental taxes applicable in Osceola County. Collect these taxes from guests and remit per County schedules.

5. Ensure building, housing, and safety compliance

• Comply with Florida Building Codes (including fire/life safety) and City housing standards. If the CUP, BTR, or City/County review triggers an inspection, schedule and pass the inspection(s) prior to hosting.
• Maintain required detectors and safety equipment as required under State and local codes (see Safety Standards section for practical guidance).

6. Finalize insurance and internal controls

• Secure short-term rental-specific insurance that covers property, liability, and income protection. Standard homeowner policies are not adequate for STR operations.
• Establish house rules, guest screening, noise/occupancy monitoring, emergency procedures, and owner/manager contact availability to sustain compliance and reduce neighbor complaints.

7. Launch

• Only list after the CUP is approved, the BTR is issued, tax accounts are active, and safety inspections (if any) are cleared.
• Keep your permit numbers and tax IDs on file; if required by City or platform policy, include identifiers in your listings.

Required documents, permits, licenses, and guidelines

City of Kissimmee

• Conditional Use Permit (CUP) for STR use:
  • Application and review by Development Review Committee
  • Public hearing and approval by Planning Advisory Board
• Short-Term Rental Business Tax Receipt (BTR):
  • Obtained after CUP approval; confirms STR zoning eligibility and tax compliance
• Building and housing compliance:
  • Florida Building Codes; life-safety systems, structural, electrical, mechanical, and plumbing standards

Osceola County

• Tourist Development Tax (TDT) registration through the Tax Collector:
  • Applies to stays of fewer than six months; collected from guests and remitted per County schedule

State of Florida

• Florida Department of Revenue (DOR) sales tax registration:
  • Required to collect/remit state sales tax on transient rentals; register and file returns online
• Licensing note:
  • Florida’s Division of Hotels and Restaurants (DBPR) licenses “transient public lodging establishments” under state law. The City’s CUP/BTR process addresses local zoning and business taxation; the DBPR license requirement is state-level and depends on the nature of the operation (e.g., whether the unit meets the statutory definition of a public lodging establishment). Confirm whether your property is subject to DBPR licensure as part of your compliance plan.

Practical safety standards (operational guidance; confirm scope at permitting)

• Smoke and carbon monoxide detectors installed per code
• Fire extinguisher(s) readily accessible
• Pool/spa safety measures (e.g., compliant barriers/alarms) where applicable
• Clear, published emergency procedures and local contact information for guests

Specific regulations for short-term rentals (City, County, and State)

City of Kissimmee

• Permissible zoning for STRs: RB-, RB-2, RC-1, and RC-2 (subject to conditional use).
• Definition of STR: residential dwellings rented for fewer than 30 days.
• Process: Conditional Use Permit approval through DRC/PAB → Short-Term Rental BTR → ongoing compliance with conditions and codes.

Osceola County

• Tourist Development Tax (TDT): levied on transient rentals (stays < six months). Hosts must register, collect from guests, and remit per the County’s tax calendar.

State of Florida

• State sales tax applies to transient rentals. Register with the Florida DOR and remit according to filing cadence.
• DBPR licensing: Florida’s Hotel and Restaurants Act regulates “transient public lodging establishments.” Whether a given STR requires a state license depends on statutory criteria. If applicable, licensing must be obtained in addition to the City’s CUP/BTR and local tax obligations.

Operational considerations

• HOA/POA, condo, and lease restrictions may prohibit or limit STRs. Always review governing documents and obtain required consents (e.g., landlord permission if you are not the owner).
• Life-safety, noise, parking, and occupancy rules apply and may be enforced via code enforcement. Maintain compliance to avoid fines or revocation of approvals.

Contact information (City, County, State)

Use the following agencies for permit and tax matters. Where email is not listed on the source pages, visit the referenced websites or call the main lines for assistance.

City of Kissimmee (Permits, Planning & Zoning, Code Enforcement)

• Planning & Zoning (zoning verification, CUP application, PAB hearing scheduling)
• Code Enforcement (compliance and enforcement)
• Building Permits (plan review, inspections, and building code questions)
• Business Licenses/BTR (short-term rental BTR application)

Osceola County Tax Collector (Transient Occupancy Taxes)

• Tourist Development Tax (TDT) registration and remittance
  • Phone and website: See Osceola County Tax Collector – Tourist Development Tax page

Florida Department of Revenue (State Sales Tax)

• Registration, filing, and payment support for state sales tax on transient rentals
  • Phone and website: See Florida Department of Revenue portal

Note on contacts

• The City of Kissimmee’s departmental phone numbers and emails for Planning/Zoning, Code Enforcement, and Business Licenses were not included in the provided sources. Use the referenced City and County websites or call the main department lines to reach the appropriate staff.

Links to source pages (IMPORTANT)

• City Code of Ordinances – Kissimmee (Zoning and STR definitions)
• Kissimmee Code of Ordinances – Zoning Map
• Planning & Zoning – City of Kissimmee
• Code Enforcement – City of Kissimmee
• Building Permits – City of Kissimmee
• Business Licenses / Short-Term Rental Business Tax Receipt – City of Kissimmee
• Florida Building Codes (2010 Florida – free resource)
• Tourist Development Tax – Osceola County Tax Collector
• Florida Department of Revenue – Official site

Practical checklist for Downtown Kissimmee STR investors

• Verify zoning eligibility (RB-, RB-2, RC-1, RC-2). If not in an eligible district, do not proceed.
• Prepare and submit Conditional Use Permit (CUP) application; attend DRC review and PAB public hearing.
• After CUP approval, apply for Short-Term Rental Business Tax Receipt (BTR).
• Register with Florida DOR for state sales tax; set up sales tax remittance.
• Register with Osceola County Tax Collector for TDT and set up collections/remittance.
• Complete any required inspections and comply with Florida Building Codes and City housing standards.
• Align insurance coverage with STR risks (property, liability, and income).
• Establish guest rules, noise/parking controls, and on-call response procedures to minimize complaints.
• Maintain permit/approval records and post any required safety or contact information inside the unit.

This guide reflects City of Kissimmee requirements and Osceola County and State of Florida obligations that apply to short-term rentals. The regulatory landscape can change, and individual properties can have unique constraints. Always confirm current requirements with the City and County contacts listed above and, if needed, consult legal counsel familiar with Kissimmee zoning and STR operations.