Overview: Are Short-Term Rentals Allowed in Lake Wales, FL?

YES - Short-term rentals are explicitly allowed in Lake Wales, Florida. The city currently does not have specific local ordinances regulating short-term rentals, which means investors can operate STRs freely under state and county regulations. Lake Wales presents a lucrative opportunity for STR operators, with a robust market showing a median occupancy rate of 69% and an average daily rate of $114, indicating strong investor potential.

How to Start a Short-Term Rental Business in Lake Wales, Florida

Step 1: Obtain Required Business Registration

• City Business Tax Receipt: Required from the City of Lake Wales
• Contact the City of Lake Wales Finance Department for business tax receipt application

Step 2: Understand County and State Tax Obligations

• Polk County Tourist Development Tax: Must be collected from guests and remitted to the county
• Florida State Sales Tax: 6% state sales tax applies to short-term rental income
• Local Tourist Taxes: Any applicable local tourist taxes must be collected

Step 3: Property Compliance

• Ensure property meets all health and safety standards
• Verify zoning compliance (confirm with local authorities)
• Check HOA restrictions if applicable (important consideration for investors)

Step 4: Insurance and Liability

• Obtain proper insurance coverage as standard home insurance may not suffice
• Ensure coverage includes guest accidents and liability protection

Step 5: Market Positioning

• Leverage proximity to attractions: Bok Tower Gardens, Legoland Florida, Walt Disney World
• Emphasize natural beauty and outdoor activities (lakes, fishing, kayaking)
• Consider lake-front properties which command premium rates

Required Documents, Permits, Licenses, and Guidelines

Essential Documentation:

• City Business Tax Receipt from Lake Wales
• Property Insurance (liability and dwelling coverage)
• Florida State Sales Tax registration and permits
• Polk County Tourist Development Tax registration
• Professional photos of property for listings
• Property management plan or professional management agreement (optional but recommended)

Compliance Guidelines:

• Occupancy Limits: Maximum overnight occupancy is generally two persons per bedroom, plus an additional two persons in one common area
• Responsible Party Requirement: Maintain 24/7 availability by telephone to respond to complaints or emergencies
• Noise Regulations: Adhere to local quiet hours (verify specific hours with city)
• Property Standards: Maintain properties to health and safety standards

Specific Regulations: City, County, and State Level

Lake Wales City Level:

• No specific STR ordinances currently in place
• Business tax receipt required for all business operations
• Standard zoning laws apply - verify STR compatibility with local zoning
• Local impact fees may apply for new development (see Impact Fees section)

Polk County Level:

• Tourist Development Tax: Required on all short-term rentals
• Must be collected from guests and remitted to county tax collector
• Rate and remittance schedule should be confirmed with county authorities

Florida State Level:

• Licensing Requirements: License required if entire unit is rented more than three times per calendar year for periods under 30 days
• Tax Collection: Must collect and remit 6% state sales tax plus local tourist taxes
• Insurance Requirements: Must have adequate liability coverage
• Responsible Party: Must maintain 24/7 contact availability for guest issues

Important Considerations:

• Zoning Restrictions: Local zoning laws may restrict where STRs can operate
• HOA Rules: Individual homeowners associations may have their own STR restrictions
• Inspection Requirements: Some Florida cities require property inspections (verify with Lake Wales)

Contact Information for Local Authority

City of Lake Wales

• General Information: Contact City Hall for business tax receipt and zoning inquiries
• Business Licensing: Finance Department
• Website: www.lakewalesfl.gov (verify current contact information)

Polk County

• Tourist Development Tax: Contact Polk County Tax Collector's Office
• Website: www.polkcountytaxcollector.com (verify current contact information)

State of Florida

• Sales Tax Registration: Florida Department of Revenue
• Website: flrevenue.org (verify current contact information)

Important Note: Contact information should be verified as current as these details may change. Start with city-level authorities for initial business registration requirements.

Links to Source Pages

1. RedAwning Market Overview: www.redawning.com/pm/market-overview/lake-wales-florida
2. GoSummer STR Guide: www.gosummer.com/vacation-rental-management/lake-wales-florida
3. Lake Wales Impact Fee Ordinance: www.lakewalesfl.gov/AgendaCenter/ViewFile/Item/11494?fileID=13552

Market Performance and Investment Considerations

Strong Market Indicators:

• 69% Median Occupancy Rate: Well above national averages
• $114 Average Daily Rate: Competitive for the market
• 252 Nights Booked Annually: Strong booking frequency
• Diverse Property Options: From cozy homes to luxury lake-front properties

Top Investment Areas:

1. Downtown Lake Wales: Near local eateries, shops, and historic sites
2. Bok Tower Gardens Area: Close to major tourist attraction
3. Legoland Area: High demand from family travelers
4. Lake-front Properties: Premium rates for waterfront access

Additional Investment Notes:

• Peak Season: Late fall through winter months
• Off-Season Strategy: Summer requires competitive pricing to maintain occupancy
• Maintenance Considerations: High humidity requires regular property upkeep
• Unique Positioning: Natural attractions provide year-round appeal

This guide provides a comprehensive foundation for investing in Lake Wales short-term rentals, emphasizing the lack of restrictive local ordinances while highlighting the importance of compliance with state and county requirements.