Short-Term Rental Investment Guide: Sun City Center, Florida

Overview: Are Short-Term Rentals Allowed?

Yes, short-term rentals are allowed in Sun City Center, FL, which is located within Hillsborough County. However, there are important conditions and restrictions that investors must understand and comply with. Short-term rentals (defined as properties rented for seven days or less) are permitted in Hillsborough County, but only if the property is located in an approved commercial or residential zone that allows transient rental accommodations.

How to Start a Short-Term Rental Business

Starting a short-term rental business in Sun City Center requires a systematic approach with multiple steps:

1. Property Zoning Verification: Before purchasing or listing a property, confirm that it is zoned for transient rental accommodations. Properties not properly zoned cannot be legally used for short-term rentals and may result in significant fines if operated illegally.

2. Licensing Acquisition: Obtain all required state and county business licenses before listing your property.

3. Tax Registration: Register for state and local tax collection and remittance.

4. HOA/Community Compliance: Review and comply with any homeowner association or community restrictions that may limit short-term rental activities.

5. Insurance and Legal Considerations: Secure appropriate insurance coverage and ensure compliance with all applicable laws and regulations.

The first step is absolutely critical—verify zoning with the Hillsborough County Land Development Office before making any property acquisition or investment decisions.

Required Documents, Permits, Licenses, and Guidelines

State-Level Requirements

Florida Vacation Rental License: Obtain a vacation rental license from the Florida Department of Business and Professional Regulation (DBPR), also known as a general business license or business tax receipt. This is required under Florida law for operating short-term rentals.

• Application Process: Complete form DR-1 through the Florida Department of Revenue
• Cost: Fees range from $150 to $350 for single/group licenses, varying based on:
  • Number of units in the property
  • License duration (full year vs. half year)
• Exemption: Not required if you are renting out part of your residence while you are living there

County-Level Requirements

Hillsborough County General Business License: A local business license is required in addition to the state license.

• Application Methods: Can be filed online, by mail, or at a Hillsborough County Tax Collector dropbox
• Renewal: Both state and county licenses are typically valid for one year and must be renewed annually

Tax Obligations

• State and Local Taxes: All proceeds from short-term rentals are subject to both state and local taxes
• Business Tax Return: Rental income must be reported on business tax returns
• Recommendation: Consult with a tax professional for specific filing requirements and tax strategies

Specific Regulations by Jurisdiction

Hillsborough County Regulations

Hillsborough County does not directly regulate short-term rentals through comprehensive ordinances, but rather relies on zoning restrictions and existing state laws. Key points include:

• Zoning-Based Restrictions: STRs are only permitted in areas zoned for transient rental accommodations
• Enforcement: Properties operating without proper zoning may face steep fines
• Neighborhood Protection: The zoning restrictions aim to preserve neighborhood character and prevent tourist overrun in residential areas

State of Florida Regulations

Florida has specific state-level regulations governing short-term rentals:

• Definition: A rental is considered "short-term" when rented for seven days or less
• License Requirements: State law requires proper licensing for vacation rentals
• Local Government Limitations: Florida law does not permit local governments to completely ban short-term rentals or regulate the length/frequency of stays
• Impact Control: Local governments can enact rules to control negative impacts of vacation rentals on communities

Community-Specific Considerations

While the provided content doesn't specify Sun City Center's own regulations, investors should be aware of:

• HOA Restrictions: Homeowners associations may have additional rules prohibiting or limiting short-term rentals
• Lease Agreements: If purchasing an existing rental property, review lease terms and tenant agreements
• Condo Associations: Condominium associations may have specific rules regarding transient rentals

Key Regulatory Contacts

Primary Regulatory Authority

Hillsborough County Land Development Office

• Purpose: Primary contact for zoning verification and permitted uses
• Website: Hillsborough County Land Development
• Function: Determines if a property is zoned for transient rental accommodations

Florida Department of Business and Professional Regulation (DBPR)

• Purpose: State-level vacation rental licensing
• Website: DBPR Vacation Rental Information
• Function: Issues state business licenses for vacation rentals

Hillsborough County Tax Collector

• Purpose: County business tax receipts
• Website: Business Tax Services
• Function: Issues local business licenses and handles tax matters

Florida Department of Revenue

• Purpose: Tax registration and collection
• Website: Registration Services
• Function: Tax registration portal for business activities

Critical Compliance Notes

Zoning Verification Process

• Contact Before Purchase: Always verify zoning with the Land Development Office before acquiring property
• Ongoing Compliance: Zoning requirements can change; maintain current knowledge of local zoning classifications
• Documentation: Keep all zoning confirmations and correspondence for legal protection

Financial Planning

• Licensing Costs: Budget $150-$350 for initial licensing plus renewal fees
• Tax Obligations: Plan for state and local tax payments on rental income
• Insurance Costs: Secure appropriate liability and property insurance coverage

Legal Risk Mitigation

• HOA Compliance: Review all community association rules and restrictions
• Lease Review: Examine existing tenant agreements if purchasing occupied properties
• Professional Consultation: Engage real estate and legal professionals familiar with Hillsborough County regulations

Investment Strategy Recommendations

Property Selection Criteria

• Zoning Priority: Focus exclusively on properties zoned for transient rental accommodations
• Location Analysis: Consider proximity to tourist attractions, beaches, and amenities
• Community Assessment: Evaluate local community acceptance and competition

Market Opportunity

• Tourism Factors: Florida attracts year-round tourists, providing consistent rental demand
• Competitive Advantage: Properly zoned properties in good locations can generate significant passive income
• Professional Support: Work with experienced Hillsborough County real estate professionals and property management services

Source References

• Eaton Realty - Hillsborough County Short-Term Rental Laws
• Hillsborough County Land Development Office
• Florida Department of Business and Professional Regulation - Lodging Fees
• Florida Department of Revenue - Registration Services
• Hillsborough County Business Tax Services

Disclaimer: This guide is based on information available as of the search date and should not be considered legal advice. Always consult with qualified real estate attorneys and licensing professionals before making investment decisions. Regulations can change, and individual circumstances may require specific legal guidance.