Overview: Are Short-Term Rentals Allowed in Sunbury, PA?

• Explicit answer: There is no city‑specific short‑term rental (STR) ordinance in Sunbury (City of the third class). The Joint State Government Commission staff reviewed all third‑class cities and listed Sunbury as “N” for “STR Ordinance,” meaning the city has not adopted a dedicated STR law. Source: 2025 JSG Commission Staff Study “The Short‑Term Rental Industry in Pennsylvania,” Table 4 (page 32) lists “Sunbury, Northumberland, N.” Source link: jsg.legis.state.pa.us/resources/documents/ftp/publications/2025-03-17%20Short-term%20Rental%20Web%203.17.25.pdf
• Implication for investors: Without a local STR ordinance, Sunbury’s zoning code and state law govern STRs. Pennsylvania law and the Supreme Court’s Slice of Life decision make it clear that purely transient, commercial use of a single‑family residence is not permitted in residential zoning unless the zoning ordinance explicitly allows it. In other words, in Sunbury:
  • STRs are not “allowed by default.”
  • They may be allowed only if:
    • The municipal zoning permits a lodging/transient use in that district (e.g., as a hotel/motel, bed‑and‑breakfast, boarding house, tourist home, or as a conditional use), or
    • You obtain a variance to establish such a use.
  • “Homestay” arrangements (owner‑present, primary residence, occasional rental) have limited guidance; local zoning must be checked for any applicable provisions.
• Practical takeaway: Before acquiring a property or listing it, contact Sunbury’s zoning officer (City Hall) to determine whether your property’s zoning district permits a transient lodging use, and what path (permitted use, conditional use, variance) exists.

How to Start a Short‑Term Rental Business in This Market

Because Sunbury has no dedicated STR ordinance, treat entry like any lodging business in a third‑class city:

1. Confirm zoning eligibility

• Determine your property’s zoning district and permitted uses.
• Search for allowed uses such as “hotel/motel,” “boarding house,” “rooming house,” “tourist home,” “bed and breakfast,” or “transient lodging.”
• If your use is not expressly permitted, evaluate whether a variance or conditional use process is feasible.

2. Comply with state lodging requirements and taxes

• Short‑term rentals (rental periods under 30 days) fall under Pennsylvania’s Lodging and Housing Code.
• Register with the Pennsylvania Department of Revenue (DOR) for sales, use, and hotel occupancy tax if you are not exclusively using a booking agent that remits on your behalf.
• Collect and remit:
  • State hotel occupancy tax (6%).
  • Local hotel occupancy tax (Northumberland County: 3% based on the JSG Commission data).
  • If operating in Philadelphia or Allegheny County, additional local rates apply (not relevant for Sunbury).

3. Licensing, insurance, and safety

• Follow the Hotel/Lodging establishment requirements for safety, guest protection, and recordkeeping.
• Secure appropriate insurance; basic homeowners’ policies typically exclude or limit short‑term rental/commercial activity.
• If operating as a homestay (owner present), consider minimal compliance steps (permit, proof of inspection, liability coverage), as recommended by the JSG report’s “minimum guidelines.”

Required Documents, Permits, Licenses, and Guidelines

City level (Sunbury):

• Zoning verification/approval:
  • A use permitted by right or conditional use may require zoning approval/permit.
  • A variance may be necessary if the use is not permitted; apply to the Zoning Hearing Board.
• Business license (if required by the city for lodging uses; verify with City Hall).
• Property registration (if the city requires rental unit registration; not indicated as STR‑specific in Sunbury).
• Annual inspections (not required under an STR ordinance; if operating as a lodging establishment, follow state lodging rules and local housing standards).

State level (Pennsylvania):

• DOR Sales/Use/Hotel Occupancy Tax License:
  • Register with the Pennsylvania Department of Revenue.
  • Collect 6% state hotel occupancy tax and any applicable local hotel taxes.
  • File and remit monthly/quarterly/annually as required by DOR.
• Lodging and Housing Code compliance:
  • Meet guest safety and recordkeeping requirements.
  • Maintain occupancy records for guests (recommended per JSG’s minimum guidelines: at least two years; record guest names, contact info, dates, and occupants).

County level (Northumberland):

• No county‑wide STR ordinance is mentioned in the provided content.
• Northumberland County hotel tax:
  • 3% (based on JSG Commission table of county hotel taxes).
  • Remit via DOR alongside state hotel tax.

Insurance:

• Obtain short‑term rental coverage (rider or standalone policy) for guest liability, property damage, and loss of income.
• Confirm that your lender or association (planned community) allows STRs and that coverage meets operational risks.

Records:

• Maintain guest logs, tax filings, communications with local authorities, and all permits/variances.

Specific Regulations: City, County, and State

City of Sunbury (Northumberland County; third‑class city)

• No dedicated STR ordinance. STRs are governed by:
  • Zoning code (permitted or conditional lodging uses).
  • Slice of Life holding: purely transient commercial rental is not allowed in residential zones absent explicit zoning permission.
  • Variance procedures for non‑conforming uses.
• Check zoning district for “tourist home,” “boarding house,” “bed and breakfast,” “rooming house,” or “hotel/motel” uses; some may be permitted or conditional, others prohibited.

Northumberland County

• No county‑wide STR regulations are noted.
• Hotel tax rate:
  • 3% local hotel occupancy tax (in addition to the 6% state tax).
  • Collected by the state DOR alongside state hotel tax.

Pennsylvania (state level)

• Lodging and Housing Code (48 Pa.C.S. §1311(g)):
  • “Lodging establishment” broadly includes private residences rented transiently (less than 30 days) to the public; operators are subject to lodging rules for safety and guest protection.
• Hotel Occupancy Tax:
  • State rate: 6%.
  • Booking agents must collect and remit; individuals who do not use a booking agent exclusively must register and remit themselves.
• Municipal home‑rule authority:
  • Cities may regulate via zoning and rental permits (e.g., Philadelphia, Pittsburgh), but Sunbury has not adopted a local STR program.
• Planned communities:
  • Declarations and covenants govern rental policies. Recent cases show covenants limiting “commercial use” may not necessarily ban short‑term rentals if rental as a residence is allowed; bylaws cannot override declarations.
• Slice of Life (2019) and subsequent decisions:
  • STRs are not automatically permitted in residential zoning.
  • Requires explicit zoning permission or variance.
• Insurance:
  • Homeowners’ policies generally exclude short‑term rentals; obtain specific STR coverage.

Contact Information (Local Authority in Charge of STRs)

City of Sunbury (Zoning/Permits)

• City Hall: 570-286-7855
• Address: 462 Market St, Sunbury, PA 17801
• Website: www.sunburypa.org
• Use case: Zoning verification, permit pathways (permitted/conditional/variance), any business license or rental registration inquiries.

Northumberland County (Planning/Assessment/Treasurer/Health)

• Planning & Zoning: 570-988-1571
• Assessment Office: 570-988-1307
• County Solicitor: 570-988-4230
• Treasurer’s Office: 570-988-4114 or 570-988-4271
• Health Department: 570-988-4349
• Website: www.northumberlandcountypa.gov
• Use case: County‑level tax and health/inspection inquiries; confirm any county‑wide rules not covered by city zoning.

Pennsylvania Department of Revenue (Hotel Tax)

• Phone: 717-783-1405
• Registration: www.pa.gov/agencies/revenue/resources/tax-types-and-information/sales-use-and-hotel-occupancy-tax/home-sharing.html
• Use case: Register for sales/use/hotel occupancy tax; file and remit hotel taxes; confirm local hotel tax remittance procedures.

Additional resources for context and best practices

• JSG Commission report and resources: jsg.legis.state.pa.us
• Use case: Review model ordinances, compliance frameworks, and policy trends to structure your local licensing and zoning strategy (e.g., Monroe County model ordinance, various third‑class city examples).

Links to Source Pages

• 2025 Joint State Government Commission report on short‑term rentals: jsg.legis.state.pa.us/resources/documents/ftp/publications/2025-03-17%20Short-term%20Rental%20Web%203.17.25.pdf
• City of Sunbury official website: www.sunburypa.org
• Northumberland County official website: www.northumberlandcountypa.gov
• PA Department of Revenue: Home‑sharing/Third‑party broker rentals and hotel tax guidance: www.pa.gov/agencies/revenue/resources/tax-types-and-information/sales-use-and-hotel-occupancy-tax/home-sharing.html
• Additional state resources and model ordinances (see JSG report Appendices): jsg.legis.state.pa.us

What Investors Should Do Next in Sunbury

• Verify the property’s zoning with the City and determine whether a lodging/transient use is permitted, conditional, or prohibited.
• If permitted or conditional, obtain any necessary approvals.
• If prohibited, evaluate the feasibility of a variance (costs, timeline, likelihood of success).
• Register with the PA DOR and set up local hotel tax compliance.
• Secure appropriate STR insurance.
• Prepare guest logs, safety protocols, and tax filings aligned with Pennsylvania lodging rules.

This guide reflects only the information supplied from the 2025 Joint State Government Commission report and the contact pages above. Always confirm current rules and procedures directly with Sunbury City Hall and Northumberland County offices before operation.