Short-Term Rental Status in San Juan, PR

Yes, short-term rentals are explicitly allowed in San Juan, Puerto Rico. The Municipality of San Juan has established a comprehensive regulatory framework through Ordinance Number 39, Series 2022-2023, which governs all short-term rental properties (defined as rentals of less than 90 days) within the municipal jurisdiction. The ordinance was enacted on May 19, 2023, and creates a legal pathway for property owners to operate STRs while ensuring community standards are maintained.

How to Start a Short-Term Rental Business in San Juan

Essential Steps for STR Business Setup

1. Create a Legal Entity: Form an LLC or corporation to separate personal and business liabilities and protect your assets.

2. Register for Tax Compliance: Obtain a Merchant Registration Certificate from the Puerto Rico Treasury Department to ensure proper tax reporting and compliance.

3. Secure Required Permits: Apply for necessary permits including:

   • Use Permit through the Office of Management and Permits (OGPe)
   • Single Permit (Permiso Único) when applicable
   • Register with the Puerto Rico Tourism Company as an innkeeper

4. Apply for Municipal STR License: Submit application through San Juan's Permits Office with all required documentation and fees.

5. Obtain Proper Insurance: Secure host liability insurance and ensure your homeowner's policy covers short-term rental activities.

Required Documents, Permits, Licenses, and Guidelines

Municipal License Requirements

Application Documentation:

• Proof of compliance with hotel registration requirements
• Valid Merchant Registration Certificate from PR Treasury Department
• Single Permit (Permiso Único) from the Permits Office when necessary
• Property documentation (deed or lease agreement)
• Certification of compliance with community regulations, covenants, and association bylaws
• Identification of digital platforms where the property will be listed
• Property sketches or plans including dimensions and parking specifications
• Evidence of compliance with fire safety and health regulations

License Fees:

• Shared Residential Units: $100 annually
• Non-Shared Units or Movable Property: $500 annually

State-Level Requirements

Puerto Rico Tourism Company Registration:

• Register as an innkeeper ("hostelero") with the Puerto Rico Tourism Company (PRTC)
• Obtain Tourism Company Registry Number
• Comply with 7% room occupancy tax collection and remittance requirements

Tax Obligations:

• 7% occupancy tax on all rentals under 90 days
• Maintain detailed records of bookings, income, and expenses
• File appropriate tax returns with Puerto Rico Treasury Department

Specific Regulations for Short-Term Rentals

San Juan Municipal Regulations (Ordinance 39)

Operational Requirements:

• Display valid license prominently within the property
• Include unique STR license number in all property listings
• Maintain compliance with noise ordinances and parking regulations
• Prohibit commercial activities and events that disturb community peace
• Ensure maximum occupancy limits are observed
• Provide adequate parking spaces as specified in license

Recent Amendments (Ordinance P. de O. No. 24, Series 2024-2025):

• Extended registration deadline to May 31, 2025
• Introduced temporary licenses (up to 1 year) for applicants who certify under penalty of perjury that they have applied for required Unique Permit
• Simplified license requirements for qualifying applicants

Compliance Deadlines:

• Current Registration Deadline: May 31, 2025
• All existing and new STR operators must complete registration by this date

Prohibited Activities and Restrictions

• Commercial activities within STR properties are strictly prohibited
• Events or gatherings that alter the residential nature of communities are not permitted
• STR operations are prohibited in areas where association bylaws or master deeds explicitly forbid them
• Properties must maintain residential character and cannot be converted to commercial use

Enforcement and Penalties

Progressive Fine Structure:

• First Violation: $500
• Second Violation: $1,000 plus possible license revocation for 1 year
• Third Violation: $2,500 plus license revocation for 3 years

Operating Without License Penalties:

• Fines ranging from $250 to $5,000 depending on unit type
• Potential prohibition from obtaining future licenses

Inspection Authority:

• Municipal police and authorized agencies have authority to inspect properties
• Licenses must be displayed and available for inspection at all times

Contact Information for Local STR Authority

San Juan Municipality - Permits Office

Primary Contact: Municipality of San Juan Permits Office Services: STR License Applications, Compliance Information, Violations Online Registration Portal: San Juan STR Registration

Puerto Rico Tourism Company (State Level)

Phone: (787) 721-2400 / 1-800-981-7575 Email: contact@tourism.pr.gov Website: tourism.pr.gov Address: #2 Paseo La Princesa, San Juan, PR 00902 Services: Innkeeper registration, room tax compliance, tourism regulations

Room Tax Division Specific Contact: Phone: (787) 289-1716, (787) 289-1717, or (787) 289-1718 Website: Room Tax Information

Source Links

• San Juan STR Regulations Update: Viva PR Alliance
• Comprehensive STR Guide for Puerto Rico: Christie's Real Estate PR
• Current Legislative Developments: News is My Business
• Legal Analysis of San Juan Ordinance: Delgado & Fernández Law Firm
• Puerto Rico Tourism Company FAQ: PRTC FAQ
• San Juan STR Registration Portal: alquilercortoplazo.sanjuan.pr

Additional Resources

Viva Puerto Rico Short-Term Rental Alliance - Local advocacy organization representing STR hosts and operators Website: vivapralliance.com

Document Downloads (from Viva PR Alliance):

• Ordinance 39 Amendment
• Original Ordinance 39
• Ordinance P.O. 24 Regulations

This comprehensive regulatory framework ensures that San Juan's short-term rental market operates within legal bounds while supporting both property owners' economic opportunities and community quality of life. Property owners must stay current with all municipal and state requirements to maintain compliant operations and avoid penalties.