Executive Overview: STR Status in Georgetown, TX

Yes, short-term rentals are explicitly allowed in Georgetown, TX, provided operators comply with the city's new registration program that became effective November 1, 2024. The City Council approved a comprehensive STR ordinance aimed at protecting neighborhood character while enabling this business activity. As of September 2024, Georgetown has 285 STR listings with significant concentration in the Old Town neighborhood, representing more than double the number since 2021.

The city has designed what officials describe as a "low barrier to entry" registration system with minimal compliance requirements. However, operating without proper registration constitutes a violation of the City's Code of Ordinances and may result in significant penalties.

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How to Start a Short-Term Rental Business in Georgetown

Step 1: Verify Property Eligibility and HOA Compliance

• Confirm your property is within Georgetown city limits
• Check your Homeowners Association (HOA) regulations, as HOAs may create their own STR requirements
• Note that the City of Georgetown cannot enforce HOA-created STR requirements

Step 2: Complete Online Registration

• Access the online registration portal (available at georgetowntexas.gov/development_services/permits/other_permits/short_term_rentals/index.php)
• Complete registration and payment online through Granicus Host Compliance platform
• The process includes both registration and payment functionality

Step 3: Execute Required Notifications

• Distribute neighborhood notices to all addresses within 200 feet of your STR property
• Complete this within 10 days of permit approval
• Use the city's sample Neighbor Notification Form or deliver notices in person

Step 4: Set Up Tax Collection and Remittance

• Implement systems to collect Hotel Occupancy Tax (HOT) from guests
• Set up monthly remittance through the city's HOT reporting portal
• Register for the online reporting system (available starting December 1)

Step 5: Establish Operations

• Designate a 24/7 local contact person
• Prepare to comply with all city ordinances including noise, trash, and parking regulations
• Create your Good Neighbor brochure

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Required Documents, Permits, Licenses, and Guidelines

Primary Permit Requirements

STR Registration Permit

• Initial application fee: $100 (waived for applications submitted November 1, 2024 - January 1, 2025)
• Annual renewal fee: $50
• Permit validity: One year from issuance or until ownership changes
• No property inspections required under the city's low-to-moderate regulatory approach

Mandatory Documentation

1. Contact Information

   • Property owner contact details
   • Operator contact information
   • 24/7 local contact information

2. Acknowledgments

   • Statement acknowledging all applicable city ordinances
   • Acknowledgment of noise, trash, and parking regulations

3. Operational Documents

   • Active STR listing information
   • Good Neighbor brochure
   • Proof of neighbor notification within 200-foot radius

4. Tax Compliance

   • Hotel Occupancy Tax registration
   • Monthly tax collection and remittance system setup

Tax Obligations

Hotel Occupancy Tax (HOT) Requirements

• State HOT: 6% (under Texas Tax Code Chapter 156)
• Local HOT: 7% (for properties within Georgetown city limits)
• Total HOT rate: 13% on all STR stays
• Payment frequency: Monthly remittance required
• First local occupancy tax payment due: December 20th (for November activity)
• Reporting: Must complete online reporting form even for months with zero revenue

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Specific Regulations for Short-Term Rentals

City-Level Regulations (Georgetown)

Operational Requirements:

• Maximum stay: 30 consecutive days (state law definition of STR)
• Minimum stay: Not less than 12 hours
• 24/7 local contact required for all properties
• One address per STR permit (limiting multiple bedroom rentals)

Neighborhood Protection:

• Mandatory neighbor notification within 200-foot radius within 10 days of permit approval
• All city ordinances apply to STRs (noise, trash, parking, etc.)
• Focus on maintaining neighborhood quality of life and character

Registration and Renewal:

• Annual permit renewal required
• Permit validity tied to property ownership
• Ongoing compliance monitoring through Granicus Host Compliance software

County-Level Regulations

Note: The provided content does not specify additional Williamson County regulations beyond state requirements. Georgetown operates under city regulations within city limits.

State-Level Regulations (Texas)

Hotel Occupancy Tax Compliance:

• All STRs must collect and remit HOT under Texas Tax Code Chapter 156
• State HOT rate: 6% on all qualifying rentals
• Monthly remittance requirements to appropriate jurisdictions
• Non-retroactive enforcement for existing operations

Registration and Tax Framework:

• State mandate for HOT collection on rentals less than 30 days
• No state-level licensing requirements beyond tax compliance
• Local municipalities authorized to implement additional registration programs

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Contact Information for Local STR Authority

Primary Contact

City of Georgetown Development Services Department

• Email: lodging@georgetowntexas.gov
• Phone: 512-930-3545
• Website: georgetowntexas.gov/development_services/permits/other_permits/short_term_rentals/index.php

Additional Contacts

Complaints and Violations:

• Phone: 737-215-3392
• Online Reporting: secure.hostcompliance.com/georgetown-tx/complaints/type
• Emergency Situations: 911 (for crimes or emergencies)

Downtown & Tourism Department:

• Director: Kim McAuliffe
• Department responsibilities: STR program administration, tourism promotion

Technical Support:

• Registration Portal Issues: Contact Granicus Host Compliance through city website
• Tax Portal Questions: lodging@georgetowntexas.gov

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Links to Source Pages

Primary City Resources:

• STR Registration Portal
• STR FAQs
• Hotel Occupancy Tax Information
• Neighbor Notification Process

Mapping and Tools:

• STR Neighborhood Notice Map

Reporting and Compliance:

• Code Violation Reporting
• Hotel Occupancy Tax Complaint Portal

State Resources:

• Texas Hotel Occupancy Tax Information
• Texas Tax Code Chapter 156

Municipal Code:

• Georgetown Code of Ordinances - General Penalty

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Important Compliance Notes

Enforcement and Penalties:

• Daily violation notices for ongoing non-compliance
• Court summons and fines up to $2,000 per day plus court costs
• City prioritizes education and voluntary compliance
• Permit revocation possible for tax non-payment or habitual violations

Program Timeline:

• Registration portal activated: November 1, 2024
• Fee waiver period: November 1, 2024 - January 1, 2025
• Tax remittance portal activation: December 1, 2024
• First tax payment due: December 20, 2024 (for November activity)

Non-Retroactive Application:

• No back payment required for STR activity prior to program implementation
• All future rentals subject to full compliance requirements regardless of booking date

This guide provides comprehensive information for STR investors operating in Georgetown, TX. For specific legal advice or complex compliance questions, consult with local legal counsel familiar with municipal regulations.