RuleGridArizona · Paradise Valley
Paradise Valley
Short-term / vacation rentals are legal in Paradise Valley but must be registered, permitted, and hold a state TPT license before being offered. Under Arizona preemption (A.R.S. 9-500.39) the Town cannot ban STRs or cap the number of permits; it regulates them for health/safety, life-safety equipment, insurance, nuisance, and prohibits non-residential/event use. Permit fee is $250 (nonrefundable), permit valid one year with annual renewal.
Not legal advice. Last verified 2026-10-01 · sources linked below.
Requirements checklist
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city Town of Paradise Valley Short-Term Rental Permit Required
-
city Town STR registration (on Town-specified form) Required
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state Arizona Transaction Privilege Tax (TPT) license Required
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county Maricopa County Assessor residential-rental registration (A.R.S. 33-1902) Conditional
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city General liability insurance (min. $500,000 aggregate) Conditional
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city Designated emergency / complaint-response contact Required
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city Life-safety equipment and postings Unknown
Taxes
| Tax | Rate | Administered by | Airbnb remits | Vrbo remits |
|---|---|---|---|---|
| Town of Paradise Valley Transaction Privilege (Sales) Tax | 2.5% | Arizona Department of Revenue (collected on behalf of the Town) | — | — |
| Town of Paradise Valley Transient (Bed) Tax | 3.4% | Arizona Department of Revenue (collected on behalf of the Town) | — | — |
| Arizona State Transaction Privilege Tax — Transient Lodging class (025) | 5.5% | Arizona Department of Revenue | — | — |
Lodging-tax estimator
Estimate the combined transient/lodging tax (~11.4%) on a stay in Paradise Valley. Estimate only — not tax advice.
Operating rules
- Primary residence
- No
- Min stay (nights)
- —
- Max nights / year
- —
- Max occupancy
- No numeric annual-night or maximum-occupancy cap is set. A.R.S. 9-500.39 preempts use-, classification-, and occupancy-based limits.
- Zoning-restricted
- No
- Cap on licenses
- No
Zoning: State law (A.R.S. 9-500.39) preempts zoning-based bans on STRs; residential dwellings may be used as STRs town-wide. Non-residential/commercial use is prohibited.
- Arizona A.R.S. 9-500.39 preempts municipalities from prohibiting STRs or restricting them based on classification, use, or occupancy; Paradise Valley therefore cannot ban STRs or cap the number of permits.
- Commercial/non-residential use of the dwelling is prohibited: short-term rental or vacation rental may not be used for any non-residential use or purpose.
- HOAs and CC&Rs may independently restrict or prohibit STRs; the state statute does not preempt private HOA restrictions.
- State law requires owner residence on property only if the property contains an accessory dwelling unit and if a certificate of occupancy or similar final approval for the ADU was issued on or after September 14, 2024.
Enforcement
- Active enforcement
- moderate
- Fines
- Graduated civil penalties for verified violations within the same 12-month period: up to $500 or one night's rent (whichever is greater) for the first violation; up to $1,000 or two nights' rent for the second; up to $3,500 or three nights' rent for the third and any subsequent violation. The Town may also impose a $1,000/month civil penalty on an owner who fails to register/obtain a permit.
- Notes
- State law A.R.S. 9-500.39 authorizes suspension of the TPT license for repeat verified violations. Permit suspension authority vests in the Town for three (3) violations within a 12-month period or one verified violation involving felony, serious injury, or knowingly allowing prohibited uses.
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Frequently asked questions
Is Airbnb legal in Paradise Valley?
Do I need a license or registration for a short-term rental in Paradise Valley?
What taxes apply to short-term rentals in Paradise Valley?
Official sources
- reference Apply for a Short-Term Rental Permit | Paradise Valley, AZ ↗ checked 2026-10-01
- reference Town of Paradise Valley Tax / License rates ↗ checked 2026-10-01
- reference Paradise Valley FAQ — Do STR/vacation rentals pay taxes ↗ checked 2026-10-01
- reference A.R.S. § 9-500.39 — Limits on regulation of vacation/short-term rentals; state preemption; civil penalties; TPT license suspension ↗ checked 2026-10-01
- reference Arizona Department of Revenue — Short-Term Lodging & TPT License ↗ checked 2026-10-01
Informational summary of publicly available sources; not legal advice. Verify against the linked official sources.