RuleGrid

Arizona · Sedona

Sedona

city Allowed with registration Verified · last verified 2026-07-15

Short-term/vacation rentals (transient lodging under 30 consecutive days) are LEGAL in Sedona but require an annual City-issued Short-Term Rental Permit under Sedona City Code Chapter 5.25, adopted pursuant to Arizona's STR-preemption statute A.R.S. § 9-500.39 and amended by Ord. 2025-02 (council-approved March 25, 2025; ADU/guest-quarters distinction) and Ord. 2025-10.10 (council-approved October 14, 2025; suspension mechanism + attestation + late-fee structure). Each rentable unit requires its own permit (SCC 5.25.030); the permit fee is $210 per unit per year, non-refundable and non-transferable, valid one year from issuance. Before applying, the owner must hold an Arizona Transaction Privilege Tax (TPT) license from the AZ Dept. of Revenue. Operational mandates: a 24-hour local emergency point of contact who must respond within 60 minutes when contacted by a police officer about a complaint (24 hours for non-emergencies); at least $500,000 aggregate liability insurance per unit; written neighbor notification to adjacent, directly-across, and diagonally-across single-family properties; a sex-offender background check at least 24 hours before each guest check-in (records kept 12 months); a posted on-site safety/rules notice; and display of the permit number on every advertisement. Special events, non-residential/commercial uses, and use as a sober-living home are prohibited (SCC 5.25.050). Consistent with A.R.S. § 9-500.39 there is NO cap on the number of permits, NO minimum-stay or annual-night cap, and NO general primary-residence requirement — the sole exception being that an accessory dwelling unit (ADU) with a certificate of occupancy issued on or after September 14, 2024 may be an STR only if the owner's primary residence is the main structure on the same lot (guest quarters with a C of O before that date are legal nonconforming). Enforcement (Ord. 2025-10.10): applications/renewals with missing or invalid information are auto-denied effective Oct 23, 2025; late renewals incur a one-time late fee effective Jan 1, 2026 ($50 if 2–90 days late, $100 if 90+ days late); civil penalties for verified violations within a 12-month period run up to $500 (or one night's rent, whichever is greater) for the 1st, up to $1,000 (or two nights') for the 2nd, and up to $3,500 (or three nights') for the 3rd+ (SCC 5.25.120); permits may be suspended up to 12 months (SCC 5.25.110). Lodging within Sedona city limits is taxed at a combined ~13.325% in the Yavapai-County portion (5.5% AZ state transient + ~0.825% Yavapai county + 3.5% Sedona city TPT + 3.5% Sedona bed tax) and ~13.9% in the Coconino-County portion (~1.4% county component).

Not legal advice. Last verified 2026-07-15 · sources linked below.

Requirements checklist

  • city City of Sedona Short-Term Rental Permit Required
    Fee: $210 / annual · Renewal: Annual - valid one year from date of issuance (SCC 5.25.030). Renewals/applications submitted with missing or invalid information are automatically denied effective Oct 23, 2025. · Applies to: Every short-term rental unit rented for transient use (less than 30 consecutive days); each advertised/rentable unit (e.g., main house + casita = 2 permits) needs its own permit. No permit required for rentals of 30+ days. · official page ↗
  • state Arizona Transaction Privilege Tax (TPT) License Required
    Fee: — · Renewal: Annual - TPT licenses renewed yearly by the State of Arizona (December/January). · Applies to: All STR owners/operators; must be obtained before applying for the city permit and kept valid (renewed yearly). · official page ↗
  • city 24-Hour Emergency Point of Contact Required
    Fee: — · Renewal: — · Applies to: Every permitted STR; owner or designee serving as the local emergency contact (name, physical address, email, 24-hour phone). · official page ↗
  • city Liability Insurance ($500,000 aggregate) Required
    Fee: — · Renewal: — · Applies to: Each rental unit; may be maintained by owner, designee, or the online lodging marketplace platform. · official page ↗
  • city Neighbor Notification Required
    Fee: — · Renewal: — · Applies to: Owner/designee must notify each single-family residential property adjacent to, directly across from, and diagonally across the street from the STR before offering it for rent. · official page ↗
  • city Sex-Offender Background Check of Booking Guest Required
    Fee: — · Renewal: — · Applies to: Every booking; conducted at least 24 hours before check-in (may be satisfied by the online lodging marketplace's check). · official page ↗
  • city On-Property Posted Notice & Advertisement Permit-Number Display Required
    Fee: — · Renewal: — · Applies to: Every permitted STR - a posted safety/rules notice near the primary entrance, and the permit number displayed on every advertisement/listing. · official page ↗
  • county County Assessor Residential Rental Registration Required
    Fee: — · Renewal: — · Applies to: Owners of residential rental property (including STRs) in the Yavapai (or Coconino) County portion of Sedona; register the rental with the county assessor. · official page ↗

Taxes

TaxRateAdministered byAirbnb remitsVrbo remits
Combined transient lodging tax (within Sedona city limits, Yavapai County portion) — — — —
Combined transient lodging tax (within Sedona city limits, Coconino County portion) — — — —

Operating rules

Primary residence
—
Min stay (nights)
—
Max nights / year
—
Max occupancy
—
Zoning-restricted
—
Cap on licenses
—

Get change alerts for Sedona

RuleGrid checks Sedona every night. Add your email and we'll alert you the moment a rule changes — free, one email per change, unsubscribe anytime.

By subscribing, you agree to receive RuleGrid change alerts. Unsubscribe anytime. Privacy policy.

Frequently asked questions

Is Airbnb legal in Sedona?
Short-term/vacation rentals (transient lodging under 30 consecutive days) are LEGAL in Sedona but require an annual City-issued Short-Term Rental Permit under Sedona City Code Chapter 5.25, adopted pursuant to Arizona's STR-preemption statute A.R.S. § 9-500.39 and amended by Ord. 2025-02 (council-approved March 25, 2025; ADU/guest-quarters distinction) and Ord. 2025-10.10 (council-approved October 14, 2025; suspension mechanism + attestation + late-fee structure). Each rentable unit requires its own permit (SCC 5.25.030); the permit fee is $210 per unit per year, non-refundable and non-transferable, valid one year from issuance. Before applying, the owner must hold an Arizona Transaction Privilege Tax (TPT) license from the AZ Dept. of Revenue. Operational mandates: a 24-hour local emergency point of contact who must respond within 60 minutes when contacted by a police officer about a complaint (24 hours for non-emergencies); at least $500,000 aggregate liability insurance per unit; written neighbor notification to adjacent, directly-across, and diagonally-across single-family properties; a sex-offender background check at least 24 hours before each guest check-in (records kept 12 months); a posted on-site safety/rules notice; and display of the permit number on every advertisement. Special events, non-residential/commercial uses, and use as a sober-living home are prohibited (SCC 5.25.050). Consistent with A.R.S. § 9-500.39 there is NO cap on the number of permits, NO minimum-stay or annual-night cap, and NO general primary-residence requirement — the sole exception being that an accessory dwelling unit (ADU) with a certificate of occupancy issued on or after September 14, 2024 may be an STR only if the owner's primary residence is the main structure on the same lot (guest quarters with a C of O before that date are legal nonconforming). Enforcement (Ord. 2025-10.10): applications/renewals with missing or invalid information are auto-denied effective Oct 23, 2025; late renewals incur a one-time late fee effective Jan 1, 2026 ($50 if 2–90 days late, $100 if 90+ days late); civil penalties for verified violations within a 12-month period run up to $500 (or one night's rent, whichever is greater) for the 1st, up to $1,000 (or two nights') for the 2nd, and up to $3,500 (or three nights') for the 3rd+ (SCC 5.25.120); permits may be suspended up to 12 months (SCC 5.25.110). Lodging within Sedona city limits is taxed at a combined ~13.325% in the Yavapai-County portion (5.5% AZ state transient + ~0.825% Yavapai county + 3.5% Sedona city TPT + 3.5% Sedona bed tax) and ~13.9% in the Coconino-County portion (~1.4% county component).
Do I need a license or registration for a short-term rental in Sedona?
Yes — Sedona requires: City of Sedona Short-Term Rental Permit; Arizona Transaction Privilege Tax (TPT) License; 24-Hour Emergency Point of Contact. See the requirements checklist for fees, renewal, and official links.
What taxes apply to short-term rentals in Sedona?
Combined transient lodging tax (within Sedona city limits, Yavapai County portion), Combined transient lodging tax (within Sedona city limits, Coconino County portion). Use the lodging-tax estimator on this page for a specific stay.

Official sources

Related coverage

In Arizona · Yavapai County

Nearby Prescott

Compare with Phoenix · Scottsdale · Tucson · Flagstaff

Side-by-side vs Scottsdale · vs Flagstaff

Informational summary of publicly available sources; not legal advice. Verify against the linked official sources.