RuleGridColorado · Durango
Durango
Short-term / vacation rentals in the City of Durango (defined as a dwelling unit rented for lodging for a period of 1 to 29 days) are a commercial use of a residential property that is only allowed after approval of a discretionary Limited Use Permit (LUP) issued by the Community Development Department under Land Use and Development Code (LUDC) Section 2-2-3-4, "Standards for Transient Residential Land Uses and Overnight Accommodations." Durango has allowed and regulated "Tourist Homes" since 1989. Vacation rentals may only be permitted in the Central Business zone, Mixed-Use zones, select Planned Development zones, and Established Neighborhoods EN-1 and EN-2, and are expressly not allowed in Twin Buttes, Three Springs, Rock Ridge, or Sky Ridge (or any development whose governing documents do not allow them). Hard caps apply: 22 total in EN-1 and 17 total in EN-2, with development-specific caps in other permitted zones; caps are reached in most cases and applicants must join a waitlist before becoming eligible to apply. A street-segment density rule prohibits a second vacation rental on the same street segment without Planning Commission approval and prohibits a third. The LUP application fee is $750 (confirmed current in the City's Planning Fees schedule revised October 1, 2024, and in the Land Use & Development Guidebook updated November 2021). Permits are non-transferable and automatically terminate upon sale or change of ownership. Operators must also maintain a City business license and obtain City sales-tax and lodgers'-tax licenses, collect/remit the City's 5.25% lodgers' tax (raised from 2.0% by Ballot Question 1-A, approved April 6, 2021, effective June 1, 2021) plus the City's 3.5% sales tax, and remit state (2.9%) and La Plata County (3.0%) sales tax via a Colorado sales tax license.
Not legal advice. Last verified 2026-07-15 · sources linked below.
Requirements checklist
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city Vacation Rental Limited Use Permit (LUP) Required
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city Vacation Rental LUP application fee Required
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city City of Durango Business License Required
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city City Lodgers' Tax License Required
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city City of Durango Sales Tax License Required
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state Colorado Sales Tax License (state / state-collected) Required
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city Permit and business-license number in all advertisements Required
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city Off-street parking (one space per bedroom) Conditional
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city Minimum building/life-safety code compliance Conditional
Taxes
| Tax | Rate | Administered by | Airbnb remits | Vrbo remits |
|---|---|---|---|---|
| City of Durango Lodgers' Tax | — | — | — | — |
| City of Durango Sales Tax | — | — | — | — |
| La Plata County Sales Tax | — | — | — | — |
| Colorado State Sales Tax | — | — | — | — |
Operating rules
- Primary residence
- No
- Min stay (nights)
- —
- Max nights / year
- —
- Max occupancy
- No fixed citywide occupancy number is published. Occupancy limits are proposed by the applicant ('desired occupancy limits') in the written narrative and set through the Limited Use Permit; on-site parking is generally one off-street space per bedroom. (Verified: guidebook lists 'desired occupancy limits' among required narrative contents; a specific numeric cap is not stated and is left as needs_review.)
- Zoning-restricted
- Yes
- Cap on licenses
- Yes
Zoning: Vacation rentals may only be permitted in the Central Business zone, Mixed-Use zones, select Planned Development zones, and Established Neighborhoods (EN) 1 and 2. In Mixed-Use and PD zones they are allowed only when a prior development agreement or land use permit specifically lists them as a permitted use (otherwise the prior approval must be amended or re-issued), and such developments must have a cap on the total number of units usable as VRs. Expressly not allowed in Twin Buttes, Three Springs, Rock Ridge, or Sky Ridge, or in any development whose governing documents do not allow them.
- EN-1 zone cap: 22 total vacation rentals allowed. EN-2 zone cap: 17 total. Both caps quote-anchored to the official guidebook and the current Vacation Rental Information page.
- Development-specific caps apply in other permitted zones (Planned Developments and specific Mixed-Use developments), set per building/development.
- POINT-IN-TIME SNAPSHOT (retrieved 2026-07-16, subject to change): per the City's Vacation Rental Information summary table, EN-1 had 21 active / 26 on waitlist / 1 pending; EN-2 had 17 active / 11 on waitlist; other zones ~87 active / 1 pending (roughly 125 active citywide). These live counts fluctuate and are NOT a regulatory fact.
- Caps are reached in most cases; properties must be placed on a waitlist before being eligible to apply.
- Street-segment density rule: a second vacation rental is not allowed on the same street segment as an existing permitted VR without Planning Commission approval, and a third would not be permitted.
Enforcement
- Active enforcement
- unknown
- Fines
- —
- Notes
- Specific monetary fine amounts for illegal operation are not stated in the reviewed City sources; fine_schedule left null rather than guessed.
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Frequently asked questions
Is Airbnb legal in Durango?
Do I need a license or registration for a short-term rental in Durango?
What taxes apply to short-term rentals in Durango?
Official sources
- reference City of Durango - Vacation Rental Information ↗
- reference Land Use & Development Guidebook: Vacation Rentals (Updated November 2021) ↗
- reference City of Durango Community Development Planning Fees (Revised October 1, 2024) ↗
- reference City of Durango - Sales, Use & Lodgers' Tax ↗
- reference La Plata County - Sales Tax Information ↗
- reference U.S. Census Bureau Geocoder ↗
Informational summary of publicly available sources; not legal advice. Verify against the linked official sources.