A Cheeky guide to starting your Short Term Rental or Airbnb in Charlottesville, Virginia

Thinking about hosting your place for a few nights in Charlottesville (go ‘Hoos!)? Before you hit “List Now”, it’s worth knowing how the rules dance in this historic city. The good news: it’s totally doable — just funneled through some steps so things stay smooth for you, your neighbors and the City.

Charlottesville: You’re not going to get rich off short term rentals here, but you can make some extra money, and meet some wonderful people!

What’s a “Short-Term Rental” Here?

In Charlottesville, the term you’ll run into a lot is “homestay”: a place rented for fewer than 30 days at a time. That could be your primary home (or part of it) that you offer on a site like Airbnb or Vrbo.

The Key Rules You’ll Want to Know

1. You Must Live There (Mostly)

2. Get the Permit & Business License

3. Tax Time: The Transient Occupancy Tax (TOT)

  • If you’re offering lodging for fewer than 30 consecutive days, you must charge a 9% Transient Occupancy Tax on the paid amount.

  • This is in addition to Virginia’s state sales tax (and possibly local sales/uses tax).

4. Zoning & Neighborhood Considerations

  • Homestays are allowed in residential areas, but remember: because the owner lives there, the neighborhood is still a home, not a hotel.

  • The City calls these rentals “home occupations” in the zoning sense — meaning some of the normal home-occupancy rules still apply.

The Why Behind the Rules

Why such structure? Because the City wants to balance:

  • Community character — having thousands of short-term stays in a quiet single-family-residential street could change the vibe.

  • Housing availability — making sure homes aren’t only used as rentals and disappear from longer-term residential use.

  • Fair tax/tourism revenue — ensuring rentals pay their share, just like hotels.

Why It’s Still a Good Time to Host

  • Charlottesville has the charms: college town energy (University of Virginia), historic architecture, wine country nearby.

  • If you follow the rules, you’re playing by the book and drawing in guests who love the vibe.

  • You’re also helping the local economy (tourists spend on food, shops, local experiences).

  • And you’re joining a growing “local + guest” hospitality community where folks treat their homes well and guests respect the neighborhood.

Quick Checklist Before You List

  • My home is my primary residence and I live there at least ~185 days/year.

  • I’ve applied for the Homestay Permit with NDS.

  • I’ll collect the 9% TOT from guests and remit on time.

  • I’ll ensure my listing indicates that it’s my home and follows any occupancy/zoning rules.

  • I’ve checked if my neighborhood has an HOA or covenant that forbids short-term rentals.

  • I’ll provide a 24/7 contact or responsible agent (if required) for guests and neighbors.


Why these rules? That’s another blog post!

If you’re interested in hosting on Charllotesville, don’t reinvent the wheel— reach out to me, and I can walk you through setting up your listing to succeed from go.

Elise Lauterbach
Artist based near Charlottesville, Virginia.
eliselauterbach.com
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How to Get Your Short-Term Rental (a.k.a. Homestay) Approved in Albemarle County, VA