How to Get Your Short-Term Rental (a.k.a. Homestay) Approved in Albemarle County, VA
Thinking about turning your home into a charming short-term rental in Albemarle County? Great idea — visitors love the mountain views, wineries, and easy access to Charlottesville. But before you hand over the keys, there’s a little paperwork to tackle first.
Here’s your easy, step-by-step guide to getting legal, complete with direct links to the forms you’ll need.
Step 1: Make Sure You Qualify
First things first — Albemarle calls short-term rentals “homestays.”
To qualify, your property must:
Be your primary residence (you live there most of the year).
Be rented for fewer than 30 consecutive days per guest stay.
Meet basic zoning, parking, and safety standards.
If that sounds like you — you’re in business (almost).
Learn more about eligibility here: Albemarle County Homestay Overview
Step 2: Apply for a Homestay Zoning Clearance
Every short-term rental in Albemarle County needs a Homestay Zoning Clearance from the Department of Community Development.
This clearance verifies that your property is in the right zoning district and that it’s your primary residence.
📄 Get the application form here:
➡️ Homestay Clearance Application – Forms Library
Step 3: Apply for a Business License
Once your zoning clearance is approved, you’ll also need a Business License — because short-term rentals are considered a business in the eyes of the county.
This part is handled by the Department of Finance.
📄 Start your business license application here:
➡️ Business License & Taxes – Short-Term Rentals
Step 4: Register for the Transient Occupancy Tax (TOT)
Every time you host a stay of fewer than 30 days, you must collect and remit the Transient Occupancy Tax (TOT) — Albemarle’s lodging tax.
As of July 1, 2024, that rate is 9%.
📄 Learn how to register and pay here:
➡️ Transient Occupancy Tax Registration – Albemarle County
Step 5: Keep It Legit
Once your paperwork is in, keep copies of:
Your Homestay Clearance certificate
Your Business License
Your TOT registration and tax records
You’ll need to renew your business license and zoning clearance periodically — and report your TOT regularly (usually monthly or quarterly).
Bonus Tip
If you’re planning to rent out only part of your home (like a basement suite or guest room), you’re considered a “hosted homestay.”
If you rent the whole house while you’re away, it’s a “whole-house homestay.”
Both are allowed — as long as it’s still your primary residence.
Ready to Host?
That’s it! With your forms filed, taxes set up, and permits approved, you’re officially ready to welcome guests the right way — no zoning headaches, no mystery letters from the county.
Charlottesville visitors get a great local stay, you get extra income, and Albemarle gets to keep its neighborhoods thriving. Win-win-win.
Need Help?
I’m Elise Lauterbach, and I truly believe that turning your home into a successful short-term rental in Albemarle County starts with the right guidance. With years of experience helping hosts navigate zoning requirements, tax registration, and guest-ready strategies, I’m here to walk you through every step so you avoid pitfalls and maximize your opportunity. From identifying the best setup for your property to ensuring your permit, business license, and transient occupancy tax registration are all squared away — I’ve got you covered. Ready to list with confidence? Let’s connect, and I’ll make sure your hosting journey begins smoothly and legally.
