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Short-term rental business licence changes

Short-term rental business licence changes

On June 6, 2023 Calgary City Council approved bylaw changes to the requirements for short-term rental business licences. Changes will come into effect on January 1, 2024 and will apply to new and renewing short-term rental licences.

The changes to the business licence requirements strengthens the accountability of short-term rental hosts and property owners, reduces negative impacts on the community and enhances the safety of guests. The bylaw changes reflect The City’s commitment to creating a fair and sustainable environment for all residents, visitors and businesses.

Key changes


All current and prospective short-term rental hosts are required to have a business licence to provide temporary accommodation for compensation. 

Key changes taking effect in January 2024 to the business licence requirements include:
 
  • A floor plan of the dwelling unit or portion of the dwelling unit offered must be provided, including:
    • All rooms and floors accessible for rent, including all rooms offered as bedrooms or available for the purpose of sleeping (living rooms with a fold out couch for example).
    • Location of all smoke alarms and fire extinguishers.
    • Location of fire exits
       
  • Proof of ownership of the dwelling unit or written owner consent, validation through a title search conducted by The City or a Land Title provided at application.

  • If in a condo, written proof from the condo board that the Short Term Rental is permitted.
    • This is to be provided with the Condo Boards Seal.
       
  • Proof of Insurance indicating the location is insured for home sharing or Short Term Rentals.
    • Indication that the property is insured and that the insurance covers Home Sharing.
    • The Short Term Rental Licence owner (applicant) must be the insurance policy holder.
      • When the applicant is a property management company, they are required to provide their liability insurance.
    • The insurance must be issued by an insurance company registered to do business in the Province of Alberta.
      • Click here for a list of approved companies:
    • The minimum liability insurance is for $2 million.
    • Review your insurance documents and provide where it states the coverage meets those requirements, it may be a separate requirement of your insurance company, or indicated within your insurance coverage.
  • Licence Inspector review
  • Annual fire inspections done by Calgary Fire Department will be required to ensure compliance with all life safety requirements.

The bylaw changes reflect The City's commitment to creating a fair and sustainable environment for all residents, visitors and businesses. These amendments aim to strike a balance between enabling the economic benefits for short-term rentals and minimize the negative impacts on the community.

Further details regarding the changes are provided below:

  • Greater accountability

    The licence applications will require proof of property owner's consent for short-term rental to be offered to guests for compensation.

  • Enhanced safety

    Rentals must include a fire safety plan, fire inspection to ensure safety standards are met and to validate allowable guests, and proof of liability insurance coverage for the property.

  • Improved community impact

    The new requirements will include a review of the property to improve the impact on the neighbours. Reviews will ensure the property is being operated in a manner that does not disturb the peace of any other individual.

How can you prepare?


For short-term rental property hosts, below are a list of steps you can take to prepare before the changes to short-term rental licensing take place:

  1. Get familiar with application requirements.
  2. Double check you have all the required documents (floor plans, proof of insurance, letter(s) of authorization) and submit a complete application to move through the business approvals with ease. 
  • Short-term rentals and lodging houses

    A short term rental is defined as the business of providing temporary accommodation for compensation, in a dwelling unit or portion of a dwelling unit for periods of up to 30 consecutive days.

  • Are you a short-term rental host?

    Download our posters to place in your property for guests to access and download the Good Guest Guide!

    Unleash the power of exceptional guest etiquette with the Good Guest Guide.

Upcoming webinars


  • Navigating the latest business licence requirements for short term rentals

    November 29, 2023

    The City of Calgary presents a webinar on the new regulations & licensing requirements for short term rentals coming into effect Jan. 2024

    Join us for a live Q&A on everything you need to know about new bylaw changes for short term rentals.

Apply for a business licence to operate your short-term rental


Once you have gathered all required documents, you can apply for your licence online at or in-person at the Planning Service Centre (800 Macleod Trail S.E.).

If you have questions about short-term rental licensing contact the Planning Service Centre to connect with a member of our planning team before you apply. All applicants will be assigned a Business Experience Representative, who will work with you through the regulatory process.

two people walking into a short term rental unit