STRWATCH.AI / WA / Seattle

Is a short-term rental legal in Seattle, WA?

REGULATED

Seattle requires a business-license tax certificate and a $75-per-unit annual STR operator license for rentals under 30 consecutive nights.

See permits and requirements

Sources checked9 open items listed below

Owners generally may operate one unit, or two if one is their primary residence. Renters are ineligible except the City’s qualifying Downtown legacy category. Current City guidance refers to Ordinance 125490: pre-September 30, 2017 operators outside the special areas may retain two units and add their primary residence after first renewal; designated Downtown and qualifying post-2012 buildings with up to five units in First Hill/Capitol Hill have separate legacy allowances. Confirm the mapped boundary and documentary eligibility. Ownership or ownership-structure changes terminate legacy status under Rule STR-3. Individual rooms share their dwelling’s license; separate ADUs/DADUs count separately. The City prohibits STR use of RVs, tents, garages, boats, live-work units, caretaker quarters and specified shoreline residences. Current parcel zoning and any later code amendments remain unresolved.

Permits and requirements

Seattle Business License Tax Certificate $73 initial 2026 fee; half that amount for a July 1-or-later start. Annual renewal tiers: $73, $147, $667, $1,604 or $3,210 based on taxable revenue; $10 per branch location.
City of Seattle Office of City Finance / License and Tax Administration
Renewal: annual (expires Dec 31)
Apply through FileLocal or by mail before the STR license. Renewal uses the latest complete calendar-year taxable revenue before the City B&O standard deduction. The 2026 general exemption requires both no Seattle place of business and no more than $4,000 Seattle revenue; it does not waive regulatory requirements. The City’s two fee tables differ at exactly $5 million, so confirm that boundary with Finance. Cancel in writing and file/pay the final return within ten days of closing.
official source
Short-Term Rental Operator License (regulatory license) $75 per dwelling unit per year
City of Seattle (SMC Ch. 6.600, Ord. 125490)
Renewal: Annual, 12 months from issuance. Rule STR-3 allows renewal within ten calendar days after expiry without a late penalty, then a one-time $10 late fee. This does not establish permission to operate with an expired license. Outstanding fees and penalties must be paid.
Apply through Seattle Services Portal after the business certificate and required RRIO registration. Declare compliance for every unit; supply two primary-residence documents when applicable and legacy tax/license/rental records. Keep evidence available within five calendar days of a City request; update contacts within ten days. Post the license number on every listing as STR-OPLI-##-######. License and fees are nontransferable; a new owner needs a new license.
official source
RRIO Registration (Rental Registration and Inspection Ordinance) $126 per property including the first unit, plus $31.50 per additional unit, for two years. City inspection: $241.50 plus $52.50 per additional unit; private inspection: provider fee plus $63 City filing fee. These amounts include the 5% technology fee.
Seattle Department of Construction and Inspections (SDCI)
Renewal: Registration every two years; registered properties inspected at least once every five to ten years.
Required for a dedicated STR that is not the primary residence or a portion of it, including a separate ADU/DADU on the same property. A primary residence still must meet habitability standards but is exempt from RRIO registration/inspection under the STR FAQ. City inspection follow-ups are included. Overdue registration or inspection incurs $52.50; noncompliance can also trigger code enforcement.
official source
City and state liability insurance Cost not verified
City of Seattle and Washington State
City Ordinance 125490 requires at least $1 million aggregate liability coverage or equivalent platform coverage for every transaction. RCW 64.37.050 requires primary coverage, but its chapter excludes qualifying owner-occupied homes occupied at least six months with fewer than three rooms rented at once, as well as specified charitable medical housing. A state exclusion does not remove independent City requirements.
official source
City and state safety and guest information Cost not verified
City of Seattle and Washington State
The City ordinance requires a King County-resident local contact available during stays, smoke/CO alarms, a maintained fire extinguisher and posted emergency contacts, address, escape plan, guest limit, operator contact and City complaint information. RCW 64.37.030 separately requires contact availability, CO compliance and safety postings for rentals within that chapter’s definition; its first violation triggers a warning, later violations a class 2 civil infraction.
official source
WA Department of Revenue tax registration and remittance Cost not verified
Washington State Department of Revenue (RCW 64.37.020; DOR Lodging Guide)
Washington DOR classifies transient lodging under Retailing B&O and requires sales/lodging taxes on lodging gross income, including mandatory related charges. Its tax definition is less than one calendar month, or less than 30 days when the stay does not start on the first; do not confuse this with the City’s 30-night licensing definition. Operators remain responsible unless an intermediary actually remits applicable taxes.
official source
STR Platform License (for booking platforms) $4.00 per night booked, paid quarterly (due Jan 30, Apr 30, Jul 30, Oct 30)
City of Seattle (SMC 6.600.040.A, 6.600.060)
Renewal: Annual platform license; monthly and quarterly reporting continues separately.
Rule STR-5 sets the $4 per-unit booked-night fee; weekend/holiday payment deadlines move to the next business day. Rule STR-4 requires monthly operator/unit/URL reports by the following 15th and quarterly totals by January/April/July/October 15. Rule STR-2 requires a response to City noncompliance notices within seven days, or an emergency status update within 24 hours. B&Bs using a platform separately need a $75 annual City B&B license and the state license listed in the City application checklist.
official source

The full picture

Seattle requires a business-license tax certificate and a $75-per-unit annual STR operator license for rentals under 30 consecutive nights. Generally, owners may rent one unit, or two if one is their primary residence; documented legacy exceptions apply. Separate non-primary units also need RRIO registration and inspections. Licenses are nontransferable. The current state-published guest lodging-tax total is 15.7%; operator B&O taxes are separate.

Taxes on guests & hosts

TaxRateApplies toPlatform collectsOfficial source
Washington and local taxes on transient lodging 15.7% combined guest lodging taxes, including 7% convention-center tax DOR’s Seattle 'Short-term rental' row for July 1–September 30, 2026 lists 15.7% total, including—not additional to—the 7% convention-center component. The posted October–December table is unchanged. Related lodging charges such as cleaning, pets, damage waivers and full-night no-shows are taxable; partial-night no-shows and forfeited cancellation deposits have different B&O treatment. Operator B&O and platform licensing fees are not part of this guest-tax total. Not verified source
Washington Retailing B&O tax on transient lodging income 0.471% before applicable credits Operator gross receipts from transient lodging under DOR’s Retailing classification. B&O is paid by the business, not collected from the guest as a sales tax. Available credits and any other income classifications require separate assessment. Not verified source
Seattle business and occupation tax Not verified Separate City business tax. From January 1, 2026, taxable revenue below $2 million owes no tax but still requires returns; at or above that threshold, a $2 million standard deduction is available. Published retail-services rate is 0.342%, but the specific STR classification remains unresolved. Annual 2026 returns are due April 30, 2027; use the City-assigned filing frequency. Not verified source

Enforcement

PenaltiesThe City STR FAQ lists $500 for a first unlicensed-operation violation and $1,000 for subsequent violations, plus a $513 business-certificate citation. The original ordinance applies a five-year repeat-violation window and permits separate daily citations; current codified escalation and appeal details remain unresolved. RRIO’s January 2026 schedule lists $150 per day for the first ten days of noncompliance and $500 thereafter. Business-certificate late fees are $10 in February and $20 from March.
Platform liabilityPlatforms need an annual City license, must require operator license information under SMC 6.600.060.B, and must remove listings upon City notice. Rules STR-2/4/5 govern responses, monthly/quarterly reporting, notices and the $4 booked-night fee. RCW 64.37.040 requires DOR registration and operator notices covering taxes, safety and insurance gaps. Actual collection of each operator’s taxes remains unverified.
NotesCity licensing enforcement is handled by Finance and Administrative Services / City Finance (STR@seattle.gov, 206-386-1267); zoning/building enforcement by SDCI. State safety violations: warning letter first, then class 2 civil infraction (RCW 64.37.030).

Proposals and updates on record

Statuses reflect the review date above. A listed date may have passed; check the linked source for the current status.

  • ESSB 5576 proposes local-option funding for affordable housing. The official bill history records a January 12, 2026 return to Senate Ways & Means and shows no enacted session law in the fetched record; its status panel is dated July 19, 2026. Current enactment and any successor vehicle remain unresolved, so no proposed tax is included in current rates. — Proposed, [official]

What we could not verify (9)

  • Current codified SMC 6.600 and complete parcel-specific zoning remain unresolved; the current City program/rule index corroborates the original ordinance and linked rules, not every possible later amendment.
  • Confirm the City business-license renewal tier at exactly $5 million: two tables on the current page use inconsistent boundary wording.
  • Confirm property-specific tax exemptions and lodging location codes. Current Q3/Q4 tables establish the combined guest rate; actual platform remittance remains unresolved.
  • No citywide STR guest cap or complete current parking/noise restrictions were established. The posted occupancy limit must follow the property’s applicable code.
  • Washington business-registration fee, assigned filing frequency, full credit eligibility and City B&O classification for a specific STR remain unresolved.
  • Current codified penalty escalation, suspension/revocation and appeal procedures need confirmation. The $513 citation is attributed to the City FAQ.
  • The bill status panel fetched for ESSB 5576 is dated July 19, 2026. Any later action, successor legislation, preemption and current litigation remain unresolved.
  • Check HOA, condominium, mortgage and lease restrictions independently. City licensing does not establish private permission.
  • State Chapter 64.37 exclusions do not establish exemptions from City insurance, safety, licensing or tax rules.

Sources

A markdown mirror of this page lives at /seattle-wa.md for AI tools and researchers.

STRWatch publishes educational information about short-term rental regulation, checked against the official sources linked above as of the date shown. It is not legal advice, and rules change — a city can move between the times we check it. For decisions with money at stake, confirm with the authority linked above or a local attorney.