Denver vs Sedona

Colorado Legal with Permit | Arizona Legal with Permit

Disclaimer: General information only — not legal advice. Verify with your local government.

Denver, Colorado
Status Legal with Permit
Permit Fee $100 license fee
Tax Rate 10.75% Lodger's Tax (combined city/county/state)
Day Limit No limit
Renewal Every 2 years
Platform Tax Yes
Max Fine $999/day for unlicensed operation
Sedona, Arizona
Status Legal with Permit
Permit Fee $210/year
Tax Rate 13.3%–13.9% combined (varies by county portion — Yavapai vs Coconino)
Day Limit No limit
Renewal Annual
Platform Tax Yes
Max Fine $500 first violation; $1,000 second; $3,500 third; up to $1,000/month without permit

Both cities have comparable STR regulatory environments.

Permits & Licensing

Denver charges $100 license fee for STR licensing, while Sedona charges $210/year. Denver renewal is every 2 years, and Sedona renewal is annual. Both cities share a similar regulatory stance, classified as "Legal with Permit."

Tax Obligations

In Denver, hosts pay 10.75% Lodger's Tax (combined city/county/state). In Sedona, hosts pay 13.3%–13.9% combined (varies by county portion — Yavapai vs Coconino). Both cities benefit from automatic platform tax collection through Airbnb and similar services, simplifying compliance for hosts.

Day Limits & Restrictions

Neither city imposes an annual day limit on short-term rentals, giving hosts year-round flexibility.

Fines & Enforcement

Hosts operating without a permit in Denver face penalties including $999/day for unlicensed operation. In Sedona, violations can result in $500 first violation; $1,000 second; $3,500 third; up to $1,000/month without permit. Both cities actively enforce their STR regulations, so securing proper licensing before listing is essential in either market.

Denver Overview

Only primary residences may be used as STRs. Hosts must obtain a Short-Term Rental license. No cap on rental days. Accessory dwelling units on the same lot are also eligible.

Contact: Denver Excise & Licenses — (720) 913-1311

Full Denver guide →

Sedona Overview

Sedona straddles Yavapai and Coconino counties, so tax rates vary. Each unit needs its own permit. Special events (weddings, retreats) strictly prohibited. 24/7 complaint hotline: (928) 203-5110.

Contact: Sedona Community Development — (928) 203-5198

Full Sedona guide →

Frequently Asked Questions

Is it easier to Airbnb in Denver or Sedona?
Denver is classified as "Legal with Permit" while Sedona is "Legal with Permit." Denver's permit fee is $100 license fee compared to $210/year in Sedona. Both cities have comparable regulatory frameworks.
Which city has higher STR taxes — Denver or Sedona?
Denver charges 10.75% Lodger's Tax (combined city/county/state), while Sedona charges 13.3%–13.9% combined (varies by county portion — Yavapai vs Coconino).
Which city has stricter fines for illegal short-term rentals?
Denver: $999/day for unlicensed operation. Sedona: $500 first violation; $1,000 second; $3,500 third; up to $1,000/month without permit. Both cities actively enforce STR regulations, so proper licensing is essential.
Do Denver and Sedona have day limits for Airbnb?
Denver has no annual day limit. Sedona has no annual day limit.
Which city is better for first-time Airbnb hosts — Denver or Sedona?
For new hosts, consider the total cost of entry: Denver charges $100 license fee for permits with 10.75% Lodger's Tax (combined city/county/state) in taxes. Sedona charges $210/year with 13.3%–13.9% combined (varies by county portion — Yavapai vs Coconino). Automatic tax collection in Denver and Sedona makes compliance easier for beginners.