Short-term rental rules in the East Valley

Rules verified 9/16/26. They change; confirm with the city before you buy.

A short-term rental in Gilbert or Scottsdale is a small lodging business sitting in a residential neighborhood, and it gets regulated like one. The paperwork is predictable, but it stacks: state, county, city, and then whatever the homeowners association says. Here’s the order to work through it, what each city’s own site said on 9/16/26, and where the contract lets you check before you’re committed.

What counts as a short-term rental

The cities I checked use the same line: a stay of less than thirty days. Gilbert, Queen Creek and Tempe define it that way on their pages, Scottsdale says its license applies only to rentals of less than 30 days, and the Arizona Department of Revenue’s short-term lodging page says the same. Chandler’s page goes further and says a short-term rental includes renting, advertising or offering a property on a web-based platform regardless of the length of stay. If you plan to list a Chandler home on a booking site at all, read Chandler City Code Chapter 22 before you assume a monthly stay exempts you.

Gilbert’s and Queen Creek’s pages both cite A.R.S. 9-500.39 as the state law that permits short-term rentals in every city and town, and both add that state law does not stop an HOA or CC&Rs from regulating or restricting them.

The order of operations

Every city I verified builds on the same state and county base. The sequence that works:

1. Read the CC&Rs and HOA rules for rental restrictions before anything else.
2. Get a Transaction Privilege Tax (TPT) license from the Arizona Department of Revenue, with the property listed on it.
3. Register the property as a rental with the county assessor (Maricopa, or Pinal for part of Queen Creek).
4. Apply for the city license or registration.
5. Send the neighbor notification the city requires.
6. Put the license numbers in every listing, and post the required notices inside the home where the city requires it.

The Department of Revenue says an owner may not rent a short-term lodging property without a current TPT license, whether or not a booking platform is used, and that the TPT license number goes on any advertising. It also says the owner is ultimately liable for the tax even when a property manager files. TPT and local taxes apply; confirm with your CPA.

Where the purchase contract gives you room to check

Under the standard Arizona resale contract, your inspection period is ten days by default unless you agree otherwise, and it covers government matters and anything else that matters to you about the property. That is the window for the questions above. The seller’s disclosure statement also asks whether the seller is aware of any regulation on rental length, so read that answer on day one. If the home is in an association, the HOA addendum requires the bylaws, rules and recorded declaration to be delivered, and that is where rental minimums usually live.

Do not waive the inspection period on a house you are buying to run as a short-term rental. If the CC&Rs require stays of thirty days or more, you bought a long-term rental at a short-term price.

Gilbert, Chandler and Mesa, verified 9/16/26

Gilbert. The Town adopted its short-term rental ordinance in June 2023 and requires a Town license through its GovOS portal. The steps it lists: TPT license with each address, Maricopa County Assessor registration, neighbor notification to adjacent and across-the-street homes before you operate, then GovOS registration. Its FAQ lists a new license at $100 and $100 a year to renew, per property, and says you need the license even if you only book through Airbnb or VRBO. Contact: Town of Gilbert short-term rental staff, ShortTermRentals@gilbertaz.gov.

Chandler. A license is required for each location under Chapter 22 of the Chandler City Code. The page lists: TPT license, county rental registration, neighbor notification, posting emergency contact and prohibited-use information inside the unit, and displaying state and city license numbers in each ad. Licenses run on the fiscal year and expire June 30. The city may impose a civil penalty of up to $1,000 a month if an owner fails to apply within thirty days of a written notice of violation. Contact: City of Chandler Tax and License, through the city’s short-term rental page.

Mesa. Mesa City Code 5-15 has required a short-term rental license since February 1, 2023. The page says to confirm HOA approval first, that the license is issued only to the deeded owner, that proof of a TPT license listing each unit is required, and that you must name a designated emergency contact. The fee listed is $250, valid one year and renewable annually. Contact: City of Mesa Licensing, STR.licensing@mesaaz.gov.

Queen Creek, Tempe and Scottsdale, verified 9/16/26

Queen Creek. The Town’s page says Council amended its rules to eliminate the license and its fees; operators must still register, and registration costs nothing. Before registering you need a TPT license, county assessor registration and emergency contact information. The page also lists prohibited uses, including event centers and retail. Contact: Queen Creek Development Services, Development@QueenCreekAZ.gov.

Tempe. Required since March 6, 2023, for anyone renting for 29 days or less, one license per unit, before listing. The page lists a $250 annual fee ($187.50 if issued July 1 or later), TPT license, county registration, proof of at least $500,000 in liability coverage or equal coverage through the platform, neighbor notification after approval, and the license number on ads. It also requires the owner to run the person booking through the U.S. Department of Justice public sex offender website before each stay, unless the platform does it. Tempe lists a penalty of up to $1,000 a month for operating without one. Contact: Tempe Tax and License, license@tempe.gov.

Scottsdale. An annual city license, $250 per property, for rentals under 30 days. The five steps on the city’s page: TPT license, city license application, neighbor notification within 30 days of licensing plus at least $500,000 of liability coverage, county registration before the property is occupied, and a posted notice inside the front and backyard doors. Scottsdale also has pool barrier requirements for short-term rentals with a pool or spa. Contact: City of Scottsdale short-term rental licensing, through the city’s Vacation and Short-Term Rentals page.

What the market says about buying one

Short-term rental math starts with the purchase price, and in Scottsdale the median home closes about 12.7% below the asking price per square foot (Cromford Report / ARMLS, data 9/15/26, analysis mine). In Queen Creek the typical home takes a median 85 days to sell (Cromford Report / ARMLS, data 9/15/26, analysis mine), which gives a buyer time to do the CC&R homework properly. Price off closed sales, not the list price, and let the rental rules decide whether the house is a candidate at all.

What I do for you here

I’m an Associate Broker with Keller Williams Integrity First Realty, based in Gilbert, with more than 500 transactions closed and investor portfolio work behind me. On a short-term rental purchase I pull the CC&Rs and HOA rules into the inspection period, read the seller’s answer on rental-length regulations, and walk you through the city’s current requirements before the contract gets hard. Income projections, taxes and your entity are for you and your CPA; the Arizona contract says brokers don’t give tax or financial advice.

Want me to check the HOA rules on a specific address before you offer? Text or call (602) 610-3172, or email ryan@ryanharju.com.