Series Six: Navigating Calgary’s Short-Term Rental Regulations: What You Need to Know

Operating a short-term rental in Calgary, Alberta, now comes with updated regulations as of April 1, 2025. These changes are designed to prioritize guest safety, preserve community standards, and address housing availability. If you’re planning to list your property on platforms like Airbnb, Vrbo, or Booking.com, it’s essential to understand these rules to avoid fines and ensure compliance.

1. Updated Definition of Short-Term Rentals

Calgary now defines a short-term rental as any temporary accommodation provided for compensation in a dwelling unit (or part of one) for up to 180 consecutive days. This update replaces the previous 30-day threshold and helps regulate both short- and medium-term rentals under one system.

2. Business Licence Requirements

All hosts must now obtain a business licence from the City of Calgary. The type of licence depends on whether the property is your primary residence.

Licence Types & Fees:

  • Primary Residence Licence

    • New: $172

    • Renewal: $131

    • Requirements: Proof of primary residence (e.g., government-issued ID)

  • Non-Primary Residence Licence

    • New: $510

    • Renewal: $260

    • Requirements: Authorization from the property owner (if applicable)

  • Fire Inspection Fee: $114 (applies to all licences)

3. Fire Safety Compliance

Before a licence is granted, your property must pass a fire inspection. You’ll need to submit a fire safety plan that includes:

  • Rooms and floors accessible to renters

  • Locations of smoke alarms, carbon monoxide detectors, and fire extinguishers

  • Clearly marked fire exits

The Calgary Fire Department will coordinate with hosts to schedule inspections.

4. Insurance Requirements

You must have a Home Sharing Liability Insurance Policy in place. While you don’t need to upload proof when applying, you’ll be required to confirm that this coverage is active for your rental property.

5. Condominium Regulations

The City of Calgary no longer requires written approval from condo boards to issue a licence. However, hosts are still responsible for complying with condominium bylaws. Condo boards have their own enforcement tools if a unit is used improperly as a rental.

6. Affordable Housing Restrictions

Homes that are designated as affordable housing are not eligible for short-term rental licensing. This helps protect long-term housing availability for low-income residents.

7. Potential Moratorium on Non-Primary Residence Licences

A moratorium on new non-primary residence licences has been approved but will only be activated if Calgary’s rental vacancy rate drops below 2.5%. As of April 2025, the rate remains above that threshold, so the moratorium is not currently in effect.

8. Licensing Requirements for Rental Platforms

Platforms such as Airbnb and Vrbo are now required to obtain their own business licence from the City of Calgary. This is part of a broader effort to improve enforcement and data sharing between the City and hosting platforms.

How AirStay Design and Consulting Can Help

At AirStay Design and Consulting, we make it easy for you to navigate the evolving short-term rental landscape in Calgary. From preparing fire safety plans and organizing your licence application, to reviewing insurance policies and understanding zoning or condo rules—we’ve got you covered.

Our goal is to help you operate your rental legally, safely, and profitably without the stress of managing city compliance on your own.

Final Thoughts

Calgary’s updated regulations are a big shift for local hosts—but with the right guidance, you can continue to run a successful and compliant short-term rental. Whether you’re a first-time host or a seasoned operator, staying ahead of the rules is key to protecting your investment.

Need support? Reach out to AirStay Design and Consulting, and let’s make your hosting journey smooth, safe, and successful.

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Series Four: How to Choose the Right Real Estate Agent for High-Yield Rental Properties