Operating a short-term rental in Boerne, Texas and Kendall County requires an understanding of the local regulatory landscape. While Texas is generally considered a landlord-friendly state, there are specific rules and tax obligations that STR owners must follow to stay compliant and protect their investment.
This guide covers the key regulatory considerations for vacation rental owners in the Boerne area. Note that regulations can change — we recommend consulting with a local attorney or your property management team for the most current requirements.
State of Texas Requirements
Texas requires all short-term rental operators to collect and remit the state Hotel Occupancy Tax (HOT) of 6% on rentals of fewer than 30 consecutive days. This applies regardless of whether you rent through Airbnb, VRBO, or direct bookings. While Airbnb collects and remits some taxes automatically, owners are ultimately responsible for ensuring full compliance.
Kendall County and City of Boerne Considerations
Local regulations for short-term rentals in the Boerne area depend on whether your property is within city limits, in the ETJ (extraterritorial jurisdiction), or in unincorporated Kendall County. Rules around permitting, signage, parking, noise, and maximum occupancy can vary significantly.
HOA restrictions add another layer of complexity. Many neighborhoods in and around Boerne have covenants that either restrict or prohibit short-term rentals entirely. It's critical to review your HOA documents before listing your property.
Tax Obligations
Beyond the state HOT, some areas may require collection of local hotel occupancy taxes. Property owners are also responsible for reporting rental income on their federal and state tax returns. Proper bookkeeping — tracking income, expenses, and depreciation — is essential for maximizing your tax benefits and avoiding issues during audit.
Insurance Requirements
Standard homeowner's insurance policies typically don't cover short-term rental activity. Owners should secure appropriate commercial or STR-specific insurance coverage that protects against guest injuries, property damage, and liability claims. This is a critical but often overlooked aspect of responsible STR ownership.
Staying Compliant
The regulatory environment for short-term rentals continues to evolve across Texas. Staying informed and proactive about compliance protects your investment and avoids costly penalties. Key practices include maintaining required permits, collecting and remitting all applicable taxes, carrying appropriate insurance, and adhering to local noise and occupancy ordinances.
Compliance isn't just about avoiding fines — it's about operating a professional business that earns the trust of your community and your guests.
Hill Country Concierge helps property owners navigate the regulatory landscape in Boerne, Kendall County, and throughout the Hill Country. Our Full-Service and White-Glove packages include compliance guidance so you can focus on returns, not red tape.