Last updated:
September 3, 2025
4
minute read

STR Investor Insights: This Week’s Regulation Updates

Aug 28 - Sept 2, 2025: STR Regulations

Executive Summary

Buena Vista, Colorado, just capped out-of-county investors at 119 licenses with a two-year ownership requirement. Glen Carbon, Illinois, went even stricter with just 15 total STR licenses village-wide, creating scarcity that could drive up existing permit values. Cape Coral, Florida, is considering a massive fee hike from $35 one-time to $350 annually, plus $2,000 fines for unregistered rentals. Meanwhile, Clark County, Nevada, got a temporary reprieve when a federal judge blocked Airbnb from removing unlicensed listings, giving hosts breathing room in that key Vegas market. Aspen kept their 190-permit cap unchanged, but 62 permits have lapsed since 2022, potentially creating renewal opportunities for savvy investors willing to pay premium prices in this luxury market.

New Regulations

Aspen, Colorado

Published: August 26, 2025 
Regulation Category: Licensing
Summary: The council decided to maintain the 2022 cap of 190 short-term rental classic permits in the residential/multifamily zone, rejecting options to increase or remove it. 62 permits have lapsed since 2022, potentially opening opportunities for renewals.
Source: Aspen council to keep STR permit caps the same

Buena Vista, Colorado

Published: August 26, 2025 
Regulation Category: Licensing
Summary: The ordinance caps short-term rental licenses at 119 for out-of-county owners and 30 for in-county non-primary residences, requiring two-year ownership before eligibility and prohibiting out-of-county licenses in R-1 zones. Investors should note that deed-restricted homes and those in South Main PUD are excluded from counts, with the policy set for review in a year, potentially affecting out-of-county investment opportunities while leaving local owners unaffected.
Source: Buena Vista Board caps out-of-county rental licenses

Algonac, Michigan

Published: August 29, 2025
Regulation Category: Licensing
Summary: The new ordinance requires annual registration, inspections, local contact info, occupancy and parking limits, and enforcement for violations to balance economic benefits with neighborhood impacts. Investors will need to comply with these measures to maintain operations, with potential future adjustments like boating restrictions that could further affect property use.
Source: Algonac City Council Introduces Short-Term Rental Ordinance

Glen Carbon, Illinois

Published: August 26, 2025 
Regulation Category: Licensing
Summary: The ordinance caps short-term rentals at 15 village-wide, allowing only unoccupied properties and aiming to preserve town character amid resident concerns. Investors should note the population-based limit, which can adjust with growth, differing from nearby Edwardsville's higher cap of 60.
Source: Glen Carbon Sets Limit On Short-Term Rental Properties

Clark County, Nevada

Published: August 29, 2025
Regulation Category: Licensing
Summary: A federal judge temporarily blocked the ordinance requiring Airbnb to remove unlicensed short-term rental listings, arguing it imposes an unreasonable burden on the platform. Investors should monitor the ongoing lawsuit, as the county's rules could still enforce stricter monitoring and fines for non-compliant bookings if the block is lifted.
Source: Airbnb Wins Temporary Reprieve in Federal Court Over Clark County Ordinance

Gothenburg, Nebraska

Published: August 27, 2025
Regulation Category: Zoning
Summary: The amended ordinance expands short-term rentals to additional zoning districts (R-3, R-4, C-2, C-3) but requires a special use permit for oversight and public input, plus parking and signage rules. With only five or six current Airbnb listings, investors must now secure permits to operate in these zones, preventing unchecked growth.
Source: Council Adopts New Ordinance For Short-Term Rentals

Lakewood, New York

Published: August 1, 2025
Regulation Category: Zoning
Summary: The board approved three special-use permits for short-term rentals, including one in a prohibited R-1 district via variance, with annual fees ranging from $500 to $1,500 based on owner residency. Investors can seek variances in restricted zones but face ongoing debates over residential impacts and permit costs.
Source: Lakewood Board Of Trustees OK Special-Use Permits

Developing Regulations

Cape Coral, Florida

Published: August 29, 2025
Regulation Category: Tax
Summary: The city is considering increasing the current $35 one-time fee to $350 annually for short-term rentals, with potential fines of $1,000 for unregistered standard rentals and $2,000 for short-term ones if approved. Investors face uncertainty as these changes, following a recent seven-day minimum stay rule, could take effect January 1, 2026, impacting operational costs and compliance.
Source: Proposed short-term rental fees draw uncertainty for Cape Coral owners

Lenox, Massachusetts

Published: August 29, 2025
Regulation Category: Zoning
Summary: The town proposes a new bylaw to tighten regulations and safety requirements for its 77 registered short-term rentals, with a vote scheduled for November 6 at a special town meeting. Investors should prepare for potential stricter rules in the downtown historic area, aimed at managing impacts on housing and community character.
Source: Lenox aims to tighten short-term rental rules

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