Checklist: Setting Up a Legal Short-Term Rental in BC

Step 1: Confirm Eligibility

Before listing your property, make sure it qualifies under BC’s new short-term rental rules (2025).

Requirements:

• The rental must be your principal residence in most cities (Vancouver, Victoria, Kelowna, etc.).

• You may rent the entire home or part of it (suite, room, or laneway house) if it meets zoning rules.

• Some strata buildings prohibit short-term rentals — always review your bylaws first.

Tip: If you own multiple properties, consider long-term or corporate rentals for secondary homes.

 

Step 2: Apply for a Business Licence

Most BC municipalities require a business licence for operating short-term rentals.

Typical steps:

1. Apply online via your city’s business portal.

2. Provide proof of principal residence (ID, utility bill, property tax).

3. Pay the annual licence fee (usually $100–$300).

4. Display your licence number clearly on every online listing.

Useful links:

• City of Vancouver – Short-Term Rentals

• City of Kelowna – Short-Term Rentals

• City of Victoria – Short-Term Rentals

 

Step 3: Register with the Provincial Short-Term Rental Registry

As of May 2025, all operators in BC must register with the provincial registry.
Listings without valid registration numbers will be removed from Airbnb and other platforms.

What you’ll need:

• Your business licence (if applicable)

• Property address and ownership details

• Principal residence declaration

• Registration fee

Learn more: BC Government – Short-Term Rentals

 

Step 4: Secure Proper Insurance

Standard homeowner policies don’t cover short-term rental activity.
You’ll need a policy specifically for short-term or vacation rental use.

Coverage checklist:

• Liability coverage ($1M–$2M recommended)

• Guest injury and property damage protection

• Contents insurance

• Loss of income (optional but valuable)

💡 Tip: Many insurers in BC now offer “Airbnb rider” policies for easy add-on coverage.

 

Step 5: Understand Your Tax Obligations

Short-term rental income is taxable in Canada — but it’s also deductible.

What to know:

• You must report STR income on your annual CRA tax return.

• You may need to collect GST/PST depending on income levels.

• You can deduct legitimate expenses like cleaning, utilities, property management fees, and supplies.

• Airbnb automatically collects and remits some taxes in BC — but not all. Always double-check.

📎 Consult a BC tax professional or accountant familiar with rental income.

 

Step 6: Maintain Guest Safety Standards

Safety isn’t just good hospitality — it’s the law.

Before listing:

• Install working smoke and CO detectors.

• Provide a fire extinguisher and first-aid kit.

• Post clear emergency exit information.

• Ensure locks, lighting, and railings meet safety standards.

 

Step 7: Keep Records & Renew Annually

Stay compliant by maintaining records and updating licenses yearly.

Track:

• Guest bookings and income

• Cleaning and maintenance logs

• Tax receipts and expense records

• Renewal deadlines for your license and insurance

 

💙 Let BlueGold Stays Handle It for You

We guide BC homeowners through the entire legal process — from license application to insurance setup — and manage your property once it’s live.
No guesswork, no stress — just compliance and consistent income.

[📞 Book a Free Consultation]
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