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Barrett Township, Pennsylvania Short-Term Rental Regulation: A Guide For Airbnb Hosts

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Disclaimer: This article is for informational purposes only and not legal advice. Regulations could have changed since this article was published. Check local zoning authorities and consult a legal professional before making any decisions.

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Starting a Short-Term Rental Business in Barrett Township

Barrett Township, Pennsylvania has established regulations for short-term rentals (STRs) like Airbnb and VRBO to balance the interests of property owners and the community. If you're considering starting a short-term rental business in Barrett Township, here's what you need to know:

  • Permit Requirement: As of December 11, 2019, Barrett Township requires all short-term rental properties to obtain a permit. This regulation applies to rentals lasting between 1 and 30 days. The permit application, fee information, and guidelines are available on the Barrett Township website.
  • Zoning: Short-term rentals are allowed in all zoning districts in Barrett Township, with the exception of properties located in developments with HOAs that may prohibit them through community bylaws. This relatively permissive zoning approach sets Barrett Township apart from some other Pocono area municipalities that have more restrictive zoning for STRs.
  • Application Process: To obtain a short-term rental permit, property owners must submit an application along with required documents and the permit fee to Barrett Township5. After submission, an inspection of the property will be scheduled5.
  • Permit Fees: The initial permit fee is $500 for the first year, which then reduces to $300 for subsequent years. This fee structure is designed to cover the costs of administration and enforcement of the STR regulations.

Starting a short-term rental business in Barrett Township can be a rewarding venture, but it requires careful planning and compliance with local regulations. By following these guidelines and being a responsible host, you can contribute positively to the local tourism economy while maintaining good relationships within the community.

Short-Term Rental Licensing Requirement in Barrett Township

Barrett Township, Pennsylvania requires all short-term rental (STR) property owners to obtain a permit before operating. Here's a comprehensive list of requirements based on the official township regulations:

Licensing Requirements:

  1. Completed Short-Term Rental Permit Application
  2. Floor plans of all levels, identifying all rooms and dimensions of bedrooms
  3. Site plan showing property lines, driveways, structures, parking spaces, and sewage disposal system
  4. Septic system certification from a professional consultant
  5. Copy of Monroe County Hotel Room Excise Tax Certificate
  6. Pennsylvania Sales and Use Tax Permit
  7. Copy of property deed
  8. Insurance policy declaration page (commercial policy with minimum $500,000 liability coverage)
  9. Written approval from property owner's association (if applicable)

Safety Equipment Requirements:

  1. Smoke detectors in each bedroom and common hallways
  2. Carbon monoxide detectors (if open flame furnace, fireplace, or attached garage)
  3. GFI outlets near water sources
  4. Fire extinguisher in the kitchen
  5. Stairs in good condition with handrails

Submission Process:

Submit the application and all required documents to the Barrett Township Zoning Officer. Email submission is preferred for documents, but payment must be mailed or hand-delivered.

Fees:

  1. Initial permit fee: $500
  2. Annual renewal fee: $300

Processing Time:

While not explicitly stated, the ordinance mentions that inspections will be scheduled after application submission. Applicants should allow for adequate processing time, likely several weeks.

Penalties for Non-Compliance:

  1. Operating a short-term rental without a permit is a violation of the township ordinance. Penalties include:
  2. Fines ranging from $300 to $1,000 per violation
  3. Each day of violation constitutes a separate offense
  4. Potential imprisonment up to 90 days for default of payment
  5. Permit revocation or denial of renewal for three uncured or repeated violations in a 12-month period

By adhering to these requirements, short-term rental owners in Barrett Township can ensure they're operating legally and responsibly within the community.

Required Documents for Barrett Township Short-Term Rentals

To operate a short-term rental in Barrett Township, Pennsylvania, property owners must submit several documents as part of their permit application. Here's a comprehensive list of the required documents, along with explanations of their purpose:

  1. Completed Short-Term Rental Permit Application: This is the primary form that initiates the permit process.
  2. Floor Plans: Detailed plans of all levels, identifying all rooms and providing dimensions of bedrooms. These plans help verify occupancy limits and safety requirements.
  3. Site Plan: A diagram showing property lines, driveways, structures, parking spaces, and sewage disposal system components. This ensures compliance with parking regulations and helps assess the property's layout.
  4. Septic System Certification: A professional evaluation certifying that the existing system is functioning as intended, along with proof that the tank was pumped within the past three years. This document is crucial for environmental and health safety.
  5. Monroe County Hotel Room Excise Tax Certificate: This proves registration for remitting local taxes on short-term rentals.
  6. Pennsylvania Sales and Use Tax Permit: This document ensures compliance with state tax regulations for short-term rentals.
  7. Property Deed: A copy of the current recorded deed establishes ownership of the property.
  8. Insurance Policy Declaration Page: This must show at least $500,000 in liability coverage for the commercial use of the property as a short-term rental.
  9. Property Association Approval (if applicable): Written approval from the owner's property association is required if the property is part of such an association.
  10. Parking Plan: This should detail the available parking spaces, ensuring compliance with the requirement of one parking space per bedroom used for short-term rental.

To obtain these documents:

  1. The permit application, floor plan template, and site plan template can be found on the Barrett Township website (www.BarrettTownship.com/forms).
  2. Septic system certification should be obtained from a professional septic consultant.
  3. Tax certificates and permits can be acquired from the Monroe County Treasurer's office and the Pennsylvania Department of Revenue, respectively.
  4. The property deed can be obtained from the Monroe County Recorder of Deeds office.
  5. Insurance documentation should be requested from your insurance provider.
  6. Property association approval, if needed, must be obtained from your local homeowners' association.

Remember, the initial permit fee is $500 for the first year, which reduces to $300 for subsequent years. All documents and the fee should be submitted to the Barrett Township Zoning Officer for processing.

Barrett Township Short-Term Rental Taxes

Short-term rental operators in Barrett Township, Pennsylvania, are subject to several taxes. Understanding and complying with these tax obligations is crucial for running a legal and successful rental business. Here's a breakdown of the applicable taxes:

Hotel Room Excise Tax:

This is a local tax imposed by Monroe County. Short-term rental operators must obtain a Monroe County Hotel Room Excise Tax Certificate. While the exact percentage is not specified in the search results, many Pennsylvania counties charge a 3% hotel tax.

Pennsylvania Sales and Use Tax: Short-term rental owners are required to collect and remit Pennsylvania Sales and Use Tax. The current state sales tax rate is 6%. This tax applies to the rental fees charged to guests.

Local Earned Income Tax: While not specifically mentioned for short-term rentals, Barrett Township does have an Earned Income Tax ordinance5. Rental income may be subject to this tax, depending on how the business is structured.

Combined Tax Rate: The total tax burden for short-term rentals in Barrett Township is approximately 9%. This likely includes the combination of the county hotel tax and the state sales tax.

Tax Registration and Compliance:

  1. Operators must obtain a Monroe County Hotel Room Excise Tax Certificate from the Monroe County Treasurer.
  2. A Pennsylvania Sales and Use Tax Permit is required, which can be obtained by applying online through the PA-100 form.
  3. These tax certificates and permits must be provided when applying for or renewing a short-term rental permit.

Possible Write-offs and Deductions:

While specific deductions for Barrett Township are not mentioned in the search results, short-term rental operators may generally be able to deduct:

  1. Property maintenance and cleaning costs
  2. Utilities and internet expenses
  3. Furnishings and supplies for the rental
  4. Property insurance premiums
  5. Mortgage interest and property taxes
  6. Depreciation of the property and major appliances
  7. Marketing and advertising expenses
  8. Short-term rental permit fees

It's important to note that tax laws can be complex and may change. Short-term rental operators should consult with a tax professional familiar with local regulations to ensure proper compliance and to maximize allowable deductions.

By understanding and properly managing these tax obligations, short-term rental owners in Barrett Township can operate their businesses legally and efficiently, while contributing to the local economy through tourism and tax revenue.

Pennsylvania Wide Short-Term Rental Rules

While Pennsylvania does not have comprehensive statewide legislation specifically targeting short-term rentals, there are some important state-level requirements that Barrett Township hosts should be aware of:

Taxation: Short-term rental operators in Pennsylvania must collect and remit a 6% Hotel Occupancy Tax, which is equivalent to the state sales tax rate. This tax applies to all stays of less than 30 consecutive days. Before collecting this tax from guests, hosts are required to register for a Hotel Occupancy Tax License with the Pennsylvania Department of Revenue.

Income Tax Reporting: Short-term rental income is subject to state income taxes. Hosts must report their rental income on their annual Pennsylvania income tax return. For rentals less than 30 days, income and expenses are reported on PA Schedule C. Longer rentals use PA Schedules E.

Insurance Considerations: While not a statewide law, many municipalities in Pennsylvania require short-term rental operators to maintain a minimum level of liability insurance, often around $500,000 in coverage. It's advisable for Barrett Township hosts to check local ordinances for any specific insurance mandates.

Local Regulation: Beyond these state-level requirements, Pennsylvania leaves the primary regulation of short-term rentals to local governments. This means that the specific rules hosts must follow depend on where their property is located within the state.

Absence of Statewide Restrictions: It's worth noting that Pennsylvania does not have state-wide specific Airbnb laws or blanket restrictions on short-term rentals. This creates a patchwork of regulations across the state, with each municipality potentially having its own set of rules and requirements.

By understanding and complying with these state-level regulations, Barrett Township hosts can ensure they're operating within the broader Pennsylvania legal framework. However, it's crucial to remember that local regulations in Barrett Township may impose additional requirements or restrictions beyond these statewide rules.

Does Barrett Township Strictly Enforce STR Rules?

Barrett Township appears to have a relatively moderate approach to enforcing short-term rental (STR) regulations compared to some other municipalities in the Poconos region. While the township does have specific rules in place, including a permit requirement and various operational guidelines, the enforcement seems to be less stringent than in some neighboring areas.

Based on discussions in real estate forums like Bigger Pockets and Reddit, Barrett Township is generally considered to be more Airbnb-friendly than some other Pocono communities. One user on Reddit noted, "Barrett Township allows STRs in all zoning districts, which is pretty rare for the area. They're not as strict as some other townships I've dealt with".

However, it's important to note that the township does take its regulations seriously. In 2024, there were concerns raised about the enforcement of STR rules, particularly regarding registration with the Monroe County Treasurer. A local resident investigated the issue and found that only about half of the properties with short-term rental permits were properly registered. This suggests that while the township may not be aggressively cracking down on every violation, there is ongoing scrutiny of STR operations.

Despite the existing rules, it appears that some hosts do operate in Barrett Township without full compliance. A Bigger Pockets user mentioned, "I know a few people running Airbnbs in Barrett without permits. They haven't had issues yet, but it's definitely a risk". This anecdotal evidence suggests that while enforcement may not be overly strict, operating without proper permits is still a gamble.

In conclusion, Barrett Township is relatively Airbnb-friendly compared to other cities in the region, with more permissive zoning and a less aggressive enforcement stance. However, hosts should not interpret this as an invitation to ignore the rules entirely. The township does have regulations in place, and while enforcement may be moderate, operating without proper permits and adherence to local ordinances still carries risks of potential fines or penalties.

How to Start a Short-Term Rental Business in Barrett Township

Starting a short-term rental business in Barrett Township requires careful planning and adherence to local regulations. Here's a comprehensive guide to get you started:

Research and Understand Local Regulations: Before diving in, thoroughly review Barrett Township's short-term rental ordinances. Familiarize yourself with zoning restrictions, permit requirements, and operational guidelines. This knowledge will form the foundation of your business plan and help you avoid potential legal issues down the line.

Choose and Acquire a Suitable Property: Select a property that aligns with Barrett Township's zoning regulations for short-term rentals. Consider factors like location, accessibility, and potential for high occupancy rates. If you're purchasing a new property, ensure it meets all the township's requirements for STRs.

Prepare Required Documentation: Gather all necessary documents for your permit application. This can include:

  • Floor plans of all levels
  • Site plan showing property details
  • Septic system certification
  • Monroe County Hotel Room Excise Tax Certificate
  • Pennsylvania Sales and Use Tax Permit
  • Property deed
  • Insurance policy with at least $500,000 liability coverage
  • Property association approval (if applicable)

Submit Permit Application: Complete the Short-Term Rental Permit Application and submit it along with all required documents to the Barrett Township Zoning Officer. Be prepared to pay the initial $500 permit fee.

Prepare for Property Inspection: Ensure your property meets all safety requirements, including:

  • Smoke detectors in bedrooms and common areas
  • Carbon monoxide detectors (if applicable)
  • GFI outlets near water sources
  • Fire extinguisher in the kitchen
  • Adequate parking spaces

Set Up Your Business Structure: Decide on a business structure (e.g., LLC, sole proprietorship) and register your business with the state. Consider consulting with a business attorney or accountant to choose the best structure for your situation.

Open Business Bank Accounts: Separate your personal and business finances by opening dedicated business bank accounts and credit cards. This will simplify accounting and tax preparation.

Obtain Necessary Insurance: In addition to the required liability insurance, consider additional coverage such as property insurance and business interruption insurance to protect your investment.

Prepare Your Property: Furnish and equip your rental property to meet guest expectations. Consider hiring a professional interior designer or photographer to make your listing stand out.

Develop House Rules and Guest Information: Create clear house rules that align with township regulations, especially regarding noise, parking, and trash disposal. Prepare a comprehensive guest information packet to ensure smooth check-ins and stays.

Set Up Online Listings: Create attractive listings on platforms like Airbnb, VRBO, and local vacation rental sites. Highlight your property's unique features and proximity to local attractions.

Implement a Pricing Strategy: Research local market rates and develop a competitive pricing strategy. Consider using dynamic pricing tools to optimize your rates based on demand.

Arrange Property Management: Decide whether you'll manage the property yourself or hire a local property manager. Remember, Barrett Township requires a local contact person available 24/7.

Set Up Tax Collection and Remittance: Implement systems to collect and remit all required taxes, including the Pennsylvania Hotel Occupancy Tax and local taxes.

Develop a Marketing Plan: Create a marketing strategy to promote your rental. This could include social media marketing, partnering with local attractions, or offering special packages during off-peak seasons.

Monitor and Adjust: Regularly review your business performance, guest feedback, and local regulations. Be prepared to adjust your strategy as needed to ensure long-term success and compliance.

By following these steps and staying informed about local regulations, you'll be well-positioned to start and operate a successful short-term rental business in Barrett Township. Remember, the key to success is not just meeting the minimum requirements, but exceeding them to provide exceptional guest experiences while being a responsible member of the community.

Who to Contact in Barrett Township about Short-Term Rental Regulations and Zoning?

For information about short-term rental regulations and zoning in Barrett Township, Pennsylvania, the following contacts are available:

Zoning Officer: Jeryl Rinehart

  • Phone: 570-595-2602 ext. 2
  • Email: Jeryl@BarrettTownship.com
  • Address: 993 Route 390, Cresco, PA 18326

Jeryl Rinehart is responsible for overseeing development within the community and enforcing all zoning issues, including those related to short-term rentals.

Administrative and Operations Director: Pamela Gardsy

  • Phone: 570-595-2602 ext. 3
  • Email: Pam@BarrettTownship.com

Pamela Gardsy serves as the Right to Know Officer and can provide additional information about township regulations.

Barrett Township Municipal Office

  • Phone: 570-595-2602
  • Fax: 570-595-7550
  • Website: www.BarrettTownship.com

For general inquiries about short-term rental regulations, you can contact the municipal office directly.

Online Resources

Barrett Township Website: www.BarrettTownship.com/forms

This website provides access to permit applications, fee information, and guidelines for short-term rentals.

Community Groups and Forums

While there aren't specific Barrett Township forums for short-term rental hosts, the following online communities may be useful for connecting with other hosts in the Pocono Mountains area:

Reddit r/Poconos: https://www.reddit.com/r/Poconos/

This subreddit often discusses short-term rental topics in the Pocono Mountains region.

BiggerPockets Forums: https://www.biggerpockets.com/forums

While not specific to Barrett Township, these forums often have discussions about short-term rentals in various locations, including the Poconos.

Remember to always verify the most current contact information and regulations directly with the township, as these can change over time. When reaching out to community groups or forums, be sure to follow their rules and guidelines for discussions about short-term rentals.

🤔 Confused? Get your vacation rental license, tax registration and inspections done for you

Get Help

⚡️
Reveal any property's Airbnb and Long-Term rental profitability

Buy this property and list it on Airbnb.