Use the Permit & License Portal, accessible through the button on the right to find all requirements and information related to Short-Term Rentals and the license process.
If you experience any issues or have questions about the system, please call Town Hall at 480-488-3686.
Per Carefree Ordinance Number 2022-03, short-term/vacation rental owners must obtain and maintain an annual Town license for each Carefree property. This Town of Carefree license is in addition to the county and state requirements outlined in the sections below.
Also included under A.R.S. §9-500.39 are regulations for residential rentals or “Long-Term Rentals”. Long-term rentals are required to register with the Town of Carefree. These properties are defined as the rental of real property for a period of 30 or more consecutive days for residential purposes only and not commercial.
The Arizona Department of Revenue (ADOR) announced the elimination of transaction privilege tax (TPT) applicable to the rental of real estate for residential purposes (residential rental) as of January 1, 2025. A.R.S. § 42-6004 (H) was amended to exempt residential rental TPT from being levied.
Whether the property is rented short-term or long-term, the entire property must be rented as a whole. Accessory buildings may not be leased, subleased, or rented separate and apart from the main building and no main building may be leased, subleased, or rented separate and apart from an accessory building.
(14) BUILDING ACCESSORY: A detached structure which is subordinate to and incidental to the main use of the principal structure on the same lot. Accessory structures must be located in the building envelope and shall comply with the applicable sections of this Ordinance.
(49) GUEST HOUSE: Living quarters in an accessory building or attached to the principal residence, which may include cooking facilities, used to house guests or domestic attendants of the occupants of the principal building, and which shall never be rented or offered for rent or lease separate from the principal residence.
Section 9.02 Accessory Buildings and Uses
Accessory buildings shall not be constructed upon a lot until after the construction of the principal building has begun.
Accessory buildings in Single-Family Residential zoning districts shall not be rented or leased for any purpose.
