Getting your short-term rental license in Toronto is essential if you are considering renting out a space. First off, you’ll need to register your principal residence with the city, submit ID and proof of address, and pay the application fee. After approval, you’ll receive a registration number that must be included on listings on platforms like Airbnb. The license needs to be renewed each year, so staying organized matters. In this guide, we will run through the important information for those looking to apply for their short-term renal license, and explain critical aspects you will need to be aware of.
What is a short-term rental license in Toronto?
In Toronto, a short-term rental license is simply your way of legally renting out your home for stays under 28 days. The city introduced these rules to better manage platforms like Airbnb and Vrbo, while protecting long-term housing supply. It also ensures hosts meet basic safety and zoning requirements. If you’re balancing short- and long-term rentals, platforms like liv.rent can help keep things clear and compliant.
Definition of a short-term rental in Toronto
In Toronto, a short-term rental refers to renting out all or part of your home for less than 28 consecutive days. This could be a private room, a basement suite, or your entire unit, as long as it’s your principal residence. You can’t legally list a second home or investment property.
Differences between short-term, mid-term, and long-term rentals
In Toronto, short-term rentals are under 28 days, mid-term rentals typically range from one to six months, and long-term rentals exceed six months. Each category comes with different rules, tenant protections, and platform expectations for hosts and renters.
Examples of short-term rentals
Common short-term rentals in Toronto include private rooms in a host’s home, basement suites, and furnished apartments rented for a few nights or weeks by visitors, business travelers, or temporary residents.
Properties that are not considered short-stay rentals
In Toronto, properties that are not your principal residence do not qualify as short-term rentals. This includes second homes, investment properties, and most purpose-built rental buildings, even if they are vacant or only occasionally used by the owner.
Short-term rentals versus tenancies
Short-term rentals in Toronto are not treated as formal tenancies and are generally not covered under the Residential Tenancies Act. Long-term renters have defined legal rights, while short-term stays are governed by local bylaws and basic contractual agreements.
Key requirements for Toronto short-term rental licensing
Who can apply for a Toronto STR License?
In Toronto, only individuals renting out their principal residence can apply for a short-term rental license. Both homeowners and tenants are eligible, provided they live in the unit and can supply valid identification and proof of address.
Principal residence requirement explained
Your principal residence in Toronto is the home where you live most of the year and use for taxes, bills, and identification. You can only have one principal residence, which means you cannot legally operate multiple short-term rental properties.
Short-term rental business license in Toronto
Hosts in Toronto must register with the city and obtain a short-term rental license number. This includes paying a fee, agreeing to bylaws, and renewing annually. The license confirms your rental is legal and compliant with municipal rules.
Strata, landlord, and owner permissions
If you rent or live in a condo in Toronto, you may also need approval from your landlord or condominium board. Some buildings have their own restrictions or bylaws that prohibit or limit short-term rentals, regardless of city rules.
Platform rules: Airbnb, Vrbo & listing compliance
Listings in Toronto must display a valid short-term rental license number to remain active. Platforms are required to remove non-compliant listings, so keeping your registration current and accurate is essential to avoid disruptions or penalties.
Types of short-term rental registrations
1. Short-term rental operator registration
In Toronto, this is the standard registration for individuals renting out their principal residence. It allows you to legally host short stays, provided you meet all city requirements, including proof of residence, safety compliance, and annual renewal.
2. Short-term rental company license
A short-term rental company license in Toronto applies to businesses or property managers who facilitate or manage listings on behalf of hosts. These companies must follow stricter rules, including data sharing, compliance monitoring, and ensuring all listings are properly registered.
Step-by-step: How to get your Toronto STR license
Step 1: Confirm eligibility
Make sure your property in Toronto is your principal residence and that you meet all local short-term rental bylaw requirements before applying.
Step 2: Gather required documents
Prepare valid government ID, proof of address, and any supporting documents that confirm the home is your primary residence.
Step 3: Register online with the City of Toronto
Submit your application through the City of Toronto’s short-term rental registration portal with accurate details about your property and residency.
Step 4: Pay the registration fee (2026)
Pay the required registration fee set by City of Toronto as part of your application to process your license.
Step 5: Wait for approval
Once submitted, the City of Toronto reviews your application and issues your registration number if everything meets compliance.
After you’re approved: Your first 48 hours
Once your license is approved in Toronto, the first couple of days are all about getting fully set up and compliant. Taking a few simple steps early on will help you avoid issues later and keep your short-term rental running smoothly from day one.
- Add your registration number to every listing
- Set up your listing with accurate details, house rules, and safety information
- Understand the Municipal Accommodation Tax (MAT) and how it applies to your bookings
- Track your nights to ensure you stay within any applicable limits
- Keep clear records of bookings, payments, and communications for compliance and reporting
Toronto’s short-term rental regulations
Principal residence rule
In Toronto, you can only operate a short-term rental in your principal residence, meaning the home you live in most of the year and use for official purposes like taxes and identification.
Rental limits
Short-term rentals in Toronto must be for periods of less than 28 consecutive days, and you cannot list multiple properties or units that are not your primary home.
Tax requirements
Hosts in Toronto must collect and remit the Municipal Accommodation Tax (MAT), which applies to all short-term stays and may need to be reported regularly depending on how bookings are managed.
Safety Requirements
Short-term rentals in Toronto must meet basic safety standards, including working smoke and carbon monoxide detectors, fire exits, and compliance with local building and fire codes.
Common reasons applications get rejected
In Toronto, most rejections come down to incomplete or non-compliant applications. Common issues include:
- Missing or incorrect documents
- Insufficient proof of principal residence
- Inconsistent application details
- Listing a second home or ineligible property
- Failing to meet zoning or safety requirements
Penalties for non-compliance
Not following short-term rental rules in Toronto can lead to serious consequences:
- Fines for operating without a license
- Listing removal or suspension
- Escalating penalties for repeat violations
- Potential legal action from the city
- Restrictions on future applications
Tips to get approved faster
A smooth application process in Toronto comes down to preparation:
- Double-check all documents before submitting
- Ensure your home qualifies as your principal residence
- Provide clear, accurate information
- Submit a complete application the first time
- Respond quickly to any city follow-ups
Questions or concerns:
If you have questions about short-term rental rules, registration, or compliance in Toronto, the City’s Short-Term Rental team is available to help during regular business hours.
- Email: ShortTermRentals@toronto.ca
- Phone: 416-395-6600
- Hours: Monday to Friday, 8:30 a.m. to 4:00 p.m.
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Frequently Asked Questions
What is a short-term rental in Toronto?
In Toronto, a short-term rental is any rental of a home or part of it for less than 28 consecutive days.
How long does Toronto STR registration take?
Processing times in Toronto can vary, but most short-term rental registrations are reviewed within a few business days to a couple of weeks.
Can I register an investment property for short-term rental in Toronto?
No, in Toronto, only your principal residence is eligible for short-term rental registration.
What documents do I need for Toronto STR registration?
You’ll need government-issued ID and proof that the property in Toronto is your principal residence, such as utility bills or tax documents.
Do I need to collect the Municipal Accommodation Tax (MAT)?
Yes, hosts in Toronto are required to collect and remit the Municipal Accommodation Tax on applicable short-term stays.



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