This guide covers short-term rental rules for the City of Killeen, Texas. If you are researching nearby markets, see:
- Harker Heights: Separate city with its own STR registration and enforcement; often confused due to proximity and similar rental market.
- Temple: Distinct city northeast of Killeen with different STR rules and enforcement priorities.
- Copperas Cove: Adjacent city west of Killeen, frequently grouped in regional STR discussions but governed by its own ordinances.
Legality Verdict
Short-term rentals are legal in Killeen with annual registration, inspection, and a 15% lodging tax stack. No license cap or explicit zone bans are codified, but compliance is mandatory and enforcement is ordinance-driven.
- Legality Status: 4/5
- License Availability: 4/5
- Compliance Cost (% revenue): 2/5
- Regulatory Stability: 3/5
- Enforcement Climate: 4/5
TL;DR
Killeen defines STRs as residential rentals under 30 days and requires annual city registration, inspection, and $500,000 liability insurance. The total lodging tax is 15% (7% city, 2% county, 6% state). No explicit cap or density limit is codified. The biggest gotcha: hosts must manually remit city and county taxes—Airbnb/VRBO only handle the state portion.
Quick Facts
| Item | Detail |
|---|---|
| STR Definition | Any residential property rented for less than 30 days City of Killeen FAQ – Short Term Rental |
| Registration Required | Yes, annual city registration City of Killeen, TX – Short Term Rentals |
| Permit Cost | $200 (first year, includes inspection) City of Killeen, TX – STR FAQ |
| Annual Renewal | $100 City of Killeen, TX – STR FAQ |
| Inspection Required | Yes, before issuance and renewal City of Killeen, TX – STR FAQ |
| Liability Insurance | $500,000 minimum, personal injury included City of Killeen, TX – STR FAQ |
| Local Hotel Occupancy Tax | 7% City of Killeen Finance Department |
| County Hotel Occupancy Tax | 2% Bell County Hotel Occupancy Tax |
| State Hotel Occupancy Tax | 6% City of Killeen Finance Department |
| Total Effective Lodging Tax | 15% (7% city + 2% county + 6% state) City of Killeen Finance Department |
| Tax Filing Frequency | Monthly, even if zero return City of Killeen FAQ |
| Platform Tax Collection | Airbnb/VRBO collect only state (6%); hosts must remit city/county Airbnb Help Center |
| License Cap | Not codified — no citywide cap identified in sources reviewed City of Killeen, TX – Short Term Rentals |
| Transferability | Not codified — no rule on permit transferability in sources reviewed City of Killeen, TX – Short Term Rentals |
| Occupancy Cap | Not codified — no city rule identified City of Killeen Code of Ordinances (index) |
| Parking Requirement | Not codified — no city rule identified City of Killeen Code of Ordinances (index) |
| Owner-Occupancy Requirement | Not codified — no city rule identified City of Killeen Code of Ordinances (index) |
| HOA/Condo Override | Not codified — no city rule identified City of Killeen Code of Ordinances (index) |
| Density Limit | Not codified — no city rule identified City of Killeen Code of Ordinances (index) |
| Primary Regulator | City of Killeen, Development Services (101 N College St, 254-501-7600) City of Killeen, TX – Short Term Rentals |
| Enforcement Penalties | Not codified — no specific fine amount in city code [Code of Ordinances |
| Last Updated | July 15, 2026 |
Regulatory Impact Snapshot
Killeen’s STR regime requires annual registration, inspection, and $500,000 liability insurance, with a 15% lodging tax stack. Permit and renewal fees add to the compliance burden. Airbnb/VRBO only collect the state tax, so hosts must manually remit city and county taxes monthly. Underwriters should model compliance costs at 16.3% of gross revenue, with median Killeen STRs earning $15,727 at an average daily rate of $125 and 63% occupancy. The binding constraint is the manual tax remittance and annual inspection. Run this market in our Airbnb Calculator →
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Frequently Asked Questions
Basics
What is considered a short-term rental (STR) in Killeen?
A short-term rental is any residential property rented wholly or partly for a fee for a period not longer than 29 consecutive days City of Killeen FAQ – Short Term Rental.
Are STRs legal in Killeen, Texas?
Yes, STRs are legal with annual registration, inspection, and compliance with city rules City of Killeen, TX – Short Term Rentals.
Does Killeen have a cap on the number of STR permits?
No separate citywide cap is codified as of July 2026 City of Killeen, TX – Short Term Rentals.
Licensing
Is a permit required to operate an STR in Killeen?
Yes, a valid, active city permit is required before advertising or operating an STR City of Killeen, TX – STR FAQ.
How much does the STR permit cost?
$200 for the first year (includes inspection), $100 for annual renewal City of Killeen, TX – STR FAQ.
Is an inspection required?
Yes, all STRs must pass inspection before permit issuance or renewal City of Killeen, TX – STR FAQ.
Is liability insurance required?
Yes, at least $500,000 in liability insurance, including personal injury, is required City of Killeen, TX – STR FAQ.
Are permits transferable to new owners?
Not codified—no rule on permit transferability in available sources City of Killeen, TX – Short Term Rentals.
Taxes
What is the total lodging tax rate for STRs in Killeen?
15% total: 7% city, 2% county, 6% state City of Killeen Finance Department.
Who collects and remits STR taxes?
Airbnb/VRBO collect only the 6% state tax; hosts must manually remit city and county taxes Airbnb Help Center.
How often must taxes be filed?
Monthly, even if no rental income is earned City of Killeen FAQ.
Do I need a Texas Sales and Use Tax Permit?
Yes, before collecting/remitting state hotel occupancy tax Texas Hotel Occupancy Tax for STRs: State Requirements (Surge).
Operations
Are there occupancy or parking limits for STRs?
Not codified—no city rule on occupancy or parking for STRs City of Killeen Code of Ordinances (index).
Is owner-occupancy required?
No, there is no owner-occupancy requirement codified City of Killeen Code of Ordinances (index).
Are there density or zone restrictions?
No density limit is codified; zoning compliance is required Short Term Rentals | City of Killeen, TX.
Do HOAs or condos override city STR rules?
Not codified—no city rule on HOA/condo override City of Killeen Code of Ordinances (index).
Enforcement
What are the penalties for operating without a permit?
Not codified—no specific fine amount in city code; enforcement action may include citations Code of Ordinances | Killeen, TX – Municode Library.
How is STR compliance enforced?
Enforcement is ordinance-driven by city staff; no recent crackdowns or published fine schedules City of Killeen, TX | Official Website.
Has Killeen amended STR rules recently?
Yes, zoning and notification requirements were updated in August 2025 to align with new Texas laws City of Killeen – File #: PH-25-050.
Permit Process
All STR operators in Killeen must register annually with the city and obtain a permit before advertising or renting. The initial permit costs $200 and includes an inspection; annual renewals are $100. Each unit or room requires a separate permit, and proof of $500,000 liability insurance is mandatory City of Killeen, TX – STR FAQ.
Permits are managed online through the city’s vendor, Neumo. Inspections are required before issuance or renewal to ensure compliance with health and safety standards. Failure to obtain a permit may result in enforcement action City of Killeen, TX – Short Term Rentals.
Zoning
Killeen requires STRs to comply with all city zoning and safety rules as part of the permitting process. No explicit density, occupancy, parking, or owner-occupancy requirements are codified for STRs. All buildings must meet city building codes and ordinances Short Term Rentals | City of Killeen, TX.
Recent amendments to zoning procedures in August 2025 updated signage and notification requirements for zoning changes, aligning with new Texas state laws City of Killeen – File #: PH-25-050.
Taxes and Remittance
STRs in Killeen are subject to a 15% lodging tax stack: 7% city, 2% county, and 6% state. Airbnb and VRBO collect only the state portion; hosts must manually remit city and county taxes monthly, even for zero returns City of Killeen FAQ.
A Texas Sales and Use Tax Permit is required before collecting or remitting state hotel occupancy tax. The city uses Avenu for local tax collection, while the Texas Comptroller and Bell County collect their respective shares City of Killeen FAQ.
Enforcement and Recent Actions
Killeen enforces STR compliance through city staff and ordinance-driven processes. As of July 2026, no specific fine amounts or recent named enforcement actions have been published. Penalties for operating without a permit are not codified in city code, but enforcement may include citations Code of Ordinances | Killeen, TX – Municode Library.
Recent Changes and Pending Legislation
On August 19, 2025, Killeen amended its zoning code to update signage, notification, and protest requirements for zoning changes, aligning with new Texas laws (S.B. 840, S.B. 15, H.B. 24). These changes affect public hearing notifications and zoning amendment procedures City of Killeen – File #: PH-25-050.
No pending city-level STR bans or moratoriums are documented as of July 2026.
Comparable Markets
- Harker Heights, TX — Consider if you want a nearby market with its own STR registration and enforcement.
- Temple, TX — Consider for a distinct regulatory environment northeast of Killeen.
- Copperas Cove, TX — Consider if you seek a market west of Killeen with separate ordinances.
Sources
- City of Killeen, TX – Short Term Rentals: https://www.killeentexas.gov/654/Short-Term-Rentals
- City of Killeen, TX – STR FAQ: https://www.killeentexas.gov/m/faq?cat=24#question-206
- City of Killeen Finance Department: https://www.killeentexas.gov/318/Finance
- Bell County Hotel Occupancy Tax: https://www.bellcountytx.com/county_government/commissioners_court/hotel_occupancy_tax.php
- City of Killeen FAQ: https://www.killeentexas.gov/FAQ.aspx?QID=159
- City of Killeen FAQ – Short Term Rental: https://www.killeentexas.gov/faq.aspx?TID=24
- Code Enforcement | City of Killeen, TX: https://www.killeentexas.gov/209/Code-Enforcement
- Code of Ordinances | Killeen, TX – Municode Library: https://library.municode.com/TX/Killeen/codes/Code_of_Ordinances?nodeId=11082
- City of Killeen – File #: PH-25-050: https://killeen.legistar.com/LegislationDetail.aspx?GUID=7ACE1C3D-832C-4DEE-8322-3B78102AFEE2&ID=7511539&Options=&Search=
- Airbnb Help Center: https://www.airbnb.com/help/article/2331
- LegalClarity – Texas Supreme Court Ruling on Short-Term Rentals: https://legalclarity.org/texas-supreme-court-ruling-on-short-term-rentals/
- Texas Hotel Occupancy Tax for STRs: State Requirements (Surge): https://www.gowithsurge.com/blog/texas-hotel-occupancy-tax-strs
- Texas Airbnb Laws & Short-Term Rental Regulations (2026) | RedAwning: https://www.redawning.com/pm/post/texas-short-term-rental-laws
This page is research, not legal advice. Consult local counsel before acquiring or operating a short-term rental in City of Killeen, Bell County, Texas.
Ready to evaluate Killeen as an STR market?
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