Londonderry Airbnb Rules & Investment Guide (2026)

Londonderry short-term rental feasibility depends on parcel zoning, lodging classification, flood-hazard constraints, Vermont lodging taxes, and state health and fire-safety requirements.

Londonderry short-term rental rules and property review

Londonderry Rental Review

Parcel firstZoning and overlay review
Use classRoom count and lodging form
12%State rooms tax plus surcharge
State reviewHealth and fire safety
Town licensing

Obtain the annual Londonderry STR license

Londonderry requires an annual short-term-rental license before a qualifying dwelling is used or advertised for stays shorter than 30 consecutive days.

  • Apply through the Town STR Administrator before listing.
  • Distinguish hosted from unhosted operation because fees and duties differ.
  • Put the license number and approved dwelling-unit capacity in every advertisement.
Hosted or unhosted

Classify the operation before budgeting

The ordinance defines hosted rentals by the presence of the owner or an authorized person during every rental period. Unhosted rentals carry additional local-agent and fee requirements.

  • Document who will be present during each stay.
  • For an unhosted rental, designate an agent within 45 minutes driving distance.
  • Budget from the current fee schedule: $150 for hosted rentals and $250 per bedroom for unhosted rentals.
Capacity and safety

Verify lawful dwelling-unit capacity

The Town license records dwelling-unit capacity. The application and ordinance connect capacity to bedrooms, wastewater limits, parking, and fire and life-safety review.

  • Do not advertise occupancy above the licensed capacity.
  • Confirm septic or wastewater capacity for the proposed guest count.
  • Complete required state and Town safety forms and keep them current.
Local operations

Plan parking, contacts, and guest controls

A compliant operating plan should align parking, emergency access, responsible-party availability, refuse handling, noise control, and neighbor impacts with the license and property conditions.

  • Provide the required local contact and emergency information.
  • Give guests written parking, refuse, noise, and occupancy rules.
  • Maintain records and respond promptly to complaints or Town requests.
State lodging taxes

Register and reconcile Vermont lodging taxes

Vermont generally applies a 9% Rooms Tax and 3% Short-Term Rental Surcharge when furnished lodging is rented for fewer than 30 consecutive days and rentals exceed 14 days in a calendar year.

  • Use a Vermont Business Tax Account and Meals and Rooms Tax license when responsible for collection.
  • Separate marketplace-collected reservations from direct bookings.
  • Display the applicable tax account number in advertisements and retain booking records.
Local option tax

Confirm the current municipal tax stack

Vermont municipalities may impose a 1% local option rooms tax. Operators should check the Department of Taxes current municipality list rather than assume the tax applies or does not apply.

  • Confirm the property municipality, not only the mailing address.
  • Recheck the current local-option list before launch.
  • Configure booking channels only after confirming every applicable lodging tax.
Health licensing

Check the Vermont lodging-license threshold

The Vermont Department of Health generally requires a lodging license for three or more guest rooms or units, or for a smaller operation that serves prepared food. Smaller no-food rentals still have other state duties.

  • Describe the exact number of guest rooms and units to the Health Department.
  • Confirm any exemption in writing before opening.
  • Review drinking water, wastewater, sanitation, and food-service requirements.
Fire and life safety

Complete Vermont transient-lodging review

The Division of Fire Safety requires short-term rentals to meet rental-housing health and safety rules. Rentals for more than eight people may require change-of-use review and approval.

  • Use the state checklist for smoke alarms, carbon monoxide alarms, exits, and emergency information.
  • Confirm inspection needs for the exact sleeping capacity and building.
  • Reassess approvals after renovations or occupancy changes.
Property diligence

Underwrite parcel and private constraints

A Town license does not resolve title restrictions, association rules, mortgages, insurance exclusions, septic limits, flood exposure, or physical access.

  • Review deeds, easements, association documents, and lender terms.
  • Obtain written insurance confirmation for transient lodging.
  • Verify parcel records, flood mapping, wastewater capacity, winter access, parking, and emergency access.

Official contacts: Londonderry STR Administrator, 802-824-3356 ext. 9, stradmin@londonderryvt.gov; Londonderry Zoning Administrator, 802-824-3356, zoningadmin@londonderryvt.gov; Vermont Taxpayer Services, 802-828-2551.

Contacts and sources

Build the file from official records

Use Londonderry and Vermont agencies for current, property-specific answers because ordinances, forms, fees, tax lists, and safety procedures can change.

  • Save the license, written determinations, inspection records, and dated source copies.
  • Recheck official sources immediately before acquisition and launch.
  • Use qualified legal, tax, insurance, wastewater, and land-use advisers for the property.

Plan a Londonderry Property Strategy Call

Londonderry compliance questions

Londonderry Short-Term Rental FAQs

How do I start a short-term rental in Londonderry, Vermont?

Start with the Town STR ordinance and administrator, classify the operation as hosted or unhosted, verify capacity and state obligations, then complete the annual license before advertising.

  • Submit the Town application and current fee.
  • Confirm dwelling-unit capacity, wastewater, parking, and safety conditions.
  • Complete Vermont tax, health, and fire-safety steps that apply.
Does Londonderry require an STR license?

Yes. Londonderry requires an annual short-term-rental license for a qualifying dwelling before it is used or advertised for short stays.

  • Use the current Town application.
  • Renew on the Town schedule.
  • Place the license number and capacity in advertisements.
What is the difference between hosted and unhosted rentals?

A hosted rental has the owner or authorized person present and residing on the property during every rental period; an unhosted rental does not.

  • Document the actual operating model.
  • Unhosted rentals need an agent within 45 minutes driving distance.
  • Apply the correct current fee and operating duties.
What are Londonderry’s current STR fees?

The Town administrator page lists $150 for a hosted rental and $250 per bedroom for an unhosted rental; verify the current schedule when applying.

  • Use the official payment link or Town instructions.
  • Do not estimate fees from an old application.
  • Recheck fees at every renewal.
What Vermont lodging taxes apply?

Vermont generally applies a 9% Rooms Tax and 3% Short-Term Rental Surcharge to qualifying short stays, with possible marketplace collection and local-option tax considerations.

  • Register when responsible for collection.
  • Separate platform and direct bookings.
  • Check the current local-option municipality list.
Do I need a Vermont lodging license?

The Health Department generally licenses operations with three or more guest rooms or units, or smaller operations serving prepared food. Confirm the exact operation with the Department.

  • Document room and unit counts.
  • Confirm any exemption in writing.
  • Review water, wastewater, sanitation, and food rules.
What fire-safety rules apply?

Vermont short-term rentals must meet rental-housing health and safety duties; larger capacities may require change-of-use review and Division of Fire Safety approval.

  • Install and maintain required alarms.
  • Verify exits, emergency information, and occupancy.
  • Ask the Division about inspection for more than eight guests or building changes.
How should I verify property eligibility?

Combine the Town license review with parcel, title, wastewater, flood, insurance, lender, and private-restriction diligence.

  • Confirm the property municipality and parcel records.
  • Review deeds, easements, and association rules.
  • Obtain written insurance and wastewater confirmation.
What records should an operator retain?

Keep the Town license, application materials, capacity documentation, tax records, safety forms, inspection records, bookings, and guest communications.

  • Separate direct and marketplace tax records.
  • Retain dated copies of official guidance used.
  • Update the file after renewals or physical changes.
How should I underwrite a Londonderry STR?

Use property-specific revenue and expense evidence only after confirming licensing, capacity, taxes, safety, insurance, wastewater, access, and private restrictions.

  • Stress-test lower revenue and higher operating costs.
  • Budget recurring licenses, taxes, maintenance, snow, and compliance.
  • Treat public approval and private permission as separate conditions.