Horseshoe Bay short-term rental rules: permits, fees and fines
Bottom line: To rent a home in Horseshoe Bay for less than 30 days at a time, you need an annual city permit, even if you are only advertising it. The city's FAQ lists a $600 fee per address, but another city page lists $1,200, so confirm with the city. Renting without a permit can bring fines of up to $200 a day.
In short
- A permit is required for rentals shorter than 30 consecutive days.
- You need it as soon as you advertise, even with no open dates.
- The permit lasts one year. You can renew up to 60 days early.
- A local contact must be able to respond within one hour.
- Fines run up to $200 a day for a first violation, $400 for a second and $650 for a third.
Who needs a short-term rental permit in Horseshoe Bay?
Anyone who rents a home inside Horseshoe Bay city limits for less than 30 consecutive days needs a city permit. That includes owners who are only advertising, even if the calendar has no open dates. Only the owner or the owner's representative can apply.
Rentals of more than 30 consecutive days do not need this permit. Your HOA may have its own rental rules, so check those too.
What does the permit require?
| Rule | What the city requires |
|---|---|
| Fee | $600 per address in the city FAQ; another city page lists $1,200. Confirm the current amount. |
| Term | One year. Renew up to 60 days early. |
| Safety | Owner certifies a working Type A fire extinguisher and smoke detectors. No in-person inspection is required, but the city may inspect. |
| What can be rented | Only the home itself, not RVs, campers or other structures |
| Bookings | One rental contract at a time |
| Local contact | A Local Responsible Party who can respond within one hour |
| Guest information | Hosts give guests contact details and instructions on city services |
What happens if you rent without a permit?
Operating without a permit can bring daily fines of up to $200 for a first violation, $400 for a second and $650 for a third. Complaints go to the city's Code Enforcement Division. City Hall's number is 830-598-8741.
Questions and answers
- Do I need a permit if my rental calendar is blocked?
- Yes, if you are advertising the home as a short-term rental. The city says the permit is required even with no open dates.
- Does the city inspect short-term rentals?
- In-person inspections are not required. The owner certifies working smoke detectors and a Type A fire extinguisher, and the city may inspect if it has concerns.
- Can I rent out an RV or guest structure on my lot?
- No. Only the residential dwelling can be rented, not RVs, campers or other structures.
- Can I have two rental bookings at the same time?
- No. Only one rental contract may be active at a time.
Questions about a specific Lake LBJ home?
Greg can walk you through what to check before you make an offer.
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Checked October 2026.