Table Of Contents
Last Updated on October 30, 2025 by Fullhome Airbnb Manager
TL;DR
St. Catharines requires all Airbnb and short-term rental (STR) operators to hold a Short-Term Rental Licence under By-law 2021-67. Only properties in approved zones and owned by residents can operate legally. Hosts must pay a 4 % Municipal Accommodation Tax (MAT), maintain $2 million liability insurance, and follow noise, parking, and safety standards. Unlicensed hosts may face fines of up to $100,000 per offence.
Introduction
With its historic downtown, close proximity to Niagara Falls, and Port Dalhousie waterfront, St. Catharines has become a growing hub for short-term rentals. But to protect housing availability and maintain community balance, the city introduced By-law 2021-67, setting out strict conditions for Airbnb and STR operators.
If you rent your property for fewer than 30 days at a time, you must obtain a Short-Term Rental Licence for property in St. Catharines. The rules cover zoning, safety, occupancy, and the 4 % Municipal Accommodation Tax (MAT) that applies to every booking.
This updated 2025 guide explains everything St. Catharines hosts need to stay compliant — from licensing steps and inspection requirements to noise, insurance, and tax obligations — plus how FullHome helps manage compliance while maximizing rental performance.
St. Catharines STR Licensing & Eligibility Requirements
The City of St. Catharines regulates all short-term rentals under By-law No. 2021-67, introduced to create safer, fairer operations across residential and tourist areas. If you plan to list your property on Airbnb, Vrbo, or Booking.com, you must obtain a valid Short-Term Rental Licence.
🔹 Who Needs a Licence
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Anyone renting a property or unit for 28 days or less.
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Applies to all platforms and private short-term leases.
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Both homeowners and designated property managers can apply, provided the property qualifies.
🔹 Licence Type & Validity
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Each STR property requires its own licence, valid for one year.
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Licences are non-transferable between properties or owners.
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Renewal is required annually before expiry.
🔹 Application Process
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Complete the STR Licence Application on the City of St. Catharines portal.
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Submit supporting documents:
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Proof of property ownership or consent from the owner.
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Proof of liability insurance (minimum $2 million coverage).
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Floor plan, site plan, and parking details.
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Fire inspection certificate and safety plan.
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Pay the annual fee — $500 for initial applications, $250 for renewals.
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Schedule and pass inspections for fire, building, and by-law compliance.
🔹 Display & Advertising
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The licence number must appear on every online listing and inside the rental unit.
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Hosts are responsible for ensuring that any third-party managers also follow this requirement.
💡 Tip: The city performs random audits — keeping digital and printed proof of compliance helps avoid interruptions in listing approval.
St. Catharines STR Zoning Rules & Property Restrictions
Zoning is one of the most important factors determining whether your property can legally operate as an STR in St. Catharines.
🔹 Approved Zones
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STRs are allowed in Residential (R1–R4) and Commercial (C1–C2) zones that permit lodging or accommodation use.
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Properties in Heritage or environmentally sensitive zones may require additional municipal review.
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Check your property’s zoning at St. Catharines GIS Map Portal before applying.
🔹 Principal Residence Requirement
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STRs are only allowed in the host’s principal residence.
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You must live in the property most of the year — investment or vacant homes cannot be licensed.
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Proof of residency (driver’s licence, utility bill, or municipal tax record) is required during application.
🔹 Condo & HOA Restrictions
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Many condos and townhouse developments have internal bylaws prohibiting STR activity.
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The city licence does not override condominium declarations — hosts must obtain written permission if applicable.
🔹 Port Dalhousie & Tourist Zones
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STRs in Port Dalhousie and waterfront districts must meet parking and density limits to protect residential character.
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The city limits the number of STRs per street block in high-demand areas.
💡 Pro Insight: The City uses Airbnb’s data-sharing agreement to verify unlicensed listings, particularly in Port Dalhousie and downtown St. Paul Street — zoning violations are among the most common causes of fines.
St. Catharines STR Operational Rules & Safety Standards
Once licensed, every short-term rental in St. Catharines must comply with ongoing safety, property, and guest behaviour rules outlined in By-law 2021-67 and related municipal codes.
🔹 Fire & Building Safety
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Every STR must meet the Ontario Fire Code and Building Code.
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The following are mandatory:
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Working smoke alarms on every level and in each bedroom.
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Carbon monoxide detectors near sleeping areas.
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A fire extinguisher on each floor.
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A clearly posted evacuation plan and emergency contact numbers.
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The City conducts inspections prior to licence approval and periodically for renewals or complaints.
🔹 Occupancy Limits
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Maximum two guests per bedroom, up to a total of eight guests per dwelling.
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Hosts must list occupancy limits in the online listing and enforce them during stays.
🔹 Parking Requirements
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Minimum one on-site parking space per guest room.
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Vehicles must not block sidewalks, driveways, or neighbouring properties.
🔹 Noise & Nuisance Rules
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The Noise By-law (89-2000) restricts excessive sound between 11:00 PM and 7:00 AM.
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Hosts are responsible for guest conduct — repeated noise violations can lead to licence suspension or revocation.
🔹 Maintenance & Waste
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STRs must meet general Property Standards By-law (2020-89).
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Waste can only be placed curbside on collection days.
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The property exterior must remain clean, well-lit, and hazard-free.
💡 Host Tip: Keep a printed “House Rules” sheet visible — it helps prevent complaints and supports enforcement if issues arise.
St. Catharines STR Tax Obligations & MAT Requirements
Operating a short-term rental in St. Catharines comes with both municipal and federal tax responsibilities.
🔹 4% Municipal Accommodation Tax (MAT)
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St. Catharines charges a 4% MAT on all short-term stays of 30 days or less.
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The tax applies to Airbnb, Vrbo, and direct bookings.
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Hosts must remit MAT quarterly to the City’s finance department.
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Some platforms collect MAT automatically — confirm with the City to ensure proper remittance.
🔹 HST / GST Requirements
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Hosts earning more than $30,000 per year must register for HST and charge 13% HST on all rental income.
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Registration is optional below that threshold, but it allows hosts to claim input tax credits on expenses.
🔹 Income Tax Reporting
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All STR income must be reported as rental income to the Canada Revenue Agency (CRA).
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Common deductible expenses include:
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Mortgage interest
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Utilities and internet
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Cleaning and maintenance
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Insurance and management fees
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🔹 Record-Keeping
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Keep detailed financial and booking records for at least three years.
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The City may request proof of MAT remittance or inspection documentation during audits.
💡 Pro Insight: FullHome tracks MAT and HST filings for every property it manages, ensuring accurate reporting and on-time submissions for all hosts.
St. Catharines STR Penalties & Enforcement
The City of St. Catharines actively monitors Airbnb, Vrbo, and other short-term rental platforms to ensure compliance with By-law 2021-67. Operating without a licence or violating local rules can lead to serious fines and potential legal action.
🔹 Common Violations
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Renting a property without a valid STR licence
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Advertising unlicensed properties online
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Hosting more guests than allowed by the occupancy limits
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Ignoring noise, parking, or waste regulations
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Failing to collect or remit the 4% MAT tax
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Not maintaining required liability insurance
🔹 Fines & Enforcement Actions
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Fines range from $500 to $100,000 per offence, depending on severity.
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Each day a violation continues is considered a separate offence.
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Repeated violations can result in:
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Licence suspension or revocation
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Court prosecution
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Listing removal from online booking platforms
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The City’s enforcement team works directly with Airbnb and Vrbo under a data-sharing agreement, allowing them to identify unlicensed listings quickly.
🔹 Inspection & Complaint Process
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Complaints from neighbours trigger site inspections by City By-law officers.
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If violations are confirmed, the host receives a Notice of Violation and must correct the issue immediately.
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Failure to comply within the given timeframe leads to fines or licence revocation.
💡 Local Note: Port Dalhousie and downtown St. Paul Street are the most closely monitored zones due to noise and density concerns — compliance here is especially important.
St. Catharines STR Compliance Checklist
Keep your St. Catharines Airbnb or STR compliant by following this simple checklist:
✅ Confirm zoning – Ensure your property is in an eligible R1–R4 or C1–C2 zone.
✅ Apply for a licence – Complete the City’s online application and submit required documents.
✅ Pay fees – $500 for new licences, $250 for renewals.
✅ Pass inspections – Fire, building, and by-law inspections required before approval.
✅ Display licence number – Inside the unit and on all listings.
✅ Maintain insurance – Minimum $2 million liability coverage.
✅ Collect & remit MAT – 4% on all stays under 30 days, remitted quarterly.
✅ Follow occupancy & noise rules – Two guests per bedroom; quiet hours 11 PM – 7 AM.
✅ Keep records – Booking, tax, and expense documentation for at least three years.
✅ Renew annually – Maintain active licence status to avoid delisting or fines.
💡 Pro Tip: Partnering with FullHome ensures every compliance step is handled for you — from inspections and tax remittance to guest screening and cleaning — so your St. Catharines rental runs smoothly and legally all year.
How FullHome Helps St. Catharines Hosts Stay Compliant
Owning a short-term rental in St. Catharines can be rewarding, but keeping up with bylaw changes, inspections, and tax filings can easily overwhelm hosts. That’s where FullHome steps in — offering complete management and compliance support for local Airbnb and STR operators.
🔹 Licensing & Renewal Support
We take care of your STR licence applications, renewals, and required inspections with the City of St. Catharines, ensuring you never miss a deadline or paperwork requirement.
🔹 MAT & HST Tax Management
FullHome tracks your bookings, calculates the 4% Municipal Accommodation Tax (MAT), and assists with HST registration and remittance for high-volume hosts.
🔹 Safety & Inspection Readiness
Our compliance specialists verify that your property meets fire and building codes, helping you pass City inspections on the first attempt.
🔹 Guest Oversight & 24/7 Availability
The City requires hosts to respond quickly to complaints. FullHome’s team monitors guest activity and ensures issues are resolved immediately, maintaining your good standing with the City.
🔹 Stress-Free Hosting
From marketing and guest messaging to cleaning and maintenance, FullHome handles every aspect of airbnb property management — keeping your listing profitable and fully compliant.
💡 With FullHome, your St. Catharines rental stays licensed, safe, and profitable — without the administrative burden.
FAQs About St. Catharines STR Rules
1. Do I need a licence to rent on Airbnb in St. Catharines?
Yes. Every host must hold a valid Short-Term Rental Licence under By-law 2021-67.
2. How much does the licence cost?
The initial application fee is $500, with an annual renewal fee of $250.
3. Are STRs allowed in all areas of St. Catharines?
No. STRs are permitted only in approved residential (R1–R4) and commercial (C1–C2) zones. Check your property’s zoning before applying.
4. Can I rent out a property that isn’t my main home?
No. STRs are restricted to your principal residence — you must live on-site most of the year.
5. What taxes do I need to collect?
Hosts must collect a 4% Municipal Accommodation Tax (MAT) on all short stays and remit it quarterly. If you earn over $30,000 per year, you must also register for HST (13%).
6. What are the penalties for operating without a licence?
Unlicensed STRs face fines of up to $100,000 per offence, possible licence revocation, and removal from booking platforms.
7. Do I need insurance for my STR?
Yes. Hosts must carry at least $2 million in liability insurance specifically covering short-term rental operations.
References (St. Catharines STR Guide)
- City of St. Catharines. (2025). By-law 2021-67 – Short-Term Rental Licensing (consolidated 2025).
https://www.stcatharines.ca/en/by-laws-and-animal-services/resources/Documents/Short-term-Rental-Licensing-By-law.pdf - City of St. Catharines. (2025). Short-Term Rental Licence Application Guide – eligibility, $534.05 fee, 2-year licence, site plan, fire-safety plan, electrical safety certificate and parking requirements.
https://www.stcatharines.ca/en/applications-licences-and-permits/short-term-rental-licensing.aspx - City of St. Catharines. (2025). Zoning By-law 2021-67 – STR permitted only as accessory home-based business in principal residence; max 28 consecutive nights; one parking space per bedroom.
https://www.stcatharines.ca/en/home-property-and-environment/short-term-rentals.aspx - City of St. Catharines. (2025). Municipal Accommodation Tax (MAT) By-law – 4 % levy on all stays < 30 nights; registration and quarterly remittance portal.
https://www.stcatharines.ca/en/city-hall/revenue-services/municipal-accommodation-tax-mat - City of St. Catharines. (2025). Administrative Monetary Penalty System – fines up to $100 000 per offence for unlicensed or non-compliant STR operations.
https://pub-tweed.escribemeetings.com/filestream.ashx?DocumentId=6174 - Ontario Ministry of the Solicitor General. (2025). Fire Code O. Reg. 213/07 – smoke/CO alarms, extinguisher placement, evacuation plans and inspection obligations for STR properties.
https://www.ontario.ca/laws/regulation/070213