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Kenya

Vacation Rental Laws in Kenya

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Explore Rental Markets by Compliance

Compare demand, permit requirements, tax burden, and overall complexity across states.

West Pokot
Wajir
Vihiga
Uasin Gishu
Turkana
Trans Nzoia
Tharaka - Nithi
Tana River
Taita Taveta
Siaya
Samburu
Nyeri
Nyandarua
Nyamira
Narok
Nandi
Nakuru
Nairobi Area
Murang'A
Mombasa
Migori
Meru
Marsabit
Mandera
Makueni
Machakos
Lamu
Laikipia
Kwale
Kitui
Kisumu
Kisii
Kirinyaga
Kilifi
Kiambu
Kericho
Kakamega
Kajiado
Isiolo
Homa Bay
Garissa
Embu
Elegeyo-Marakwet
Busia
Bungoma
Bomet
Baringo

 Rental Types

Compare Rental Types and Requirements

See what’s allowed, what permits you need, and how regulations differ across rental durations.

Short-term rental

Allowed with permit

Under 30 nights

Airbnb, VRBO, direct booking

Permit required

-

Type 1 or Type 2 STR Licence

Type 1 = owner-occupied · Type 2 = non-owner-occupied

90-night annual cap for non-primary residences in restricted zones

Licence number must appear on all listing platforms

Max occupancy: 2 guests per bedroom plus 2 additional

Need the full application walkthrough?

Get your STR licence

Mid-term rental

Generally allowed

30–365 nights

Furnished monthly stays

Permit required

-

No STR permit needed

No annual night cap or density restrictions

No Hotel Occupancy Tax — meaningfully lower tax burden

Landlord-tenant rights apply — deposit, habitability, and notice obligations

Mid-term is lower friction. Get the basics right.

Get Property Report

Long-term rental

Fully allowed

12-month lease

Standard residential

Permit required

-

None — standard residential use

Residential Property Code governs · No STR obligations

No permits, night caps, or density restrictions

No Hotel Occupancy Tax obligations

Standard habitability, notice, and deposit rules apply

taxes

What Applies and Who Handles It

Understand which taxes apply, who collects them, and what you’re responsible for, especially when handling direct bookings.

STATE

Hotel Occupancy Tax

6%

Collected by

Airbnb, VRBO

Who files

Platform on your behalf

Applies to

STR under 30 days only

County 

County HOT

2%

Collected by

Platform or operator

Direct bookings

You must register & file

Applies to

STR under 30 days only

CITY

City hOT

6%

Collected by

Platform or operator

Filing frequency

Monthly

Applies to

STR under 30 days only

Combined total

All taxes, all levels

17%

OTA bookings

Platforms handle state portion

Direct bookings

You collect & file all three

Mid / Long-term

No HOT applies

Direct bookings mean three separate filings

Miss one and you're exposed. Lodge Compliance helps you automates all three

Automate Taxes Now

FAQs & Guides

Common Question From Operators

Clear answers to help you understand what’s required, and a straightforward way to get it done.

Let's Get You Compliant

How do I register my property as an STR in Texas?

Do I need a permit for mid-term rentals in Texas?

How do I handle taxes if I take direct bookings?

What happens if I don't comply?

Overview

Short-term rentals, commonly known as holiday homes or furnished apartments in Kenya, have become a significant part of the country's tourism and accommodation landscape. From the bustling streets of Nairobi to the serene beaches of Diani and the breathtaking savannahs of Maasai Mara, these rentals offer visitors a home-away-from-home experience in Kenya's most popular destinations. In 2023, the impact of short-term rentals was felt across the country, contributing significantly to the local economy and generating substantial revenue for the government. The income generated from this sector reflected its growing importance, as more travelers opted for the flexibility and comfort provided by these accommodations. Popular platforms like Airbnb and Booking.com have become the go-to choices for listing and booking these properties, solidifying the role of short-term rentals in Kenya's vibrant tourism industry.

Property
Overview

There is no specific national association dedicated exclusively to short-term rental owners in Kenya. However, hosts can engage with broader industry associations:

  • Kenya Association of Hotelkeepers and Caterers (KAHC):
  • Services:
      - Advocacy for the hospitality industry.  - Training and development programs.
    • Networking opportunities.
  • Kenya Tourism Federation (KTF):
  • Role:
      - Umbrella body representing tourism industry associations.
    • Engages with government on policy matters.

Property

Disclaimer

Lodge compliance is not a licensed tax or financial advisor. Therefore nothing in the above article should be construed as tax, legal, or financial advice. Contact your local tax office for information regarding your personal circumstance.

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