On October 26, 2016, the West Lake Hills City Council approved a new Short-Term Rental (STR) ordinance. The new ordinance allows Short-Term Rentals in the City of West Lake Hills for residents who apply for special use permits to use their homestead residence or another residence within the City as a Short-Term Rental. It also regulates advertising, imposes requirements for receiving a permit, sets occupancy limits, and creates a process for denying or revoking a permit. The ordinance also emphasizes the responsibilities of the STR owner and STR guests to follow current city ordinances related to issues such as noise, trash, and parking.
Each applicant for a Short-Term Rental Special Use Permit will need to show the homestead status of the home or that they own a homestead within West Lake Hills, that the septic is up to date, if it has a septic system, and certify that there no open city code or state law violations on the property. Short-Term Rental guests and owners will also have to be careful not to violate any other city ordinances or risk losing the permit. The new permit ordinance also makes it illegal to advertise an STR that does not have a permit.