Overview: Short-Term Rental Status in Hillsdale, NY

YES, short-term rentals are explicitly allowed in Hillsdale, NY. The Town has adopted comprehensive regulations for "Transient Rentals" (defined as rentals fewer than 30 days), specifically including online platform bookings such as Airbnb and HomeAway. Hillsdale's framework provides a clear pathway for STR operations through a permit and inspection system designed to ensure safety and neighborhood compatibility.

How to Start a Short-Term Rental Business in Hillsdale

Step-by-Step Process:

1. Initial Assessment

   • Verify your property meets zoning requirements for transient rentals
   • Confirm you can meet the local contact requirement (within 20 miles)

2. Columbia County Registration (First)

   • Register with Columbia County for occupancy tax purposes (obtain registration number)
   • This registration is required before applying for local permits

3. Zoning Board of Appeals (ZBA) Application

   • Apply for $50 Special Permit from the Zoning Board of Appeals
   • Submit required documentation and fees

4. Building Department Application

   • Apply for $150 Certificate of Occupancy or Certificate of Compliance
   • This must be obtained after ZBA approval

5. Inspection Process

   • Schedule and complete Building Inspector inspection for NYS Uniform Code compliance
   • Pay all inspection fees (owner responsible)

6. Operational Setup

   • Designate local contact person within 20 miles (if owner not within area)
   • Prepare guest information and emergency procedures
   • Set up systems for tax collection and remittance

Required Documents, Permits, Licenses, and Guidelines

Town-Level Requirements:

1. Special Permit ($50)

   • Issued by Zoning Board of Appeals (ZBA)
   • Application through Town Clerk or Building Department
   • Required before Certificate of Occupancy application

2. Certificate of Occupancy/Compliance ($150)

   • Issued by Town Building Inspector
   • Requires successful inspection for NYS Uniform Code compliance
   • Must be obtained before operating

3. Local Contact Designation

   • Name and contact information of local person within 20 miles
   • Must be available 24/7 for complaint response
   • Required regardless of owner residence if not in Columbia County

County-Level Requirements:

1. Columbia County Registration

   • Online registration required every two years
   • 4% occupancy tax applies
   • Registration number needed for local permits

2. Occupancy Tax Compliance

   • 4% lodging tax on short-term rentals (effective January 1, 2025)
   • Quarterly payments through online portal
   • VRBO handles collection/remittance for their platform only

State-Level Requirements:

1. NYS Sales Tax

   • 8% state sales tax on STRs (effective March 1, 2025)
   • Collected and remitted separately to NYS
   • Applies in addition to county occupancy tax

2. NYS Uniform Code Compliance

   • All STR properties must meet state fire and building codes
   • Inspection required as part of Certificate of Occupancy process

Specific Regulations for Short-Term Rentals

Hillsdale Town Regulations:

• Definition: Transient rentals include any dwelling rental for fewer than 30 days, excluding hotels, motels, inns, and bed & breakfasts
• Platform Coverage: Explicitly includes listings on online platforms (Airbnb, HomeAway, VRBO)
• Permit Non-Transferability: Special permits are non-transferable; new owners must reapply
• Local Contact Requirement: Must designate local contact within 20 miles available 24/7
• Legal Process Agent: If owner not in Columbia County, local contact serves as agent for legal notices
• Good Neighbor Provisions: Law includes provisions to ensure occupants remain good neighbors
• Inspection Requirements: NYS Uniform Code compliance inspection required at certificate issuance and per county/state requirements

Columbia County Regulations:

• Occupancy Tax: 4% lodging tax effective January 1, 2025
• Registration: Required every two years, separate from local permits
• City of Hudson Exception: Properties within City of Hudson exempt from county tax (have own occupancy tax)
• Platform Collection: Only VRBO collects/remits county tax; other platforms require owner remittance
• Payment Schedule: Quarterly payments with specific due dates
• Late Fees: Applied after payment deadlines

New York State Regulations:

• Sales Tax: 8% state sales tax on STRs effective March 1, 2025
• Registry Requirements: State registry law (effective 2025) for all STR hosts
• Platform Verification: Airbnb/VRBO must verify host registry numbers before allowing listings
• Data Sharing: Hosts and platforms must report rental data to local governments

Contact Information

Hillsdale Local Authority:

Town of Hillsdale Code Enforcement Officer

• Name: Lee Heim
• Phone: (518) 325-5073
• Department: Building and Zoning Enforcement
• Address: 2609 State Route 23, Hillsdale, NY 12529
• Mailing: PO Box 305, Hillsdale, NY 12529

Columbia County Authority:

Columbia County Treasurer's Office

• Phone: (518) 828-0513
• Email: [email protected] (for registration assistance)
• Website: http://columbiany-self.govplatform.com (for tax payments)
• Registration Form: https://docs.google.com/forms/d/e/1FAIpQLSfjsf5lRHfHkZoHZlL6XbLa5lGQtmb_ilRJiMZu9FD5hQu3pA/viewform

Additional Contacts:

Town Board/Clerk:

• Phone: (518) 325-5073
• Website: https://hillsdaleny.com/contact-us/

Links to Source Pages

1. Hillsdale Transient Rental Regulations
2. Complete Local Law #2-2019 Transient Rentals PDF
3. Hillsdale Code Enforcement Information
4. Columbia County STR Registration Form
5. Columbia County Occupancy Tax Payment Portal
6. Town of Hillsdale Official Website
7. Hillsdale eCode 360

Important Notes for Investors

• Permit Timing: County registration should be completed first to obtain registration number needed for town permits
• Inspection Scheduling: Plan for Building Inspector inspection timing in your business launch schedule
• Tax Compliance: Prepare systems for both county (4%) and state (8%) tax collection and remittance
• Local Management: Factor in costs of local contact/management services if you're not locally based
• Permit Renewal: Special permits are non-transferable and may require renewal (check current requirements)
• Platform Compliance: Ensure listing platforms recognize your permits and registration numbers

This regulatory framework provides clear guidelines for operating compliant short-term rentals in Hillsdale while ensuring community standards and safety requirements are met.