Damascus, Pennsylvania Short Term Rental Regulations Guide for Airbnb hosts

Overview: STR Status in Damascus, PA

Short-term rentals are explicitly allowed in Damascus Township, Wayne County, PA. Damascus Township has established a comprehensive permitting and regulatory framework for short-term rentals, requiring annual certificates, inspections, and compliance with local zoning ordinances. The township has formalized the STR application process through a specific application form and maintains oversight through regular inspections and fee structures.

What do Airbnb hosts actually earn in Damascus?

Damascus hosts earn a median $33,794/year with $268 ADR and 43% occupancy.

Top performers pull in $40,967+ per year.

See the full Damascus market breakdown

How to Start a Short-Term Rental Business in Damascus, PA

Step-by-Step Process

Property Assessment
- Verify zoning compliance with Damascus Township Zoning Ordinance Section 434
- Determine if property is in FEMA-designated flood hazard area
- Assess sewage disposal system capacity (central sewer vs. septic)
- Identify safety features (smoke detectors, carbon monoxide detectors, fire extinguisher)
Application Preparation
- Complete the Damascus Township Short-Term Rental Application (3-page form)
- Gather all required documentation
- Obtain notarized signatures from property owner and Person-in-Charge (P-I-C)
- Pay non-refundable application fee
Inspection Process
- Building Inspector will schedule premises inspection
- Owner or representative must be available to accompany inspector
- Address any compliance issues identified during inspection
- Additional inspections incur $75.00 fee per failed attempt (after 2 failures)
Certificate Issuance
- Annual Short-Term Rental Certificate issued upon successful inspection
- Certificate valid for one year from issuance date
- Renewal required annually with updated application

Key Requirements for Success

Local Management: Designate a Person-in-Charge (P-I-C) within 25 miles of the property for 24-hour response
Compliance Maintenance: Continuously maintain premises according to all applicable regulations
Tax Compliance: Register for and collect applicable hotel occupancy and sales taxes

Required Documents, Permits, Licenses, and Guidelines

Mandatory Documentation (New Applications)

Property Ownership
- Copy of current recorded deed establishing ownership
- Property owner must sign and notarize application
Tax Registration
- Wayne County hotel room excise tax certificate (current)
- Pennsylvania sales and use tax permit OR listing service statements confirming tax payment compliance
Property Information
- 911 address of STR location
- Number of bedrooms in dwelling
- Sewage disposal system details (if not connected to central sewer):
  - Location, approximate age, and design capacity
  - Proof of adequate capacity if more than 3 bedrooms
  - Copy of sewage permit or letter confirming no malfunctioning septic system
Safety and Zoning Compliance
- FEMA flood hazard area verification
- Conversion dwelling documentation (if applicable)
- Swimming pool/hot tub safety barrier information
Management Designation
- Person-in-Charge (P-I-C) designation with 24-hour contact information
- Notarized P-I-C agreement to act as agent with authority

Permits and Licenses Required

Damascus Township STR Certificate (Annual, $125.00 includes 2 inspections)
Wayne County Hotel Room Excise Tax Registration (3% tax collection)
Pennsylvania Sales Tax Permit (for 6% state + 1% local sales tax)

Guidelines and Standards

Compliance with Damascus Township Zoning Ordinance Section 434
Building and safety standards as determined by Building Inspector
Continuous maintenance in compliance with all applicable regulations
Availability for inspections by township officials

Specific Regulations for Short-Term Rentals

Damascus Township (Local) Regulations

Application Requirements:

Annual certificate renewal mandatory
Building Inspector inspection required for zoning compliance
Owner or representative must accompany inspector during any visit
Complete application required - unanswered items result in automatic rejection
Non-refundable fees must accompany application

Property Standards:

Smoke detectors required in each bedroom and common hallway on each floor
Carbon monoxide detectors for coal, oil, or gas furnaces
Fire extinguisher required in kitchen
Fence/barrier required for hot tubs, spas, and swimming pools
Conversion dwellings require land development approval if second dwelling on property

Management Requirements:

Person-in-Charge (P-I-C) must be designated and available within 25 miles
24-hour telephone contact required for P-I-C
Owner must grant inspection access and maintain continuous compliance

Wayne County Regulations

Tax Requirements:

3% hotel room excise tax on short-term rental income
Tax applies to listing price including cleaning fees for reservations 30 nights or less

Pennsylvania State Regulations

Tax Requirements:

6% hotel occupancy tax on short-term rental income
1% local sales tax on short-term rental income
Taxes apply to listing price including cleaning and guest fees for reservations 29 nights or less
State administers local sales taxes in Allegheny and Philadelphia counties

Regulatory Framework:

Pennsylvania operates under "Dillon's Rule" - municipalities have limited autonomy
Local municipalities can only enact laws expressly permitted by state law
This provides consistency but may limit local regulation compared to "home rule" states

Contact Information for Local Authority

Damascus Township (Primary Authority)

Physical Address: Damascus Township Offices 60 Conklin Hill Road Damascus, PA 18415

Phone: 570-224-4410

Key Contacts:

Building Inspector/Zoning Officer (for inspections)
Township Secretary (for application questions)

Application Process:

Submit completed applications to township offices
Include all required documentation and fees
Schedule inspection upon application submission

Wayne County (Tax Authority)

Wayne County Government (for hotel room excise tax registration) Website: www.waynecountypa.gov

Pennsylvania State (Tax Authority)

Pennsylvania Department of Revenue (for sales tax permits) Website: www.revenue.pa.gov

Links to Source Pages

Damascus Township STR Application Form: damascustwp.org/docs/STR_APPLICATION.pdf
Wayne County Planning - Local Topics: www.waynecountypa.gov/DocumentCenter/View/7323/Local-Topics
River Reporter - Texas Township Zoning: riverreporter.com/stories/new-texas-township-zoning-addresses-solar-short-term-rentals,168263
River Reporter - Highland STR Discussion: riverreporter.com/stories/highland-debates-short-term-rentals-for-long-term-plans,147428

Regional Context and Market Considerations

Market Trends (2021-2024):

Damascus Township experienced -8.3% supply decline and -18.8% demand decline
Current STR listings: 15 properties (down 25% from previous year)
Regional variation: Some nearby areas showing growth while others declining

Regulatory Environment:

Multiple nearby municipalities have implemented or updated STR regulations
Trend toward increased oversight and safety requirements
Pennsylvania's Dillon's Rule framework provides consistent state-level foundation

Investment Considerations:

Annual renewal requirement creates ongoing compliance obligations
Inspection process ensures minimum safety and zoning standards
Tax collection and remittance responsibilities require proper business structure
Local management requirement necessitates reliable P-I-C designation

This comprehensive regulatory framework demonstrates Damascus Township's commitment to balancing economic opportunity with community standards and public safety for short-term rental operations.

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Ask the AI Advisor about Damascus

Damascus is a small rural township tucked into the far northeastern corner of Pennsylvania in Wayne County, with a population of roughly 3,500 residents spread across its wooded countryside. The community has the quiet, outdoors-oriented character typical of the upper Delaware River valley, and it sits along a particularly scenic stretch of the Delaware River that forms the border with New York State. Damascus serves as a quiet gateway to both the Pocono region of Pennsylvania and the nearby Catskill Mountains of New York, and the nearest sizable city is Scranton, about 50 miles to the southwest. New York City lies roughly two and a half hours to the southeast by car, making the area a workable weekend destination for travelers from the metropolitan region.

The defining natural feature in the area is the Upper Delaware Scenic and Recreational River, a corridor of the National Park System that follows the river through northeastern Pennsylvania and adjacent Sullivan and Delaware counties in New York. Known for its clean water, forested bluffs, and cold-water trout fishing, the corridor draws paddlers, anglers, and floaters through the warmer months, and the nearest public river access points are only a few minutes' drive from Damascus. Scenic overlooks and short walking paths along Route 97 add to its draw for casual visitors who simply want to experience the river valley.

Just to the south, about fifteen minutes away, the historic town of Honesdale serves as the Wayne County seat. Its compact downtown features small shops and restaurants, and the town is well known as the place where the Stourbridge Lion, the first commercial steam locomotive to operate in America, made its trial run in 1829. Heritage rail excursions have historically departed from the area, and the surrounding region is dotted with antique stores, farm stands, and covered bridges that draw day-trippers looking for a slower pace.

Across the river to the east, the wooded ridges and hollows of the Catskill Mountains rise into Sullivan and Delaware counties in New York. Within roughly an hour's drive, visitors can reach small river towns such as Narrowsburg and Callicoon, or push deeper into the Catskill high country for hiking, fall foliage drives, and skiing at local resorts in winter. The combination of river access, mountain scenery, and proximity to both New York City and the Poconos gives the Damascus area a broad appeal that extends well beyond the summer months.

For short-term rental owners, Damascus offers a rural, low-density setting that nevertheless sits within easy reach of some of the Northeast's most popular outdoor destinations. The appeal is less about a busy in-town scene and more about the river, the forests, and the quieter pace — a profile that tends to attract repeat visitors seeking weekend escapes, fishing trips, and family gatherings in the country.