Honesdale, Pennsylvania Short Term Rental Regulations Guide for Airbnb hosts

Overview: Are Short-Term Rentals Allowed in Honesdale, PA?

Yes, short-term rentals are allowed in Honesdale, PA, but with important regulatory requirements. Honesdale operates under a conditional use framework for short-term rentals in residential zones. This means that while short-term rentals are permitted, they require formal approval through a conditional use hearing process before operation can commence. Additionally, properties are subject to Wayne County's Short-Term Rental Ordinance adopted in June 2023, which established the regulatory framework for STRs throughout the county.

The town does not have specific standalone short-term rental laws, but hosts must comply with both state and county regulations, including tax collection requirements and zoning compliance. Properties located in R-2 Single-Family Residential Zone Districts can operate as short-term rentals through the conditional use process, as demonstrated by a recent application filed for a property on Grove Street.

What do Airbnb hosts actually earn in Honesdale?

Honesdale hosts earn a median $26,628/year with $200 ADR and 50% occupancy.

Top performers pull in $42,737+ per year.

See the full Honesdale market breakdown

How to Start a Short-Term Rental Business in Honesdale

Starting a short-term rental business in Honesdale requires a systematic approach involving multiple regulatory steps:

Step 1: Zoning Compliance and Conditional Use Application

First, you must determine if your property is located in an appropriate zoning district that allows short-term rentals. Based on available information, R-2 Single-Family Residential Zone Districts permit short-term rentals as conditional uses. You will need to:

File an application for Conditional Use under the relevant sections of the Honesdale Borough Zoning Ordinance
Submit your application to the Borough Secretary
Prepare for a public hearing before the Honesdale Borough Council
Demonstrate that your proposed use complies with all applicable zoning requirements

Step 2: Obtain Short-Term Rental Permit

After securing zoning approval, you must obtain a Short-Term Rental Permit from Wayne County:

Submit the Short-Term Rental Permit Application (Document ID 6659)
Ensure compliance with the county's Short-Term Rental Ordinance adopted June 14, 2023
Contact the designated enforcement officer for permit requirements

Step 3: Tax Registration and Compliance

Register for Pennsylvania state sales tax (6% rate)
Register for Wayne County hotel tax (3% rate)
Establish systems for collecting and remitting these taxes on all bookings

Step 4: Property Standards and Inspections

Ensure your property meets all applicable building and safety standards:

Obtain any required UCC permits for structural changes or additions
Consider floodplain regulations if your property is in a designated flood zone
Maintain compliance with property maintenance and nuisance ordinances

Required Documents, Permits, Licenses, and Guidelines

Borough-Level Requirements:

Conditional Use Application - Filed under Sections 210-9, 210-10 and 210-38 and Articles IV and V of the Honesdale Borough Zoning Ordinance
Property documentation - Wayne County Tax Parcel information and deed records
Public hearing participation - Must attend scheduled Borough Council hearing

County-Level Requirements:

Wayne County Short-Term Rental Permit (Document ID 6659)
Compliance with Short-Term Rental Ordinance (adopted June 14, 2023)

State-Level Requirements:

Pennsylvania Sales Tax Registration - For collecting 6% state sales tax
UCC Building Permit (if applicable for structural work)
- Detached accessory structures over 1,000 square feet
- Any addition to dwelling units
- Most decks
- Structural changes or changes to means of egress
- Swimming pools over 24" in height and all in-ground pools

Tax Registration:

Pennsylvania State Sales Tax - 6% rate
Wayne County Hotel Tax - 3% rate

Specific Regulations for Short-Term Rentals

Borough-Level Regulations:

Zoning Compliance: Short-term rentals are permitted as conditional uses in R-2 Single-Family Residential Zone Districts
Conditional Use Process: Requires formal application and public hearing before Borough Council
Property Standards: Must comply with borough property maintenance and nuisance ordinances
Floodplain Requirements: Properties in designated flood zones require special permits

County-Level Regulations:

Short-Term Rental Ordinance (adopted June 14, 2023): Establishes countywide framework for STR regulation
Permit Requirements: Annual or periodic permit renewals may be required
Enforcement: County enforcement officer oversees compliance

State-Level Regulations:

Tax Collection: Mandatory collection of 6% Pennsylvania state sales tax
Uniform Construction Code: Compliance required for structural work and safety standards
Municipal Planning Code: Governs land use and zoning procedures

Contact Information for Local Authority

Borough of Honesdale - Primary Contact:

Phone: 570-253-0731, 570-362-5968
Email: info@honesdaleborough.com
Address: 958 Main Street, Honesdale PA 18431
Contact: Borough Secretary (for conditional use applications)

Wayne County STR Permit Contact:

Contact: Bob Bates
Phone: 570-493-1716
Email: bobbatesinspections@icloud.com
Responsibilities: Short-term rental permit applications and county requirements

Wayne County Courthouse (General):

Phone: 570-253-5970
Address: 925 Court Street, Honesdale, PA 18431

Helpful Resources:

Wayne County Website: waynecountypa.gov/637/Township-Regulations
Honesdale Borough Website: honesdaleborough.com
State UCC Information: www.dli.pa.gov/ucc/pages/default.aspx

Links to Source Pages

Wayne County Township Regulations: waynecountypa.gov/637/Township-Regulations
Short-Term Rental Application (Wayne County): waynecountypa.gov/637/Township-Regulations (Document ID 6659)
Honesdale Borough Conditional Use Information: honesdaleborough.com/conditional-use-hearing/
Honesdale Borough Zoning Application: honesdaleborough.com/wp-content/uploads/2025/05/Honesdale-Borough-Zoning-Application-2025.pdf
UCC Building Permit Application: honesdaleborough.com/wp-content/uploads/2025/01/UCC-Form.pdf
Pennsylvania UCC Information: www.dli.pa.gov/ucc/pages/default.aspx

Important Considerations for Investors

Regulatory Compliance: The conditional use process requires public notification and hearing, which may result in neighbor opposition. Factor this timeline and potential variability into your investment planning.

Tax Obligations: Total tax burden includes 6% state sales tax plus 3% Wayne County hotel tax, totaling 9% on gross rental receipts.

Property Standards: Properties must comply with both borough property maintenance standards and county STR requirements, which may necessitate property improvements before permit approval.

Market Dynamics: Honesdale's STR market shows seasonal peaks during summer months and fall foliage season, making dynamic pricing strategies essential for maximizing revenue.

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Ask the AI Advisor about Honesdale

Honesdale is a small borough in northeastern Pennsylvania that serves as the county seat of Wayne County, with a population of roughly 4,000 residents. The town has a quiet, small-town character rooted in its nineteenth-century industrial heritage, and it is widely recognized as the birthplace of the American railroad: in 1829, the Stourbridge Lion, the first commercial steam-powered locomotive to operate on a chartered railroad in the United States, made its historic run on a track just outside town. Today, Honesdale functions as a gateway to the Pocono Mountains and the broader Endless Mountains region of Pennsylvania, drawing visitors year-round for outdoor recreation, fall foliage, and small-town charm. It sits approximately thirty miles north of Scranton and roughly a two-hour drive from New York City and the northern suburbs of Philadelphia.

The town's railroad heritage remains one of its most distinctive draws. Visitors can learn about the Stourbridge Lion and the Delaware & Hudson Canal Company at local historical exhibits, where a replica of the locomotive and related artifacts are on display. A modest walk through Honesdale's central business district reveals late-Victorian storefronts, brick row buildings, and locally owned shops and cafes that reflect the borough's nineteenth-century prosperity as a coal and canal hub.

A short drive south of Honesdale brings visitors to Lake Wallenpaupack, a roughly 5,700-acre reservoir in the Poconos that is one of the most popular outdoor recreation destinations in the region. The lake is about twenty minutes from town and supports boating, fishing, swimming, and lakeside dining, with surrounding communities offering public access points, marinas, and resort amenities that draw a steady stream of vacationers through every season.

To the north and east, the Upper Delaware River corridor offers scenic drives, river access, and the protected landscapes of the Upper Delaware Scenic and Recreational River, a National Park Service unit known for trout fishing, tubing, and the wooded ridgelines along the Pennsylvania–New York border. The drive from Honesdale to popular river towns such as Narrowsburg and Milford is roughly twenty to thirty minutes, depending on the route.

Closer to town, the surrounding Wayne County countryside is dotted with working farms, covered bridges, and forest trails that attract leaf-peepers in autumn and hikers in summer. Nearby state parks and conservation areas provide additional options for swimming, picnicking, and wildlife watching, rounding out the outdoor appeal of the region.

Honesdale's combination of a walkable historic core, easy access to Lake Wallenpaupack and the Upper Delaware, and proximity to larger metropolitan areas makes it a compelling base for short-term rentals. Guests can enjoy a peaceful small-town atmosphere while remaining within easy reach of the Poconos' recreation economy and the steady tourist traffic that flows through the Endless Mountains each year.