Overview and Key Takeaways

• Are short-term rentals allowed in Naches? Yes—explicitly. The Town of Naches has adopted a dedicated short-term rental (STR) permitting chapter (NMC 17.54) and treats any unit rented for fewer than thirty (30) consecutive days as a short-term rental that requires a permit. STRs are limited to one (1) designated dwelling per parcel. All STR permits expire December 31 and must be renewed annually during a defined window. Source: Town of Naches STR notices and STR permit renewal application.
• Funding and documentation baseline: Current-year permit fee is $120 (separate and in addition to any required Washington State business license, which is handled through the Washington Department of Revenue). If an inspection is needed, a separate inspection fee applies. Applications are public records under Washington law (RCW 42.56). Source: STR Renewal Application.
• State-level consumer safety and operations obligations: Washington RCW 64.37 imposes statewide STR requirements, including posting specific safety information in each unit, maintaining at least $1,000,000 in primary liability insurance (or using a platform that provides equal/greater coverage), operator contact availability during stays, and compliance with state carbon monoxide alarm rules. Source: RCW 64.37.010–.050.
• Parking, waste, and occupancy: Naches requires at least two (2) off-street parking spaces on the premises, year-round solid waste service (with owner responsibility for containers), and compliance with overnight occupancy limits stated on the issued permit. Source: STR Renewal Application.
• Marketing and permit numbers: The assigned STR permit number must appear in all advertisements and marketing, both online (e.g., Airbnb, VRBO) and offline (e.g., brochures, posters). Source: STR Renewal Application.
• Floodplain and land use context: Naches is evaluating amendments to NMC 15.12 (Flood Damage Prevention) alongside its STR chapter. Properties within flood zones may trigger additional standards or disclosures. Source: Town of Naches SEPA notice.

How to Start a Short-Term Rental Business in Naches

1. Confirm eligibility and fit

• Property use: STRs must comply with zoning and building/septic/fire codes and cannot exceed allowable occupancy for the dwelling and parcel. Only one (1) dwelling per parcel may be designated as an STR. Source: STR Renewal Application.
• Flood risk: If the property lies within a mapped flood hazard area (as referenced in NMC 15.12), expect added requirements under flood damage prevention standards. Source: Town SEPA notice.

2. Align with state consumer safety and insurance rules

• Maintain primary liability insurance covering the STR unit with minimum limits of $1,000,000 aggregate (or conduct transactions through a platform providing equal/greater coverage). Source: RCW 64.37.050.
• Post the following inside the unit in a conspicuous place:
  • Street address
  • Emergency contact info (police, fire, medical)
  • Floor plan with fire exits and escape routes
  • Maximum occupancy limits
  • Operator or designated contact information
• Provide operator contact details that are available to guests during the stay and ensure the unit complies with carbon monoxide alarm rules. Source: RCW 64.37.030.
• Collect and remit all applicable taxes (state/local lodging/sales/occupancy) as required by Washington law and local practice. Source: RCW 64.37.020.
• If using platforms, note they must register with the Department of Revenue and notify operators of tax and safety obligations. Source: RCW 64.37.040.

3. Prepare the property for operation

• Safety: Ensure working CO alarms per state rules, smoke detection, and appropriate fire/life safety devices. Source: RCW 64.37.030.
• Parking: Provide a minimum of two (2) off-street parking spaces on the property, outside required setbacks or recorded access easements. Source: STR Renewal Application.
• Waste: Arrange year-round solid waste service; the owner is responsible for containers at all times. Source: STR Renewal Application.
• Occupancy: Adhere to the overnight occupancy limit stated on the issued permit. Source: STR Renewal Application.
• Addressing and signage: Clearly display the property address so it is visible from the street or access road; comply with any other NMC display requirements. Source: STR Renewal Application.
• Utilities and septic: Confirm the dwelling’s sewer/septic capacity is consistent with the stated bedrooms/occupancy. Source: STR Renewal Application.

4. Apply for and obtain the STR permit

• Use the Town’s STR application (new or renewal) and complete all acknowledgments. Current fee: $120; inspections, if required, cost extra. Submit payment of final fees upon Town approval. Source: STR Renewal Application.
• Permits expire December 31 of the year issued. Annual renewals are accepted September 1 – November 30 of the preceding year. Source: STR Renewal Application.
• The Town may perform Fire & Life Safety inspections and will assign the STR permit number upon approval. Source: STR Renewal Application.
• After issuance, immediately comply with posting and advertisement requirements (permit number in all marketing, safety postings in-unit). Source: STR Renewal Application.

5. Launch and ongoing compliance

• Taxes and licensing: Secure any required business license/registration through the Washington Department of Revenue. Collect and remit lodging/sales/occupancy taxes as applicable. Source: RCW 64.37.020–.040.
• Recordkeeping: Retain copies of the permit, insurance, inspection records, and safety postings. Source: RCW 64.37.030 and STR Renewal Application.
• Guest operations: Provide guest-facing emergency and contact information and maintain contact availability during stays. Source: RCW 64.37.030.
• Annual renewal: Monitor the renewal window each year (September 1–November 30). Missing renewal can result in loss of STR status and the need to reapply as a new applicant. Source: STR Renewal Application.

Required Documents, Permits, Licenses, and Guidelines

• Town of Naches STR permit (NMC 17.54): $120 fee; separate inspection fee if applicable; annual renewal required; expires Dec 31. Source: STR Renewal Application.
• Washington State business license/registration: Handled through the Washington Department of Revenue (as referenced in the Town application). Source: STR Renewal Application; RCW 64.37.020, .040.
• Liability insurance: Primary liability coverage of at least $1,000,000 aggregate for the STR, or transaction coverage through a compliant platform providing equal/greater limits. Source: RCW 64.37.050.
• Fire & Life Safety inspections: As required by the Town; separate fee if inspection is needed. Source: STR Renewal Application.
• Sewer/septic capacity compliance: Align bedrooms/occupancies with permitted sewer/septic capacity. Source: STR Renewal Application.
• Solid waste service: Year-round service with owner responsibility for containers. Source: STR Renewal Application.
• Parking: Provide a minimum of two (2) off-street parking spaces on the premises. Source: STR Renewal Application.
• Public records disclosure: Applications are subject to public disclosure under RCW 42.56. Source: STR Renewal Application.
• Safety postings: Post required safety information in each STR unit. Source: RCW 64.37.030.
• Advertising: Include the assigned STR permit number in all listings and marketing materials. Source: STR Renewal Application.
• Floodplain reference: If within flood hazard areas, comply with NMC 15.12 standards. Source: Town SEPA notice.

City-Specific Regulations (Naches Municipal Code Context)

• One (1) dwelling per parcel; any unit rented for fewer than thirty (30) consecutive days is an STR and requires a permit. Source: STR Renewal Application.
• Permit validity: Permits expire December 31; annual renewal window is September 1–November 30 of the preceding year. Source: STR Renewal Application.
• Overnight occupancy: May not exceed the limit stated on the issued permit. Source: STR Renewal Application.
• Parking: At least two (2) off-street parking spaces on the premises, outside setbacks or access easements. Source: STR Renewal Application.
• Solid waste: Year-round service required; owner responsible for container at all times. Source: STR Renewal Application.
• In-unit disclosures: Display information as outlined in NMC 17.54.030(D) (consumer safety postings required by state law). Source: STR Renewal Application; RCW 64.37.030.
• Addressing: Address must be clearly visible from the street or access road. Source: STR Renewal Application.
• Inspections: Fire & Life Safety inspections are required as applicable; separate fee may apply. Source: STR Renewal Application.
• Advertisements: Permit number must be prominently displayed in all online and print marketing. Source: STR Renewal Application.
• Code references and floodplain: The Town has initiated non-project minor amendments to NMC 15.12 (Flood Damage Prevention) alongside the STR chapter. Investors should confirm any flood-related standards that affect their property. Source: Town SEPA notice.

County-Level Regulations

• The provided sources do not include Yakima County-specific STR regulations. Operate under Naches town regulations and Washington state law unless and until county rules apply. This guide defers to state-level rules where local materials are silent. Sources: Town and state materials provided.

State-Level Regulations (Washington)

• RCW 64.37.010 Definitions: Defines STR, operator, platform, contact, and guest; clarifies that an STR is a dwelling unit offered for fewer than thirty (30) consecutive nights (with specified exclusions). Source: RCW 64.37.010.
• RCW 64.37.020 Taxes: Operators must remit all applicable local, state, and federal taxes unless the platform does so on their behalf (occupancy, sales, lodging, other taxes/fees/assessments). Platforms collecting/remitting on behalf of operators must remit to appropriate authorities. Source: RCW 64.37.020.
• RCW 64.37.030 Consumer safety: Operators must provide contact info that is available during the stay; ensure CO alarm compliance; post address, emergency contacts, floor plan with exits, occupancy limits, and operator contact within the unit; first violation results in a warning letter, subsequent violations are class 2 civil infractions. Source: RCW 64.37.030.
• RCW 64.37.040 Short-term rental platforms: Platforms must register with the Department of Revenue and inform operators of tax obligations, consumer safety requirements, and that personal insurance may not cover STR use. Source: RCW 64.37.040.
• RCW 64.37.050 Liability insurance: Operators must maintain primary liability insurance of at least $1,000,000 aggregate or use a platform providing equal/greater coverage. Source: RCW 64.37.050.

Local Authority Contacts (Town of Naches)

• Phone: (509) 653-2647
• Fax: (509) 653-2732
• Address: Town of Naches, 29 E. Second Street (P.O. Box 95), Naches, WA 98937
• Primary reference source: Town contact page footer.

Source Pages and Official Documents

• Town of Naches – Short-Term Rentals and Flood Damage Prevention (SEPA notice and code amendments context): townofnaches.com/short-term-rentals-and-flood-damage-prevention/
• Town of Naches – STR Permit Renewal Application (current form): townofnaches.com/wp/wp-content/uploads/2025/04/STR-Renewal-Application_Fillable-Blank.pdf
• RCW 64.37 – Washington State Short-Term Rentals (statutory framework): app.leg.wa.gov/RCW/default.aspx?cite=64.37&full=true

Notes and Practical Implications for Investors

• One-per-parcel rule: Avoid planning multi-unit STR operations on a single parcel in Naches; instead, hold one STR per parcel or confirm whether accessory dwelling units (ADUs) may be designated under the Town’s program.
• Compliance timing: Map your acquisition/upgrade schedule around the renewal window to prevent permit lapses and avoid the need to reapply from scratch.
• Insurance verification: Even with platform coverage, confirm that the policy terms and limits meet or exceed the $1,000,000 primary liability threshold and that “short-term rental” use is explicitly covered.
• Flood disclosure diligence: Because flood standards are evolving under NMC 15.12 updates, properties within mapped floodplains may face permitting conditions beyond the STR chapter (e.g., elevation, floodproofing, or insurance). Budget accordingly.
• Marketing compliance: Enforce a listing template that always includes the assigned STR permit number and verify compliance across all channels and brokers.

This guide synthesizes the documents provided and focuses solely on Naches and applicable Washington State requirements. Where the materials are silent (e.g., county-level STR rules), this guide defaults to the state framework and town code references included in the sources.