Thermopolis, Wyoming Short Term Rental Regulations Guide for Airbnb hosts

Overview: Are Short-Term Rentals Allowed in Thermopolis, WY?

EXPLICIT ANSWER: YES, short-term rentals are allowed in Thermopolis, Wyoming. However, there are no specific local ordinances regulating short-term rentals at the city level. Property owners must operate under general state regulations, local zoning laws, and standard business requirements.

This means that while you can legally operate a short-term rental in Thermopolis, you must ensure compliance with broader state statutes, Hot Springs County requirements, and general municipal codes that affect all rental properties and businesses.

What do Airbnb hosts actually earn in Thermopolis?

Thermopolis hosts earn a median $23,211/year with $151 ADR and 55% occupancy.

Top performers pull in $33,265+ per year.

See the full Thermopolis market breakdown

How to Start a Short-Term Rental Business in Thermopolis

Step 1: Property Assessment and Zoning Compliance

Verify zoning compatibility: Ensure your property is located in a zoning district that permits short-term rental operations
Review building codes: Confirm your property meets all International Building Code, International Fire Code, and other safety standards adopted by the town
Check HOA restrictions: If applicable, review any homeowners association rules that might restrict rental activities

Step 2: Business Registration and Licensing

Register your business: File appropriate business registration with Hot Springs County and the State of Wyoming
Obtain necessary permits: Depending on your property type, you may need building permits for any modifications
Consider professional management: Evaluate whether to self-manage or hire a property management company familiar with Wyoming regulations

Step 3: Tax Registration and Setup

Wyoming state sales tax registration: Register with the Wyoming Department of Revenue
Local tax compliance: Set up systems to collect and remit both state and local taxes
Accounting system: Implement proper record-keeping for tax purposes

Step 4: Insurance and Safety Compliance

Secure appropriate insurance: Obtain liability and property insurance suitable for short-term rental operations
Safety inspections: Ensure smoke detectors, carbon monoxide detectors, and emergency exits meet code requirements
Emergency information: Provide guests with local emergency contacts and property-specific safety information

Required Documents, Permits, Licenses, and Guidelines

State-Level Requirements (Wyoming)

Wyoming Sales Tax License (if not already held)
- Required for collecting and remitting state sales tax
- Available through Wyoming Department of Revenue
Business Registration
- Register business entity with Wyoming Secretary of State (if applicable)
- Obtain EIN from IRS for tax reporting

County-Level Requirements (Hot Springs County)

Lodging Tax Registration
- Required for properties offering accommodations for less than 30 days
- Registration with Hot Springs County Treasurer's office
General Business License
- May be required depending on business structure
- Contact county clerk for current requirements

Local Requirements (Town of Thermopolis)

Based on the municipal code analysis, no specific short-term rental licenses are currently required. However, general business regulations may apply:

Zoning Compliance Verification
- Ensure property is in appropriate zoning district
- May require zoning verification from Building Department
Building Permits (if applicable)
- Required for significant renovations or alterations
- Adhere to International Building Code standards
Fire Safety Compliance
- Meet International Fire Code requirements
- Ensure proper egress, smoke detection, and emergency procedures

Professional Certifications (Recommended)

Property Manager Licensing (if operating multiple properties)
First Aid/CPR Certification (for host responsibilities)
Local Tourism Training (familiarity with area attractions and regulations)

Specific Regulations by Jurisdiction

City of Thermopolis Regulations

No specific STR ordinances currently exist
Must comply with general municipal codes including:
- Building regulations (Chapter 5 of Municipal Code)
- Zoning requirements (Chapter 15 of Municipal Code)
- Property maintenance standards
- Noise ordinances
- Parking regulations

Hot Springs County Regulations

Lodging Tax: 4% additional tax on accommodations
General business regulations may apply
County planning and zoning oversight for unincorporated areas

State of Wyoming Regulations

State Sales Tax: 4% on accommodations
Business registration requirements
Consumer protection statutes
Workers' compensation requirements (if employing staff)
Workers' safety regulations

Tax Obligations

State Taxes

Wyoming Sales Tax: 4% on gross receipts from accommodations
Must register with Wyoming Department of Revenue
Quarterly filing typically required

Local Taxes

Hot Springs County Lodging Tax: 4% on accommodations
Separate collection and remittance required
Local tax registration with county treasurer

Important Tax Notes

Total tax burden: 8% on short-term rental gross receipts
Hosts are responsible for collection and remittance
No local room taxes or additional municipal accommodation taxes identified
Maintain detailed records for tax reporting purposes

Contact Information

Local Authority Contacts

Town of Thermopolis - Building Department

Phone: Contact through Town Hall at (307) 864-2331
Email: Contact through town administration
Website: www.thermopoliswy.gov
Address: 531 Broadway, Thermopolis, WY 82443

Town Administrator's Office

Phone: (307) 864-2331
Fax: (307) 864-3295
Address: 531 Broadway, Thermopolis, WY 82443

Hot Springs County

Treasurer's Office: (307) 864-3215 (lodging tax questions)
County Clerk: (307) 864-2715 (business licensing)
Address: 415 Arapahoe St, Thermopolis, WY 82443

Wyoming Department of Revenue

Phone: (307) 777-5235
Website: revenue.wyo.gov
Sales Tax Division: sales.tax@wyo.gov

Links to Source Pages

Official Sources

Town of Thermopolis Official Website: www.thermopoliswy.gov
Thermopolis Municipal Code: thermopoliswy.gov/wp-content/uploads/2024/06/TermopolisCode_2021-1.pdf
Wyoming Department of Revenue: revenue.wyo.gov
Hot Springs County Website: hotspringcountywy.gov

Reference Materials

Checkmate Rentals Analysis: www.checkmaterentals.com/airbnb-management/thermopolis-wyoming

Municipal Code Chapters of Interest

Chapter 5: Building Regulations
Chapter 9: Licenses and Franchises
Chapter 15: Zoning
Chapter 12: Peddlers and Transient Merchants

Important Notes for Investors

Market Considerations

Seasonal tourism patterns: Peak season June-August
Tourism drivers: Hot Springs State Park, Wind River Canyon, dinosaur attractions
Property prices: Relatively affordable compared to urban markets
Competition: Growing but manageable STR market

Investment Best Practices

Zoning verification before purchase
Insurance consultation with local providers
Property management evaluation (local vs. remote management)
Tax planning with Wyoming-licensed accountants
Legal review of property-specific considerations

Compliance Monitoring

Regular regulatory updates at all government levels
Tax law changes monitoring
Municipal code amendments tracking
County and state regulation changes

This guide represents current regulations as of the latest available information. Investors should verify current requirements with local authorities before commencing operations.

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Ask the AI Advisor about Thermopolis

Thermopolis is a small town in Hot Springs County in north-central Wyoming, home to a population of roughly 2,900 residents. The name comes from the Greek for "hot city," a reference to the mineral hot springs that flow through the area and have shaped its identity for more than a century. Its character is decidedly Old West, with wide streets, locally owned restaurants, and a relaxed pace that reflects its role as a small tourist hub rather than a commercial center. The town serves as the principal gateway to the Wind River Canyon, the southern Bighorn Mountains, and Boysen Reservoir, and it sits about 150 miles south of Billings, Montana, the nearest major city.

The town's defining feature is Hot Springs State Park, a sprawling green space of travertine terraces, walking paths, and public bath houses fed by the world's largest mineral hot spring. Located right on the edge of town, the park offers free soaking facilities, picnic areas, and frequent glimpses of the resident bison herd, all within a few minutes' drive of almost any short-term rental in Thermopolis. The combination of therapeutic mineral water and easy accessibility makes it a year-round draw for visitors.

Just north of town, the Wind River Canyon cuts a dramatic gorge through the Owl Creek Mountains between Thermopolis and Boysen Reservoir. The highway through the canyon is one of the most scenic drives in the state, with sheer rock walls, fishing access points along the Bighorn River, and pullouts that make it easy to stretch a short visit into a half-day adventure. The canyon is roughly a ten- to fifteen-minute drive from downtown Thermopolis.

A short drive further north brings visitors to Boysen State Park, where the reservoir is popular for boating, walleye and trout fishing, and lakeside camping under wide Wyoming skies. Closer to town, the Wyoming Dinosaur Center draws visitors interested in paleontology, displaying one of the largest collections of dinosaur fossils in the region and offering dig-site tours during the warmer months. Together, the springs, canyon, reservoir, and surrounding public lands give the area a mix of wellness tourism and outdoor recreation that draws a steady, varied stream of travelers.

For short-term rental owners, Thermopolis offers a compelling combination of small-town operating costs, a built-in tourist identity centered on the hot springs, and easy day-trip access to some of Wyoming's most striking natural scenery. Guests who book a stay here can soak in mineral water in the morning, drive a scenic canyon in the afternoon, and fish or boat at a major reservoir by evening, all without the crowds or price points of Wyoming's better-known resort destinations.