Thinking about buying a property in East Cobb for a short-term rental? The numbers only work if you can operate legally and keep clean records from day one. You want predictable returns, low risk, and a plan you can explain to lenders, partners, and your CPA.
In this guide, you’ll get a clear, step-by-step roadmap for East Cobb. You’ll learn how to confirm zoning and HOA rules, which licenses and tax accounts to set up, what to track for audits, and how to model cash flow conservatively. Let’s dive in.
Start with jurisdiction and zoning
East Cobb sits in unincorporated Cobb County. That means county rules generally apply, not the rules for cities like Marietta or Smyrna. Your first task is to confirm the property’s jurisdiction and zoning, then check for any private restrictions.
- Verify the address is in unincorporated Cobb County, then confirm the zoning district and permitted uses with Cobb County Planning and Zoning.
- Review the Cobb County Code of Ordinances for any short-term rental or occupancy provisions.
- Ask the seller and the HOA or community manager for the recorded covenants, conditions, and restrictions. HOAs often regulate or prohibit short-term rentals.
If any of these sources limit or prohibit STRs, factor that into your offer or move to a property that aligns with your strategy.
Confirm licenses and registrations
Before hosting a single booking, confirm what the county requires for your business setup.
- Occupational Tax Certificate: Most Georgia counties require an Occupational Tax Certificate, commonly called a business license, for rental operations. In Cobb, confirm the process, fees, and renewal timing with the Cobb County Business License Division.
- STR permits or registration: Some counties require a specific STR registration with annual renewal and posting requirements. Check whether unincorporated Cobb County requires a dedicated STR permit or registration. If not, you still must comply with business licensing and zoning.
- Designated local contact: Many jurisdictions require a named local agent with a 24/7 phone number who can respond to complaints. Confirm if Cobb County requires this and the response timeframe.
- Safety and inspections: Ask whether any fire or safety inspections are required and what documentation you need. Typical items include working smoke and carbon monoxide detectors, egress compliance, fire extinguishers, and posted maximum occupancy.
Keep copies of every license or permit and note renewal dates in your calendar.
Set up tax accounts before you host
Short-term rental income touches multiple tax categories. Register early so you can collect and remit correctly from the first booking.
- State sales and use tax: Georgia imposes sales tax on short-term lodging. Register and learn filing rules with the Georgia Department of Revenue sales and use tax.
- Local lodging or hotel-motel taxes: Many counties and cities add a separate lodging tax. Confirm whether Cobb County levies a county lodging tax and any applicable municipal tax if the property is inside a city boundary.
- Platform collection: Platforms sometimes collect certain taxes but not all of them. Review what the platform handles and what remains your responsibility using the Airbnb occupancy tax guidance for the United States and Vrbo tax collection policy.
- Income tax: Report rental income on your federal and state returns. How the IRS treats it depends on services provided and your level of participation. Review IRS Publication 527 and consult your tax advisor.
Create a simple tax calendar with filing frequencies and payment deadlines. Late filings can come with penalties and interest that erode returns.
Track what you collect and remit
Clean, booking-level records protect you in audits and keep your performance model honest.
- Track nightly rate, cleaning fees, additional guest fees, and taxes collected per booking.
- Track platform and payment processing fees separately from operating expenses.
- Reconcile platform-reported tax remittances with your own filings, and keep confirmations.
- Store copies of all registrations, license renewals, and any county or HOA correspondence.
Aim to keep records for 3 to 5 years.
Safety, parking, trash, and house rules
Neighborhood impacts drive many STR complaints. Set clear standards and document your procedures.
- Post house rules inside the home and in guest messages. Emphasize quiet hours, parking locations, and trash days.
- Confirm local limits on signage and trash handling, and any off-street parking requirements. If occupancy limits apply, post them.
- Keep a log of any neighbor contacts, your response times, and resolutions. If a local contact is required, keep their info posted and updated.
These steps protect your reputation and support your compliance file.
Insurance that actually covers STRs
Standard homeowner or long-term landlord policies often exclude short-term rental activity. Ask for an STR-appropriate policy that covers liability and property damage for transient guests. Keep a certificate of insurance on file, and confirm if your HOA requires proof of coverage.
Model returns the right way
Build a conservative model that reflects real-world compliance costs and cash flow timing.
- Revenue inputs: nightly rate, occupancy rate, average length of stay, and seasonal variation.
- Fees: platform and payment processing fees, cleaning turns, supplies, utilities, lawn care, pest control, internet, and any management fee.
- Taxes: apply the correct tax base. Include cleaning fees and add-on guest charges only if taxable in this jurisdiction. Model state sales tax and any local lodging taxes as a percentage of the taxable base.
- Compliance costs: licensing, permit fees, safety equipment, inspections, and required signage.
- Insurance: STR-specific premiums and any HOA surcharges.
- Cash flow timing: lodging taxes are often due monthly or quarterly. Add late-payment penalties as a sensitivity scenario.
A simple net revenue formula many investors use: gross booking revenue minus platform fees minus taxes you remit minus operating expenses. Use cautious occupancy assumptions and test downside cases.
Pre-purchase checklist
Use this quick list before you write an offer.
- Confirm the parcel sits in unincorporated Cobb County or identify the city if incorporated.
- Get zoning verification from Cobb County Planning and Zoning.
- Request and review HOA and recorded covenants. Confirm whether STRs are allowed.
- If the home was previously an STR, ask for past tax and permit records.
- Build projections that include business licensing, probable state and local taxes, and realistic operating costs.
Pre-launch checklist
Before you accept the first guest, button up these items.
- Apply for an Occupational Tax Certificate if required through the Cobb County Business License Division.
- Register with the Georgia Department of Revenue for sales and use tax. Confirm filing frequency and due dates.
- Determine whether unincorporated Cobb County requires a dedicated STR registration and apply if necessary. Keep approvals on file.
- Designate a local contact or manager and publish their 24/7 phone number if required. Document response procedures.
- Complete safety upgrades and any inspections. Post house rules and maximum occupancy inside the home.
- Build a recordkeeping system that captures booking-level details, taxes collected, and platform remittances.
Common pitfalls to avoid in East Cobb
A few avoidable mistakes can derail an otherwise solid investment.
- Relying solely on a platform to handle taxes without verifying what was remitted for your address.
- Skipping HOA review and discovering a prohibition after closing.
- Operating without a business license or missing renewals.
- Poor recordkeeping that complicates audits or resale due diligence.
- No designated local contact or slow response to neighbor complaints.
Your next step
If you want an STR in East Cobb, make compliance your first line item. Confirm zoning and HOA rules, set up licenses and tax accounts, and keep tight records. This puts you in control of your numbers and reduces enforcement risk.
Need help finding STR-friendly properties or pressure-testing a pro forma with local assumptions? Schedule a quick planning call with Unknown Company and get a clear path forward.
FAQs
Is a short-term rental legal at my East Cobb address?
- Start by confirming the property is in unincorporated Cobb County, then verify zoning with Cobb County Planning and Zoning and review the Cobb County Code of Ordinances. Always check HOA covenants as well.
Do I need a business license in unincorporated Cobb County?
- Most Georgia counties require an Occupational Tax Certificate for rental operations. Confirm the process, fees, and renewal with the Cobb County Business License Division before hosting.
Which taxes apply to STRs in Cobb County, Georgia?
- Expect Georgia state sales tax on short-term lodging and possible local lodging or hotel-motel taxes. Verify current obligations with the Georgia Department of Revenue and Cobb County.
Will Airbnb or Vrbo collect all my taxes for East Cobb?
- Platforms may collect and remit certain taxes, but not always all of them. Review the Airbnb occupancy tax guidance and Vrbo policy, then reconcile their remittances with your own filings.
Do I need a designated local contact or manager?
- Many jurisdictions require a local responsible agent with a 24/7 phone number and specific response times. Confirm Cobb County’s rule and document your contact info and response logs.
How should I keep records for an East Cobb STR?
- Maintain 3 to 5 years of booking-level data, tax filings and payment confirmations, license renewals, insurance proof, and logs of any complaints and resolutions. This supports audits and a clean resale process.
