Manitou Springs, CO
Short-Term Rental Management in Manitou Springs, CO
Manitou Springs is one of the most tightly regulated short-term rental markets in Colorado, and that is exactly why a permitted rental here is worth running well. The city caps STRs at two percent of its housing, requires new permits to be owner-occupied, and does not let a permit transfer when a home is sold. If you already hold a Manitou permit, or you live in your home and qualify, you own a genuinely scarce asset in a world-class destination market: the Incline, the Cog Railway, Garden of the Gods, and a downtown that draws visitors year-round. Sun Mountain Stays is the founder-led local operator that manages it to that standard, and tells you the truth about the rules.
See common questionsWhat's included
Full-service management for a scarce, high-value permit.
A capped market means every permitted night matters. We run the guest experience, the property, the revenue strategy, and the owner relationship so a Manitou permit performs like the asset it is.
Guest
- Guest screening
- 24/7 guest communication
- Review management
- Emergency response
Property
- In-house cleaning & turnovers
- Vendor coordination
- Restocking oversight
- Quality control inspections
Revenue
- Dynamic pricing (market data-driven)
- Listing optimization
- Destination-demand strategy
- Channel strategy
Compliance & owner
- Zero-lapse annual permit renewals
- Lodging-tax handling
- Owner reporting & transparency
- Honest guidance on the cap
Where we operate
Manitou Springs and the westside corridor.
Manitou is compact and walkable, and location within it drives demand. We manage permitted short-term rentals across the town and the adjoining westside.
- Historic Downtown ManitouWalkable to shops, galleries, and restaurants; top leisure demand
- Ruxton AvenueBase of the Cog Railway and the Manitou Incline
- Manitou Avenue corridorThe main artery, minutes from every attraction
- Crystal HillsElevated homes with Pikes Peak and canyon views
- Cañon / PawneeQuiet residential pockets close to the trailheads
- Westside (Colorado Springs edge)Adjoining west Colorado Springs, minutes from Manitou and Garden of the Gods
Hold a permit just outside Manitou, in west Colorado Springs or Old Colorado City? We manage there too. Reach out and we will read your specific location honestly.
Why a Manitou permit is different
The cap is not the problem. It is the moat.
In most markets, anyone can add supply next door and compete your rate down. Manitou is the opposite. The two percent cap means the number of legal short-term rentals is fixed and small, while demand from the Incline, the Cog Railway, and Garden of the Gods keeps coming. If you hold a permit, scarcity works in your favor, as long as the property is run to a standard that earns the reviews and the repeat demand. That is the job we do, and it matters more here than almost anywhere in the region.
- Supply is legally capped at ~2% of housing, so competition cannot flood in
- Year-round destination demand: the Incline, Cog Railway, Cave of the Winds, Garden of the Gods
- A permit is scarce and does not transfer, so the ones in use are genuinely limited
- Owner-occupied hosts get a professional operation without giving up living in their home
STR permits & the cap
The honest truth about Manitou Springs short-term rental rules.
Most sites will not tell you this plainly, so we will. Manitou Springs strictly limits short-term rentals. Here is the summary, and you should always confirm the current cap status directly with the city before making any plans.
Manitou Springs caps the total number of short-term rentals at two percent of the city's residential structures (roughly 56 units against the 2013 base), and it will not accept new applications once that cap is full. All new short-term rental permits must be owner-occupied, meaning the owner lives in the home at least 185 days a year. A permit is issued to the specific owner, does not run with the property, must be renewed annually, and expires when the property is sold or transferred. The rules are set by Ordinance 1416 (Chapter 18.89, Vacation Rentals).
- Total STRs capped at 2% of residential structures; no new applications accepted when the cap is full
- All new permits must be owner-occupied (owner present at least 185 days per year)
- Non-owner-occupied investment STRs are not permitted under the new-permit rules
- Permit is tied to the owner, not the property, and expires on sale or transfer
- Annual renewal required or the permit is revoked
- Governed by Ordinance 1416, Chapter 18.89 (Vacation Rentals)
This is a general summary based on publicly available information and is not legal advice. The cap status, fees, and rules change. Always verify current requirements with the City of Manitou Springs Planning Department or at manitouspringsco.gov before listing or buying with STR intent.
Local market
Scarce supply, destination demand.
Manitou is a genuine destination: the Manitou Incline, the Pikes Peak Cog Railway, Cave of the Winds, and Garden of the Gods next door draw visitors across every season, not just summer. Because the city caps supply, a permitted rental faces far less competition than an equivalent home in an open market. Published tools like AirDNA and Rabbu show Manitou-area benchmarks, but the real story is scarcity: a well-run, permitted Manitou STR is a rare asset. Revenue still varies by property, location, and management quality. We pull current data for your specific address before we ever project a number.
Common questions
Manitou Springs short-term rentals, answered straight.
Can I start a new short-term rental in Manitou Springs?
Only under narrow conditions. New Manitou STR permits must be owner-occupied, meaning you live in the home at least 185 days a year, and the city will not issue any new permit once the total reaches its 2% cap (roughly 56 units). A non-owner-occupied investment short-term rental is not permitted under the new-permit rules. Before you plan or buy, confirm the current cap status with the City of Manitou Springs.
Does a Manitou Springs STR permit transfer when I sell the home?
No. The permit is issued to the specific owner, not the property, and it expires when the home is sold or transferred. A buyer cannot assume it, and would need to qualify and apply on their own, subject to the cap. This is one of the most important and least understood facts about the Manitou market.
Do you manage existing permitted Manitou Springs rentals?
Yes, that is exactly who we serve here: owners who already hold a Manitou permit, and owner-occupied hosts who qualify. We run the full operation, guests, in-house turnovers, dynamic pricing, and owner reporting, and we keep the annual permit renewal on time so it never lapses.
How is Manitou Springs different from Colorado Springs for STRs?
They are separate cities with separate rules. Colorado Springs runs a permit system through its own portal with both owner-occupied and, in some zones, non-owner-occupied permits. Manitou is far stricter: a hard 2% cap, owner-occupancy required for new permits, and no transfer on sale. If your property is just over the line in west Colorado Springs or Old Colorado City, the Colorado Springs rules apply instead.
Is a Manitou short-term rental still worth it given the cap?
For a permitted property, often yes, and the cap is a large part of why. Capped supply plus year-round destination demand means a permitted, well-run Manitou rental competes against a fixed, small pool rather than an ever-growing one. The value is in holding and operating the permit well, not in adding new ones.
How do I find out if the Manitou permit cap is currently open?
Contact the City of Manitou Springs Planning Department or check the Short-Term Rental Operations page at manitouspringsco.gov. The cap status can change year to year, so we always point owners to the source rather than guess.
Book your walkthrough
Let's see if we're the right fit.
Tell us about your property, even if you already have a manager. If we're a match, we'll reach out to book your free, on-site walkthrough.
237 STRs operated73 clientsNo long lock-in
“One of the best decisions I made for my property.” – Daniel, Colorado Springs
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