Cambridge has no STR bylaw. No license. No principal residence rule. No night limit. No inspections. No registration number on your listing. If you're looking for a place to Airbnb in the Waterloo Region without regulatory headaches, Cambridge is it.
What makes this especially interesting is the contrast with its neighbours. Cambridge, Kitchener, and Waterloo are the "tri-cities" that make up the Region of Waterloo, and all three have taken completely different approaches to short-term rentals. Here's everything you need to know.
Current Rules: The Short Version
Here's what every Cambridge host wants to know upfront:
The only tax that applies to STR operators is the 4% Regional MAT, and Airbnb handles that automatically. Beyond that, you're operating in one of Ontario's most permissive STR environments.
No License or Registration Required
Unlike Toronto, Mississauga, Waterloo, Hamilton, and most other regulated Ontario cities, Cambridge has no licensing requirement for short-term rental operators.
This means:
- No application to file with the city
- No fees to pay for a permit or license
- No registration number to display on your listing
- No annual renewal process
- No inspections (electrical, fire, or building code) specific to STRs
- No criminal record check required
You can list your property on Airbnb, VRBO, or any booking platform without municipal approval. There is also no principal residence requirement, so investment properties, secondary homes, and multi-property operations are all permitted.
The Tri-City Contrast: Three Cities, Three Approaches
This is the most interesting STR story in Ontario right now. Cambridge, Kitchener, and Waterloo share borders, share a regional government, share the same 4% MAT, and locals treat them as one metro area. But their Airbnb rules are completely different.
If you're deciding where to buy an investment property in the region, this matters. A property in Waterloo requires licensing, inspections, owner-occupancy (for low-rise buildings), and caps you at 275 nights. The same property across the border in Cambridge or Kitchener? No restrictions at all.
For the full breakdown, see our Waterloo Airbnb rules guide and Kitchener Airbnb rules guide.
Zoning: The Bed and Breakfast Question
Here's the one nuance worth understanding. Cambridge's Zoning By-law (No. 150-85) does define a "bed and breakfast" as a use:
"A single-detached dwelling in which no more than three guest rooms are made available by the resident of the said dwelling for the temporary accommodation of the traveling public." Cambridge Zoning By-law No. 150-85
The zoning bylaw does not define "short-term rental" as a separate use category. This creates a grey area:
- Renting rooms in your home while you live there could fall under the B&B definition (limited to single-detached homes, max 3 guest rooms)
- Renting an entire home, condo, or apartment as a whole-unit Airbnb is not explicitly addressed in zoning
In practice, Cambridge has not enforced zoning restrictions against Airbnb operators. Hundreds of listings operate across the city without zoning challenges. But it's worth knowing that the formal zoning framework hasn't caught up to the reality of modern short-term rentals.
The 4% Regional MAT
The one tax that applies: the Region of Waterloo collects a 4% Municipal Accommodation Tax on short-term rentals across the entire region.
Here's what you need to know:
- Rate: 4% of the nightly booking rate (including cleaning fees)
- Applies to: Reservations of 29 nights or fewer
- Who collects it: Airbnb collects and remits automatically on platform bookings
- Direct bookings: If you take bookings outside of platforms, you're responsible for collecting and remitting the 4% yourself
- Coverage: Cambridge, Kitchener, Waterloo, Woolwich, Wellesley, and Wilmot
On a $150/night booking, that's $6 per night. Compare that to Toronto's 8.5% ($12.75 per night) or Oshawa's 5% ($7.50). It's on the lower end of Ontario MAT rates.
What Rules DO Apply
No STR bylaw doesn't mean no rules. Cambridge's general municipal bylaws apply to every property, including those used for short-term rentals.
Noise Bylaw (032-04)
Cambridge enforces noise restrictions. Guest parties at 2 AM will generate complaints, and bylaw officers will respond. Set clear quiet hours in your house rules and enforce them.
Property Standards
Your property must meet the city's property standards bylaw covering structural safety, maintenance, and general upkeep. Neighbour complaints about a poorly maintained property can trigger inspections.
Lot Maintenance
Yard cleanliness, grass and weed control, and exterior upkeep are all enforceable. Keep your property looking sharp, especially if you're managing remotely.
Rented Accommodation (036-04)
This bylaw requires adequate heating for rental units. If you're hosting in winter, your heating system must keep the unit at a livable temperature.
Fire Code and Building Code
Ontario's Fire Protection and Prevention Act and the Building Code apply to every dwelling. Smoke detectors, carbon monoxide detectors, and proper bedroom egress are all required regardless of whether STR-specific bylaws exist.
Condo Rules
If your property is in a condo, the corporation's declaration and rules may restrict or prohibit short-term rentals even though the city doesn't. Always check your condo docs before listing.
Cambridge Market Snapshot
Cambridge is a growing STR market with solid demand from business travelers, university visitors (Conestoga College has a Cambridge campus), and tourists exploring the Grand River valley.
Top performers (top 10% of listings) earn $3,500+ per month. The key to reaching that tier: professional photos, dynamic pricing, fast response times, and strong reviews. Or, you know, let us handle that for you.
Tax Obligations
No municipal STR regulations doesn't mean no taxes. Federal and provincial obligations still apply:
Tips for Cambridge Hosts
- Get proper insurance. No city requirement doesn't mean you should skip it. Carry at least $2,000,000 in liability coverage that explicitly covers short-term rental activity. One guest injury without coverage could be financially devastating.
- Check your condo declaration. If you're in a condo, the corporation's rules can prohibit STRs regardless of city policy. Read your declaration and rules before listing.
- Be a good neighbour. Cambridge hasn't regulated STRs because the issue hasn't reached critical mass. Noise complaints, parking issues, and garbage problems are exactly what triggers cities to act. Keep your guests in line and you keep the regulatory status quo.
- Register for HST if you're earning over $30K. The CRA threshold is $30,000 in gross revenue across all your STR properties. Most active full-time hosts hit this. Register proactively.
- Know your tri-city borders. If you're buying an investment property, confirm it's actually in Cambridge and not Kitchener or Waterloo. While Kitchener is also unregulated, Waterloo has strict rules. Municipal boundaries matter.
- Price for the market. Cambridge ADRs average $108 to $119/night. You can beat those numbers with professional photography, a well-stocked property, and dynamic pricing tools that adjust rates based on demand, events, and seasonality.
- Keep records. Even without a licensing requirement, maintain booking records, guest communications, and financial documentation for at least 6 years. Good records make tax filing easier and protect you if regulation is introduced later.
Official Resources
City of Cambridge
- City of Cambridge
- Municipal By-Law Compliance Team
- Bylaw Enforcement: (519) 623-1340 ext. 7907 or bylaw@cambridge.ca
Region of Waterloo
Ready to list your Cambridge property on Airbnb? Sign up through our link and get a free consultation on maximizing your rental income.
Sources: City of Cambridge Zoning By-law No. 150-85, Region of Waterloo MAT program, Cambridge Municipal By-Law Compliance Team. Regulations change frequently. Verify current rules with the City of Cambridge.
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Common Questions From Cambridge Hosts
Do I need a license to Airbnb in Cambridge?
No. Cambridge has no short-term rental licensing bylaw, registration requirement, or permit system. You can list your property on Airbnb, VRBO, or any platform without municipal approval.
Can I Airbnb my investment property in Cambridge?
Yes. There is no principal residence requirement in Cambridge, so investment properties, secondary homes, and multi-property portfolios are all permitted for short-term rental use. This is a major advantage over most regulated Ontario cities.
Is there a night limit for Airbnb in Cambridge?
No. There is no annual night cap. You can rent your property 365 nights per year. Compare that to Toronto (180 nights), Waterloo (275 nights), Burlington (183 nights), and Oshawa (180 nights).
Do I need to pay Municipal Accommodation Tax (MAT) in Cambridge?
Yes. The Region of Waterloo collects a 4% MAT on short-term rentals (29 nights or fewer) across Cambridge, Kitchener, and Waterloo. Airbnb collects and remits this automatically on platform bookings. For direct bookings, you're responsible for collecting and remitting the 4% yourself.
How does Cambridge compare to Kitchener and Waterloo for Airbnb?
Three cities, three approaches. Cambridge and Kitchener are both unregulated with no license, no principal residence rule, and no night limits. Waterloo is the opposite: it requires a Class B license, owner-occupancy for low-rise buildings, limits you to 275 nights per year, and caps rentals at 4 bedrooms. All three share the same 4% regional MAT.
What insurance do I need for an Airbnb in Cambridge?
There is no city-mandated insurance requirement, but you should carry at least $2,000,000 in liability insurance that explicitly covers short-term rental activity. Standard homeowner's insurance typically excludes commercial guest activity. Airbnb's Host Protection Insurance supplements but does not replace your own policy.
Is Cambridge considering STR regulations?
No. A Region of Waterloo-wide engagement on STR regulation concluded with a Council decision on June 23, 2025 declining to pursue STR licensing across Cambridge, Kitchener, and Waterloo. The Region chose to prioritize existing property standards, noise, and zoning enforcement instead of creating an STR licensing framework. This can be revisited if complaint volumes shift, but as of early 2026 there is no active consultation, staff report, or public process.
Do I need to collect HST on my Airbnb income in Cambridge?
If your total STR revenue exceeds $30,000 per year across all properties, you must register for HST (13%) and charge it on bookings. Below that threshold, registration is optional. Airbnb collects and remits HST automatically on platform bookings if you provide your HST number.
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