St. Catharines is the largest city in the Niagara Region, home to Brock University and positioned between Toronto and Niagara Falls. STR demand comes from visiting parents, wine tourists, and travelers using it as a Niagara base.
The city's By-law 2023-060 creates a regulated STR market with a demerit point system and specific principal residence requirements. It includes some unique requirements like electrical certificates. Here's the complete breakdown.
What Counts as a Short-Term Rental?
St. Catharines uses a 28-day threshold:
"Short-term rental means the use of a dwelling unit, or portion thereof, for temporary accommodation for a period of twenty-eight (28) consecutive days or less, in exchange for payment." St. Catharines By-law 2023-060 § Definitions
Key elements:
- 28 days or less - rentals of 29+ days aren't STRs
- In exchange for payment - free stays aren't regulated
- Whole unit or portion - covers both entire-home and room rentals
- Temporary accommodation - transient guests, not tenants
The Principal Residence Requirement
St. Catharines defines principal residence with specific criteria:
"Principal residence means the dwelling unit where a person resides for at least one hundred and eighty-three (183) days per calendar year." St. Catharines By-law 2023-060 § Definitions
The 183-day rule means:
- Must be your primary home - where you live most of the year
- 183 days = just over half the year - clear, measurable standard
- One principal residence per person - can't claim multiple
- Investment properties excluded - secondary properties don't qualify
Investment Properties Don't Qualify
You cannot operate an STR from an investment property, vacation home, or any dwelling that isn't your principal residence (183+ days/year). For investment properties in St. Catharines, consider mid-term rentals of 29+ consecutive days.
License Requirements
St. Catharines requires licensing for all STR operators:
Application Requirements
- Proof of principal residence (183+ days/year)
- Electrical safety certificate from licensed contractor
- $2,000,000 liability insurance
- Designated agent within 1-hour response time
- Floor plan showing rental areas
- Fire safety compliance documentation
License Terms
The Demerit Point System
St. Catharines uses a graduated enforcement system:
"A licensee who accumulates five (5) demerit points shall have their licence suspended for three (3) months. Ten (10) points results in revocation. Fifteen (15) points results in revocation with no right of appeal." St. Catharines By-law 2023-060
Different violations carry different point values:
- Minor violations (documentation issues): 1-2 points
- Moderate violations (noise, parking): 2-3 points
- Serious violations (safety issues, overcrowding): 4-5 points
The escalating consequences mean:
- 2-3 moderate violations = suspension
- 4-5 moderate violations = revocation
- Points don't reset - they accumulate over time
Electrical Certificate Requirement
St. Catharines has a unique electrical safety requirement:
"An electrical safety certificate issued by a licensed electrical contractor shall be submitted with the application." St. Catharines By-law 2023-060
This requirement:
- Must be from a licensed electrical contractor - not a home inspector
- Required for initial application
- Verifies electrical safety of the rental property
- Separate from ESA inspection - different from Electrical Safety Authority
Insurance Requirements
St. Catharines requires standard STR insurance coverage:
"The licensee shall maintain liability insurance of no less than two million dollars ($2,000,000) covering the short-term rental operation." St. Catharines By-law 2023-060
Key requirements:
- $2,000,000 minimum liability per occurrence
- Must specifically cover STR operations
- Certificate required with application
- Maintain continuously - gaps violate the license
Municipal Accommodation Tax (MAT)
St. Catharines charges 4% MAT as of January 1, 2025 (increased from the initial 2% rate that applied January 1, 2023 through December 31, 2024):
For most hosts using Airbnb, the 4% is collected automatically. For direct bookings, you're responsible for collecting from guests and remitting to the City.
Fines and Penalties
Beyond the demerit system, St. Catharines has monetary penalties:
Staying Compliant in St. Catharines
With the demerit system, every violation counts. Here's how to stay compliant:
- Get your electrical certificate first. This requirement catches many hosts off-guard. Schedule a licensed electrical contractor before starting your application.
- Track your demerit points. Know where you stand at all times. Keep records of any violations or warnings. Two moderate violations can trigger a suspension.
- Set up 1-hour response capability. Designate an agent who can actually respond within 1 hour. Don't name someone who might be unavailable when needed.
- Document your principal residence. Keep records proving you live at the property 183+ days per year - utility bills, tax filings, driver's license.
- Prevent noise violations. Noise complaints accumulate demerit points quickly. Set clear quiet hours and communicate them to every guest.
- Maintain your insurance. An insurance lapse can trigger violations. Set up auto-renewal and calendar reminders.
- Remember the 2-year renewal. St. Catharines has shorter license terms than some cities. Mark your renewal date and start the process early.
- Consider mid-term for flexibility. 29+ day bookings aren't STRs. Use this for longer stays or during slower seasons.
Official City of St. Catharines Resources
Always verify current rules with official sources:
Official Links
- City of St. Catharines - Short-Term Rental Licensing
- City of St. Catharines - By-laws
- Licensing Services: 905-688-5600
Common Questions From St. Catharines Hosts
Can I Airbnb my investment property in St. Catharines?
No. St. Catharines requires STRs to be in your principal residence - where you live at least 183 days per year. Investment properties don't qualify. For investment properties, consider mid-term rentals (29+ days) which fall outside the STR definition.
How does the demerit point system work?
You accumulate points for violations. At 5 points, your license is suspended for 3 months. At 10 points, it's revoked. At 15 points, it's revoked with no right to appeal. Points remain on your record for 2 years from the date of violation.
How long is the license valid?
2 years - one of the shorter terms in Ontario. You'll need to renew more frequently than in some other municipalities. Mark your calendar and start renewal well before expiration.
What insurance do I need?
$2,000,000 liability insurance minimum that specifically covers short-term rental operations. Standard homeowner's insurance won't work - you need specialized STR coverage or an endorsement.
Do I need an electrical inspection?
Yes. St. Catharines requires an electrical safety certificate from a licensed electrical contractor for your STR application. This is an extra requirement not all municipalities have.
How quickly must I respond to issues?
You or your designated agent must be able to attend the property within 1 hour if needed. You must designate someone who can meet this response time requirement.
What is the current St. Catharines MAT rate and how is it paid?
4% per night, effective January 1, 2025 (increased from 2% which applied from January 1, 2023 through December 31, 2024). The MAT applies to stays of 30 days or less at hotels, motels, B&Bs, and short-term rentals. Accommodation providers must collect MAT from guests and remit using the City's Remittance Form. The City of St. Catharines does not publicly confirm whether Airbnb auto-collects and remits the 4% MAT on its behalf, so host should verify directly with Airbnb's platform settings or contact the City's Finance Department at 905-688-5600 to confirm. For direct bookings (not through platforms), hosts must collect and remit the 4% themselves.
Can I rent rooms in my principal residence?
Yes. As long as it's your principal residence (183+ days per year), you can rent the whole home when you're away or rent individual rooms. Both require a license.
This article is for informational purposes only and does not constitute legal advice. Bylaw and regulation details change frequently. Always verify current rules directly with your local municipality before making hosting decisions.
Need Help With St. Catharines STR Compliance?
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