Judge rules City of Fort Worth can keep banning short-term rentals from residential neighborhoods
The City of Fort Worth can continue enforcing its rules for short-term rentals, like Airbnb or Vrbo, thanks to a district court judge ruling in the city's favor in a lawsuit against its current ordinance.
Short-term rentals are banned from residential areas in Fort Worth. They're only allowed in mixed-use and most form-based, commercial, and industrial zoning districts. STRs also have to register with the city and pay the hotel occupancy tax.
"Keeping them out of residential neighborhoods where they're the most toxic is exactly the approach that we think makes sense," said David Schwarte, co-founder of the Texas Neighborhood Coalition, a group that opposes STRs in neighborhoods.
For the past two years, the City of Fort Worth has been fighting a legal challenge against its STR ordinance. A victory came in a recent court ruling that affirmed its authority to regulate them.
"I'm pleased to see the trend is allowing cities to protect citizens so that they can live in single-family neighborhoods," Schwarte said. "The 'party house problem' gets a lot of headlines, but the real problem is the disintegration of the neighborhood, as long-term residents are replaced with total strangers, who come in for a few nights and then leave."
Short-term rental operators say the fight is not over yet.
"We will be filing an appeal shortly," said Lauren Brady, a member of the Fort Worth Short Term Rental Alliance and one of 114 plaintiffs who filed the lawsuit against the city in 2023. "Our primary argument is that the city's ordinance is not constitutional under the Texas Constitution… There are already laws that exist that protect the health, safety, and welfare of Fort Worth citizens from noise violations, parking issues, trash buildup, those kinds of things. So the ordinance really is dual law. It's overkill."
Brady says the income she generates by short-term renting a property helps support a disabled family member.
"We're not just a big group of greedy investors that are money hungry," Brady said. "We are people. We are individuals, we are families, and we are local."
Reyne Telles, chief communications officer for the City of Fort Worth, sent this statement in response to questions from CBS News Texas about the recent ruling:
"The City of Fort Worth appreciates the court's ruling in the short-term rental litigation, which reinforces the city's authority to regulate STRs. This decision is significant not only for Fort Worth but also for municipalities across Texas that are facing similar issues. The court upheld the city's zoning ordinance, which establishes where short-term rentals are permitted or can be — and affirmed that when they are allowed, registration can be a requirement. The ruling underscores the city's commitment to maintaining the character of its neighborhoods and ensuring a balanced approach to land use. Fort Worth will continue to defend its position in any appeal and remains dedicated to policies that protect residents and support responsible short-term rental practices."
Dallas and Grapevine are currently facing similar lawsuits.
The City of Arlington was also sued over its ordinance that limited short-term rentals to the city's entertainment district, but an appeals court ultimately ruled in the city's favor.