Bulletin - Village of Lancaster, NY News Today
A new local law requires a permit and building code inspection for every short-term rental with fines of up to $1,000 a day once it takes effect in spring 2027


Village of Lancaster, NY Bans Non-Owner-Occupied Short-Term Rentals in Residential Districts
A new local law requires a permit and building code inspection for every short-term rental with fines of up to $1,000 a day once it takes effect in spring 2027
Photo from https://wendelcompanies.com/
The Village of Lancaster Board of Trustees in Erie County unanimously adopted a local law on November 9 that bans short-term rentals in the village's residential districts unless the property is the owner's principal residence and requires every short-term rental to hold an inspected village permit.
The rules take effect six months after enactment which puts the start in spring 2027 and will reach the roughly 11 rentals that Trustee John Mikoley estimates now operate in the village.


What the new short-term rental law changes

Permits, inspections and fees
Owners must file a notarized application with the Village Clerk listing bedrooms, occupancy limits, off-street parking, fire protection systems, exits, a floor plan and every website or agent used to advertise the unit.
Each new or renewal application triggers an inspection against the state fire and building code that costs $150 per dwelling unit while each re-inspection costs $75 and the separate application fee will be set later by board resolution.
Permits last three years and cannot be transferred, renewals are due at least 30 days before expiry and no more than three adults may occupy any one bedroom.


The proposed short-term rental law, revised October 14, adds a new Article XIV to the village zoning code covering permits, inspections, occupancy limits and fines. | Source: https://lancastervillageny.gov/
Penalties for operating without a permit
Every person with an ownership interest is jointly liable when a property fails to register or hosts guests without a valid permit which carries fines of $500 per day for a first offense and $1,000 per day for later offenses plus up to 15 days in jail with each day counted as a separate violation.
The village can also revoke a permit over false information, nuisance conduct or code violations, and owners may appeal a denial or revocation to the Village Board within 14 days.
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Why the village acted
Mikoley traced the law to a January 2024 resident complaint about a nearby rental after which the board started shaping the rules in 2025 and gathered resident feedback through its newsletter.
Nobody spoke for or against the law at the hearing, and the measure arrives as neighboring Cheektowaga requires hosts to hold a revocable town permit with the surrounding Town of Lancaster reserving its decision on a separate short-term rental law after a September hearing.
⦾ Effective date: Six months after enactment (spring 2027); exact date not yet announced
⦾ Permit required: Yes, a three-year village permit for every short-term rental
⦾ Primary residence requirement: Yes, in residential districts
⦾ Fees: $150 inspection per unit and $75 per re-inspection; application fee to be set by resolution
⦾ Occupancy limit: Three adults per bedroom
⦾ Penalty for non-compliance: $500 per day (first offense), $1,000 per day (subsequent), up to 15 days in jail
⦾ Platform responsibility: No; applicants must disclose every listing site
⦾ County tax: Hosts must also register with the Erie County Comptroller and collect the 3% occupancy tax
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