Renting Your Boulder Home for the 2027 Sundance Film Festival: A Homeowner’s Guide

WE ARE SO LUCKY!!! The Sundance Film Festival is coming to Boulder January 21–31, 2027, bringing filmmakers, production teams, industry professionals, journalists, volunteers, and film lovers from around the world.

With thousands of visitors expected and a limited supply of hotel rooms, private homes, condominiums, apartments, and guest rooms will play an important role in making the festival successful. For Boulder homeowners, this creates a unique opportunity to generate rental income while helping the community welcome Sundance.

However, successful rentals will depend on appropriate licensing, thoughtful preparation, and realistic pricing.

Why Boulder Needs Additional Festival Housing

Although Sundance attracts celebrities and major studios, most attendees aren’t traveling with unlimited budgets. The majority are independent filmmakers, production teams, nonprofit staff members, journalists, volunteers, and film enthusiasts. Many share accommodations to make attending financially possible.

Visit Boulder reports that local hotels have committed approximately 70% of their room inventory to the festival, but private residences will still be important for accommodating groups, longer stays, and visitors who need kitchens, workspaces, or multiple bedrooms. Additional housing within Boulder also helps keep visitor spending local while reducing commuting, traffic, and environmental impacts. Visit Boulder explains the anticipated lodging demand.

Homeowners may rent:

• An entire house, townhome, condominium, or apartment

• A second home or non-owner-occupied property

• A vacant licensed long-term rental

• One or more bedrooms within a home

• A tenant-occupied property, with the owner’s consent

What Could Your Property Rent For?

The most important pricing lesson from Park City is that festival demand doesn’t make every property a luxury rental. While exceptional homes can earn premium rates, most Sundance attendees are still comparing properties carefully and working within defined budgets.

Park City’s January 2025 vacation-rental market reported an average daily rate of approximately $661 across properties. Boulder homeowners should use comparable historical rates, current inventory, location, bedroom count, amenities, and confirmed booking activity—not speculative asking prices—to establish their rate.

The following are broad planning ranges rather than guaranteed rental values:

Property type	Potential nightly range
Private bedroom or modest studio	$200–$450
One- or two-bedroom condo or apartment	$400–$1,000
Standard single-family home	$500–$1,500
Larger or highly desirable home	$1,500–$2,500
Exceptional luxury or premium canyon property	$2,500–$5,000+

A well-located three-bedroom home renting for $900 per night for ten nights, for example, would produce $9,000 in gross rental revenue before taxes, fees, management expenses, cleaning, and preparation costs.

Factors That Could Increase Demand

Your property may command a higher rate if it offers:

• Walkability to downtown Boulder, Pearl Street, or festival venues

• Convenient access to public transportation

• Multiple legal bedrooms and bathrooms

• Off-street parking

• Reliable high-speed internet and workspaces

• Updated, comfortable furnishings

• A well-equipped kitchen

• Professional cleaning

• Flexible arrival and departure dates

• Space for a film or production team to stay together

Avoid the Overpricing Trap

Early listings priced at several thousand dollars per night may attract attention, but an asking price isn’t the same as a confirmed booking.

As more homeowners obtain licenses and list their properties, visitors will have additional choices. A home priced significantly above comparable Park City accommodations may sit vacant or require a late price reduction.

A sound strategy is to:

1. Compare similar properties by location, size, and bedroom count.

2. Start with a defensible rate based on Park City history and Boulder’s January market.

3. Monitor inquiries, saves, and booking activity.

4. Reevaluate the price if the listing receives little qualified interest.

5. Focus on the property’s total value rather than simply pursuing the highest possible nightly rate.

   
   

Boulder’s Festival Lodging Rental License

Boulder created a special license allowing eligible properties to participate in city-approved festival events without becoming year-round short-term rentals.

The Festival Lodging Rental License may be used for up to 29 days per calendar year. It is available to different ownership structures, including owners of non-primary residences and certain properties that already hold long-term rental licenses.

Current License Costs: Checklist free printable here.

Existing property status	Festival license	Business license	Total
No current rental license	$190 for four years	$25	$215
Valid long-term rental license	$75 for one year	$25	$100
Existing short-term rental license	No additional festival license required	Existing requirements apply	Varies

Annual recertification isn’t currently required for the Festival Lodging Rental License.

The city advises that applications can take two to six weeks to process. Importantly, homeowners may not advertise or offer the property as a festival rental until the license has been issued. Applications are already open through the City of Boulder’s Festival Lodging Rental License page.

Basic Requirements

Applicants must generally:

• Complete the Festival Lodging Rental License application

• Provide ownership or owner-consent documentation

• Submit a safety affidavit and current contact information

• Verify working smoke and carbon monoxide detectors

• Use only legal, habitable sleeping areas

• Follow Boulder’s occupancy and property-maintenance standards

• Obtain the required business license

• Collect and remit applicable short-term lodging taxes

• Limit festival rentals to the dates authorized by the city

The license may be used during the approved festival period, as well as the city-authorized window extending up to ten days before and nine days after the festival.

If your property is outside Boulder city limits, different Boulder County or municipal regulations may apply.

Here are all of the Sundance Film Festival Venues for 2027

Additional Rules to Check

A city-issued license doesn’t automatically override private restrictions. Before advertising your property, review:

• HOA or condominium association rules

• Your homeowner’s insurance policy

• Mortgage or deed restrictions

• Landlord approval if you’re a tenant

• Parking and occupancy limits

• Platform requirements

• Local lodging and sales-tax obligations

Contact your insurance provider to determine whether you need short-term rental coverage, an endorsement, or a separate policy. Standard homeowners insurance may exclude certain rental-related claims.

Preparing Your Home for Sundance Guests

Festival visitors generally need comfort, reliability, and convenience more than elaborate décor.

Before photographs are taken, consider:

• Removing personal photographs, medications, financial records, and valuables

• Locking owner-only items in a closet, cabinet, or off-site storage unit

• Decluttering bedrooms, bathrooms, closets, and common spaces

• Providing quality linens and towels

• Confirming that heating, plumbing, appliances, and Wi-Fi work properly

• Clearly labeling parking spaces, thermostats, and household systems

• Creating simple check-in, checkout, and emergency instructions

• Hiring professional cleaners before and after the stay

• Arranging a local contact who can respond promptly during the rental

Winter preparation is especially important. Guests should receive clear information about snow removal, icy walkways, fireplaces, hot tubs, heating systems, and any wildlife or mountain-access considerations.

Checklist free printable here.

When Will Guests Book?

Sundance housing demand is expected to arrive in waves:

• Spring and summer 2026: Festival regulars, industry professionals, and organizations begin securing accommodations.

• Fall 2026: Demand increases as filmmakers and production teams receive preliminary information.

• Late fall through January: The program announcement and ticket release bring a larger wave of filmmakers, press, and general attendees.

Some of the best festival relationships may become recurring. Sundance regulars often return to the same property when they have a positive experience, making fair pricing and strong hospitality especially valuable during Boulder’s first year.

Bonus: Could the Augusta Rule Apply?

The “Augusta Rule” refers to a federal tax provision that may allow qualifying homeowners to receive short-term rental income without reporting it as taxable rental income.

Under the IRS’s minimal-rental-use rule, if you use a dwelling as a residence and rent it for fewer than 15 days during the entire tax year, you generally:

• Don’t report the rental income on your federal income-tax return.

• Can’t deduct rental-related expenses as rental expenses.

This means a qualifying homeowner who rents a personal residence for 14 days or fewer could potentially receive that rental income without including it as federal taxable rental income. The rule is explained in IRS Topic No. 415.

Important details:

• The limit is fewer than 15 rental days for the entire year—not just Sundance.

• Renting for 15 days generally takes the property outside this particular exclusion.

• The property must qualify as a residence under IRS rules.

• The rent should reflect a reasonable fair-market rate.

• You should retain the rental agreement, payment records, comparable-rate documentation, and proof of the rental dates.

• Local licensing and lodging-tax obligations still apply, even if the income qualifies for the federal exclusion.

• Platform, cleaning, management, and preparation costs generally aren’t separately deductible as rental expenses when the income is excluded under this rule.

Tax circumstances vary, particularly for second homes, investment properties, trusts, LLCs, and homes rented at other times during the year. Homeowners should consult a qualified tax professional before relying on the Augusta Rule. This guide is educational and isn’t tax or legal advice.

Homeowner Action Checklist

•  Confirm that the property is located within the City of Boulder.

•  Review HOA, lease, insurance, and mortgage restrictions.

•  Apply for the appropriate rental and business licenses.

•  Wait until the license is issued before advertising.

•  Determine legal occupancy and sleeping capacity.

•  Establish a realistic Park City-aligned rental rate.

•  Photograph and market the property professionally.

•  Create a written rental agreement.

•  Arrange insurance, cleaning, snow removal, and local support.

•  Register for and understand applicable lodging taxes.

•  Track every rental day during 2027.

•  Discuss the Augusta Rule with a qualified tax advisor.

  Checklist free printable here.

  
  

Final Thoughts

The arrival of Sundance offers Boulder homeowners an unusual opportunity to earn meaningful rental income while supporting one of the world’s best-known independent film festivals.

The strongest results are likely to come from homes that are properly licensed, thoughtfully prepared, conveniently located, and priced according to actual market evidence. Keeping rates reasonably aligned with the festival’s Park City history will help attract qualified guests, reduce the risk of remaining vacant, and support Sundance’s long-term success in Boulder.

🏡 About Kelly McCallister

I’m Kelly McCallister, your trusted Boulder, Colorado REALTOR® with 8z Real Estate, helping buyers, sellers, and investors achieve their real estate goals with data-driven insight, local expertise, and seamless service.

With over $37+ million in closed volume since 2020, I specialize in Boulder County and the surrounding Front Range communities—including Boulder, Louisville, Niwot, Superior, Gunbarrel, and Longmont. If you’re evaluating how a Sundance rental could fit into your broader real estate or investment strategy, contact me directly to start the conversation.