Hi, I’m Michael McVety, President of Red Fortress Property Management — and if you own rental property in Cape Coral or the greater Southwest Florida area, this is an update you can’t afford to miss.
A new law, set to take effect in January 2026, will dramatically change how landlords in Cape Coral must register their rental properties. Whether you manage annual rentals, seasonal short-term stays, or own investment homes in the city, failing to comply could cost you $1,000 or more in penalties.
Let’s break down what’s changing, why it matters, and — most importantly — how to protect yourself from fines and confusion.
A Quick Backstory: How We Got Here
This isn’t the first time Cape Coral has introduced rental property registration requirements. Back in 2021, I was part of a video call with local officials from Code Enforcement, along with another property manager and a real estate attorney. At the time, the city expressed the need for a rental registry to ensure they could contact property owners when issues arose — things like evictions, trash accumulation, or code violations.
We were told it was a one-time registration, and sure enough, the initial fee was just $35, launched in October 2021. Red Fortress — like many property managers — complied and registered all applicable rental properties under this original ordinance.
But, as many landlords suspected back then, “one-time” didn’t stay that way for long.
What’s Changing in 2026: New Rental Registration Rules
In late 2025, the Cape Coral City Council passed new legislation that significantly changes the rental registration process — and introduces steeper financial consequences for non-compliance.
Effective January 1, 2026:
Annual Registration is Now Mandatory for all rental properties in Cape Coral — both short-term and long-term.
Annual Rental Fee:
$35 per unit for long-term (annual) rentals
$350 per unit for short-term rentals (vacation, seasonal)
Violations & Fines:
$1,000 for the first offense
$2,000 for the second
Additional late fees and escalating penalties apply
What Properties Must Be Registered?
The ordinance applies to most non-commercial rental properties in Cape Coral, including:
Single-family homes
Duplexes and small multi-unit dwellings (under four units)
Seasonal or short-term rentals (Airbnb, VRBO, etc.)
Federal or commercial properties are generally excluded.
Note: You can’t break up a single-family home into multiple units to avoid the registration — the city made that very clear.
Why This Law Matters for Southwest Florida Landlords
This law doesn’t just affect paperwork — it impacts your bottom line, your legal exposure, and your ability to operate rental properties efficiently.
If you manage multiple units or are an out-of-state owner, the new process demands accurate, timely submissions or you risk being blindsided by steep fines.
At Red Fortress, we’ve always handled compliance for our clients. But this year, with changes to the process and limited clarity from city staff, we’ve had to dig deeper and proactively reach out to city departments (more than once) just to understand enforcement protocols. They are still not sure.
What the New Registration Process Looks Like
Here's a simplified breakdown of how the updated registration works:
Part 1: Property Owner Info
You’ll need to provide:
Full legal name
Email address
Contact phone number
Even if a property manager handles things, the owner’s contact info is still required.
Part 2: Property Manager (if applicable)
Property managers like Red Fortress can still file on your behalf, but both parties must be clearly listed.
Part 3: Property Details
For each property, you must submit:
Full address
Number of units
Rental type (annual vs. short-term)
Association or HOA info (if applicable)
“We Were Told It Would Be One-Time…”
“When the city first introduced this, we were told the $35 fee was a one-time thing. Fast forward to today, and now owners are looking at annual fees, more paperwork, and serious fines. We want to help landlords navigate these changes without surprises.”
— Michael McVety, Red Fortress Property Management
What We Still Don’t Know
As of December 2025, there are still some key unanswered questions:
How will invoices be delivered?
(To owners, property managers, or both?)When will invoices be sent?
(Early January? Mid-January?)How will late payments be enforced?
(What counts as a violation?)
We’ve contacted the city multiple times and are awaiting clarity. As always, Red Fortress will stay on top of these updates so our clients don’t get caught off guard.
What Landlords Should Do Now
Here’s your 5-step action plan to stay compliant and avoid fines in 2026:
Gather Your Property Info
Prepare your ownership documents, rental property addresses, and tenant details.Confirm Property Type
Determine whether your rentals are classified as annual or short-term (important for fee differences).Decide Who Will File
If you work with a property manager, ask if they will handle registration on your behalf.Register Early in January
Don’t wait until the last minute — you may only have 30 days once invoices are issued.Stay in the Loop
Subscribe to updates or work with a local property manager who is monitoring city-level changes.
FAQ: Cape Coral Rental Registration 2026
Q: Is the $35 fee per unit or per property?
A: Per property. If you have a duplex, that’s $35 per year for long-term rentals.
Q: What if I don’t register in time?
A: You may be fined $1,000 for the first offense, with increasing penalties after that.
Q: Does this apply to vacation rentals?
A: Yes — and short-term rentals carry a higher fee of $350 per property annually.
Q: Can my property manager handle this for me?
A: Yes, but the city still requires the owner’s full contact details as part of the form.
Q: Will the city send invoices automatically?
A: We’re still waiting for confirmation from the City of Cape Coral.
Final Thoughts
The 2026 Cape Coral rental registration law is no small shift — it’s a signal that local governments are tightening the reins on landlords and investors.
If you’re a property owner in Southwest Florida, now’s the time to get proactive. Red Fortress Property Management is committed to helping our clients stay compliant, avoid fees, and protect their investments.
Have questions? Contact me directly at mike@redfortresspm.com.
Let’s make 2026 a year of peace of mind, not penalties.
