Airbnb is changing the way travelers see the world. In Arizona, like many other states, there is confusion about the best way to regulate Airbnb. Municipalities across the world have approached Airbnb in different ways, and Arizona’s cities and counties are no exception: Phoenix adheres to a laissez-faire attitude, Pima County is hunting Airbnb hosts, and Jerome thrusts Airbnb into the center of litigation. Each municipality needs to adopt clear regulations to ensure that Airbnb hosts understand how Airbnb is governed and interacts with local laws. Local governments will benefit from this regulation because they will be better able to ensure that Airbnb operates safely, and they will benefit from increasing Airbnb profits by receiving additional tax revenue. There are two possibilities for regulating Airbnb in Arizona: Municipalities can fit Airbnb into their current regulations or enact new legislation to govern short-term rentals. Ultimately, creating a new regulatory system is the superior method and will maximize benefits for both municipalities and Airbnb users.