Austin vs Detroit
Texas Legal but Limited | Michigan Legal but Limited
Disclaimer: General information only — not legal advice. Verify with your local government.
| Requirement | Austin, Texas | Detroit, Michigan |
|---|---|---|
| Legality Status | Legal but Limited | Legal but Limited |
| Permit Fee | $450/year (Type 2); $50/year (Type 1 homestead) | $500 annual license fee |
| Tax Rate | 15% Hotel Occupancy Tax (9% city + 6% state) | 6% Michigan use tax + 6% Detroit Accommodations Tax (12% combined) |
| Annual Day Limit | No limit | 90 days/year |
| Renewal Interval | Annual | Annual |
| Platform Remits Taxes | No — host must remit | Yes |
| Max Fine Example | $500–$2,000/violation; license revocation possible | Up to $1,000–$1,200 per violation for unlicensed operation |
| Verdict | Both cities have comparable STR regulatory environments. | |
Austin, Texas
Status Legal but Limited
Permit Fee $450/year (Type 2); $50/year (Type 1 homestead)
Tax Rate 15% Hotel Occupancy Tax (9% city + 6% state)
Day Limit No limit
Renewal Annual
Platform Tax No
Max Fine $500–$2,000/violation; license revocation possible
Detroit, Michigan
Status Legal but Limited
Permit Fee $500 annual license fee
Tax Rate 6% Michigan use tax + 6% Detroit Accommodations Tax (12% combined)
Day Limit 90 days/year
Renewal Annual
Platform Tax Yes
Max Fine Up to $1,000–$1,200 per violation for unlicensed operation
Both cities have comparable STR regulatory environments.
Austin Overview
Type 1 (owner-occupied) is allowed citywide. Type 2 (non-owner-occupied) licenses are no longer issued in residential areas — existing Type 2 licenses expire April 2027.
Full Austin guide →Detroit Overview
90-day annual rental cap; max 10 guests at any time; principal residence requirement. Liability insurance required and properties must pass safety inspection.
Full Detroit guide →Frequently Asked Questions
Is it easier to Airbnb in Austin or Detroit?
Austin is classified as "Legal but Limited" while Detroit is "Legal but Limited." Austin's permit fee is $450/year (Type 2); $50/year (Type 1 homestead) compared to $500 annual license fee in Detroit.
Which city has higher STR taxes — Austin or Detroit?
Austin charges 15% Hotel Occupancy Tax (9% city + 6% state), while Detroit charges 6% Michigan use tax + 6% Detroit Accommodations Tax (12% combined). Compare the full breakdown in the table above.
Which city has stricter fines for illegal short-term rentals?
Austin: $500–$2,000/violation; license revocation possible. Detroit: Up to $1,000–$1,200 per violation for unlicensed operation.