Austin vs Minneapolis

Texas Legal but Limited | Minnesota Legal with Permit

Disclaimer: General information only — not legal advice. Verify with your local government.

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
Minneapolis, Minnesota
Status Legal with Permit
Permit Fee $64 short-term rental registration fee
Tax Rate 6.875% state sales tax + up to 3% Minneapolis entertainment tax (~10% combined)
Day Limit No limit
Renewal Annual
Platform Tax Yes
Max Fine Up to $2,000 per violation; license revocation for repeated offenses

Minneapolis has more favorable STR regulations overall.

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 →

Minneapolis Overview

Owners limited to one STR property plus their homesteaded residence; buildings with 20+ units capped at 10% STR units. $300,000 liability insurance and neighbor notification required.

Full Minneapolis guide →

Frequently Asked Questions

Is it easier to Airbnb in Austin or Minneapolis?
Austin is classified as "Legal but Limited" while Minneapolis is "Legal with Permit." Austin's permit fee is $450/year (Type 2); $50/year (Type 1 homestead) compared to $64 short-term rental registration fee in Minneapolis.
Which city has higher STR taxes — Austin or Minneapolis?
Austin charges 15% Hotel Occupancy Tax (9% city + 6% state), while Minneapolis charges 6.875% state sales tax + up to 3% Minneapolis entertainment tax (~10% 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. Minneapolis: Up to $2,000 per violation; license revocation for repeated offenses.