Chicago vs Dallas
Illinois Legal but Limited | Texas Restricted
Disclaimer: General information only — not legal advice. Verify with your local government.
| Requirement | Chicago, Illinois | Dallas, Texas |
|---|---|---|
| Legality Status | Legal but Limited | Restricted |
| Permit Fee | $250 annual registration fee | $285 registration fee |
| Tax Rate | 10.5% combined city tax (4.5% Hotel Accommodations + 6% Shared Housing Surcharge) + 1% Cook County | 13% Hotel Occupancy Tax (7% city + 6% state) |
| Annual Day Limit | No limit | No limit |
| Renewal Interval | Annual | Annual |
| Platform Remits Taxes | Yes | No — host must remit |
| Max Fine Example | $1,500–$5,000 per offense; each day is a separate offense | $500–$2,000/violation |
| Verdict | Chicago has more favorable STR regulations overall. | |
Chicago, Illinois
Status Legal but Limited
Permit Fee $250 annual registration fee
Tax Rate 10.5% combined city tax (4.5% Hotel Accommodations + 6% Shared Housing Surcharge) + 1% Cook County
Day Limit No limit
Renewal Annual
Platform Tax Yes
Max Fine $1,500–$5,000 per offense; each day is a separate offense
Dallas, Texas
Status Restricted
Permit Fee $285 registration fee
Tax Rate 13% Hotel Occupancy Tax (7% city + 6% state)
Day Limit No limit
Renewal Annual
Platform Tax No
Max Fine $500–$2,000/violation
Chicago has more favorable STR regulations overall.
Chicago Overview
Must be host's primary residence; buildings with 5+ units limited to no more than 6 STR units; Restricted Residential Zones and Prohibited Buildings List apply. $1M commercial general liability insurance required.
Full Chicago guide →Dallas Overview
Dallas banned non-owner-occupied STRs in residential single-family zoning districts effective April 2023. Owner-occupied or 'hosted' stays and multifamily/commercial zoning remain allowed with registration.
Full Dallas guide →Frequently Asked Questions
Is it easier to Airbnb in Chicago or Dallas?
Chicago is classified as "Legal but Limited" while Dallas is "Restricted." Chicago's permit fee is $250 annual registration fee compared to $285 registration fee in Dallas.
Which city has higher STR taxes — Chicago or Dallas?
Chicago charges 10.5% combined city tax (4.5% Hotel Accommodations + 6% Shared Housing Surcharge) + 1% Cook County, while Dallas charges 13% Hotel Occupancy Tax (7% city + 6% state). Compare the full breakdown in the table above.
Which city has stricter fines for illegal short-term rentals?
Chicago: $1,500–$5,000 per offense; each day is a separate offense. Dallas: $500–$2,000/violation.