Chicago vs Detroit

Illinois Legal but Limited | Michigan Legal but Limited

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

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
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.

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 →

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 Chicago or Detroit?
Chicago is classified as "Legal but Limited" while Detroit is "Legal but Limited." Chicago's permit fee is $250 annual registration fee compared to $500 annual license fee in Detroit.
Which city has higher STR taxes — Chicago or Detroit?
Chicago charges 10.5% combined city tax (4.5% Hotel Accommodations + 6% Shared Housing Surcharge) + 1% Cook County, 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?
Chicago: $1,500–$5,000 per offense; each day is a separate offense. Detroit: Up to $1,000–$1,200 per violation for unlicensed operation.