Chicago vs Salt Lake City

Illinois Legal but Limited | Utah Effectively Banned

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
Salt Lake City, Utah
Status Effectively Banned
Permit Fee Contact city for current details
Tax Rate ~12.17% combined (state + local sales + county TRT + municipal TRT)
Day Limit No limit
Renewal Annual
Platform Tax Yes
Max Fine Contact city for current details; violations may incur daily fines

Chicago has more favorable STR regulations overall.

Permits & Licensing

Chicago charges $250 annual registration fee for STR licensing, while Salt Lake City charges Contact city for current details. Chicago renewal is annual, and Salt Lake City renewal is annual. Overall, Chicago has a more permissive regulatory environment (Legal but Limited) compared to Salt Lake City (Effectively Banned).

Tax Obligations

In Chicago, hosts pay 10.5% combined city tax (4.5% Hotel Accommodations + 6% Shared Housing Surcharge) + 1% Cook County. In Salt Lake City, hosts pay ~12.17% combined (state + local sales + county TRT + municipal TRT). Both cities benefit from automatic platform tax collection through Airbnb and similar services, simplifying compliance for hosts.

Day Limits & Restrictions

Neither city imposes an annual day limit on short-term rentals, giving hosts year-round flexibility.

Fines & Enforcement

Hosts operating without a permit in Chicago face penalties including $1,500–$5,000 per offense; each day is a separate offense. In Salt Lake City, violations can result in Contact city for current details; violations may incur daily fines. Both cities actively enforce their STR regulations, so securing proper licensing before listing is essential in either market.

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.

Contact: Dept. of Business Affairs and Consumer Protection — (312) 744-6060

Full Chicago guide →

Salt Lake City Overview

Traditional STRs (Airbnb-style) are prohibited in all residential zones. Short-term lodging is only permitted in downtown and mixed-use zoning districts, where operators must meet hotel/motel-class licensing and building standards.

Contact: Salt Lake City Planning Division — (801) 535-7700

Full Salt Lake City guide →

Frequently Asked Questions

Is it easier to Airbnb in Chicago or Salt Lake City?
Chicago is classified as "Legal but Limited" while Salt Lake City is "Effectively Banned." Chicago's permit fee is $250 annual registration fee compared to Contact city for current details in Salt Lake City. Overall, Chicago has a more host-friendly regulatory environment.
Which city has higher STR taxes — Chicago or Salt Lake City?
Chicago charges 10.5% combined city tax (4.5% Hotel Accommodations + 6% Shared Housing Surcharge) + 1% Cook County, while Salt Lake City charges ~12.17% combined (state + local sales + county TRT + municipal TRT).
Which city has stricter fines for illegal short-term rentals?
Chicago: $1,500–$5,000 per offense; each day is a separate offense. Salt Lake City: Contact city for current details; violations may incur daily fines. Both cities actively enforce STR regulations, so proper licensing is essential.
Do Chicago and Salt Lake City have day limits for Airbnb?
Chicago has no annual day limit. Salt Lake City has no annual day limit.
Which city is better for first-time Airbnb hosts — Chicago or Salt Lake City?
For new hosts, consider the total cost of entry: Chicago charges $250 annual registration fee for permits with 10.5% combined city tax (4.5% Hotel Accommodations + 6% Shared Housing Surcharge) + 1% Cook County in taxes. Salt Lake City charges Contact city for current details with ~12.17% combined (state + local sales + county TRT + municipal TRT). Automatic tax collection in Chicago and Salt Lake City makes compliance easier for beginners.