Detroit vs Santa Fe

Michigan Legal but Limited | New Mexico Legal but Limited

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

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
Santa Fe, New Mexico
Status Legal but Limited
Permit Fee $100 one-time application + $325/year permit and business license
Tax Rate ~8.44% gross receipts tax + 7.1% lodgers' tax
Day Limit No limit
Renewal Annual
Platform Tax Yes
Max Fine Up to $500/day for operating without permit

Both cities have comparable STR regulatory environments.

Permits & Licensing

Detroit charges $500 annual license fee for STR licensing, while Santa Fe charges $100 one-time application + $325/year permit and business license. Detroit renewal is annual, and Santa Fe renewal is annual. Both cities share a similar regulatory stance, classified as "Legal but Limited."

Tax Obligations

In Detroit, hosts pay 6% Michigan use tax + 6% Detroit Accommodations Tax (12% combined). In Santa Fe, hosts pay ~8.44% gross receipts tax + 7.1% lodgers' tax. Both cities benefit from automatic platform tax collection through Airbnb and similar services, simplifying compliance for hosts.

Day Limits & Restrictions

Detroit imposes a 90-night annual limit, while Santa Fe has no annual cap — a significant advantage for high-volume hosts.

Fines & Enforcement

Hosts operating without a permit in Detroit face penalties including Up to $1,000–$1,200 per violation for unlicensed operation. In Santa Fe, violations can result in Up to $500/day for operating without permit. Both cities actively enforce their STR regulations, so securing proper licensing before listing is essential in either market.

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.

Contact: BSEED — (313) 224-2733

Full Detroit guide →

Santa Fe Overview

Residential zone STRs capped at 1,000 citywide permits; one per person; must be 50+ feet from another STR. Rentals limited to once per 7-day period (except Nov 15–Jan 15). Local operator must respond within 1 hour.

Contact: Santa Fe Land Use Dept. — (505) 955-6639

Full Santa Fe guide →

Frequently Asked Questions

Is it easier to Airbnb in Detroit or Santa Fe?
Detroit is classified as "Legal but Limited" while Santa Fe is "Legal but Limited." Detroit's permit fee is $500 annual license fee compared to $100 one-time application + $325/year permit and business license in Santa Fe. Both cities have comparable regulatory frameworks.
Which city has higher STR taxes — Detroit or Santa Fe?
Detroit charges 6% Michigan use tax + 6% Detroit Accommodations Tax (12% combined), while Santa Fe charges ~8.44% gross receipts tax + 7.1% lodgers' tax.
Which city has stricter fines for illegal short-term rentals?
Detroit: Up to $1,000–$1,200 per violation for unlicensed operation. Santa Fe: Up to $500/day for operating without permit. Both cities actively enforce STR regulations, so proper licensing is essential.
Do Detroit and Santa Fe have day limits for Airbnb?
Detroit limits STRs to 90 nights per year. Santa Fe has no annual day limit.
Which city is better for first-time Airbnb hosts — Detroit or Santa Fe?
For new hosts, consider the total cost of entry: Detroit charges $500 annual license fee for permits with 6% Michigan use tax + 6% Detroit Accommodations Tax (12% combined) in taxes. Santa Fe charges $100 one-time application + $325/year permit and business license with ~8.44% gross receipts tax + 7.1% lodgers' tax. Automatic tax collection in Detroit and Santa Fe makes compliance easier for beginners.