Houston vs Minneapolis

Texas Legal with Permit | Minnesota Legal with Permit

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

Houston, Texas
Status Legal with Permit
Permit Fee $90 registration fee
Tax Rate 13% Hotel Occupancy Tax (7% city + 6% state)
Day Limit No limit
Renewal Annual
Platform Tax Yes
Max Fine $500/day for non-compliance
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

Both cities have comparable STR regulatory environments.

Permits & Licensing

Houston charges $90 registration fee for STR licensing, while Minneapolis charges $64 short-term rental registration fee. Houston renewal is annual, and Minneapolis renewal is annual. Both cities share a similar regulatory stance, classified as "Legal with Permit."

Tax Obligations

In Houston, hosts pay 13% Hotel Occupancy Tax (7% city + 6% state). In Minneapolis, hosts pay 6.875% state sales tax + up to 3% Minneapolis entertainment tax (~10% combined). 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 Houston face penalties including $500/day for non-compliance. In Minneapolis, violations can result in Up to $2,000 per violation; license revocation for repeated offenses. Both cities actively enforce their STR regulations, so securing proper licensing before listing is essential in either market.

Houston Overview

Houston has no zoning code, so STRs are broadly permitted. Hosts must register, collect HOT, and meet fire-safety and parking standards. Deed-restricted communities may impose additional restrictions.

Contact: Houston Administration & Regulatory Affairs — (832) 394-8803

Full Houston 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.

Contact: Inspections Services Division — (612) 673-3000

Full Minneapolis guide →

Frequently Asked Questions

Is it easier to Airbnb in Houston or Minneapolis?
Houston is classified as "Legal with Permit" while Minneapolis is "Legal with Permit." Houston's permit fee is $90 registration fee compared to $64 short-term rental registration fee in Minneapolis. Both cities have comparable regulatory frameworks.
Which city has higher STR taxes — Houston or Minneapolis?
Houston charges 13% Hotel Occupancy Tax (7% city + 6% state), while Minneapolis charges 6.875% state sales tax + up to 3% Minneapolis entertainment tax (~10% combined).
Which city has stricter fines for illegal short-term rentals?
Houston: $500/day for non-compliance. Minneapolis: Up to $2,000 per violation; license revocation for repeated offenses. Both cities actively enforce STR regulations, so proper licensing is essential.
Do Houston and Minneapolis have day limits for Airbnb?
Houston has no annual day limit. Minneapolis has no annual day limit.
Which city is better for first-time Airbnb hosts — Houston or Minneapolis?
For new hosts, consider the total cost of entry: Houston charges $90 registration fee for permits with 13% Hotel Occupancy Tax (7% city + 6% state) in taxes. Minneapolis charges $64 short-term rental registration fee with 6.875% state sales tax + up to 3% Minneapolis entertainment tax (~10% combined). Automatic tax collection in Houston and Minneapolis makes compliance easier for beginners.