Los Angeles vs Minneapolis

California Legal but Limited | Minnesota Legal with Permit

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

Los Angeles, California
Status Legal but Limited
Permit Fee $89 registration fee + $850 annual platform fee
Tax Rate 14% Transient Occupancy Tax
Day Limit 120 days/year
Renewal Annual
Platform Tax Yes
Max Fine $2,000–$5,000/violation (up to triple for repeat offenses)
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

Minneapolis has more favorable STR regulations overall.

Permits & Licensing

Los Angeles charges $89 registration fee + $850 annual platform fee for STR licensing, while Minneapolis charges $64 short-term rental registration fee. Los Angeles renewal is annual, and Minneapolis renewal is annual. Overall, Minneapolis has a more permissive regulatory environment (Legal with Permit) compared to Los Angeles (Legal but Limited).

Tax Obligations

In Los Angeles, hosts pay 14% Transient Occupancy Tax. 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

Los Angeles imposes a 120-night annual limit, while Minneapolis has no annual cap — a significant advantage for high-volume hosts.

Fines & Enforcement

Hosts operating without a permit in Los Angeles face penalties including $2,000–$5,000/violation (up to triple for repeat offenses). 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.

Los Angeles Overview

Home-Sharing Ordinance limits STRs to primary residences with a 120-day annual cap (extendable with Enhanced Plan). Registration required. RSO (rent-stabilized) units generally prohibited.

Contact: LA City Planning — (213) 482-7077

Full Los Angeles 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 Los Angeles or Minneapolis?
Los Angeles is classified as "Legal but Limited" while Minneapolis is "Legal with Permit." Los Angeles's permit fee is $89 registration fee + $850 annual platform fee compared to $64 short-term rental registration fee in Minneapolis. Overall, Minneapolis has a more host-friendly regulatory environment.
Which city has higher STR taxes — Los Angeles or Minneapolis?
Los Angeles charges 14% Transient Occupancy Tax, 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?
Los Angeles: $2,000–$5,000/violation (up to triple for repeat offenses). Minneapolis: Up to $2,000 per violation; license revocation for repeated offenses. Both cities actively enforce STR regulations, so proper licensing is essential.
Do Los Angeles and Minneapolis have day limits for Airbnb?
Los Angeles limits STRs to 120 nights per year. Minneapolis has no annual day limit.
Which city is better for first-time Airbnb hosts — Los Angeles or Minneapolis?
For new hosts, consider the total cost of entry: Los Angeles charges $89 registration fee + $850 annual platform fee for permits with 14% Transient Occupancy Tax 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 Los Angeles and Minneapolis makes compliance easier for beginners.