Minneapolis vs New York City

Minnesota Legal with Permit | New York Effectively Banned

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

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
New York City, New York
Status Effectively Banned
Permit Fee $145 registration fee (OSE)
Tax Rate 5.875% hotel room occupancy tax + state/city sales tax
Day Limit No limit
Renewal Every 2 years
Platform Tax Yes
Max Fine $5,000 first offense; up to $7,500 for subsequent violations

Minneapolis has more favorable STR regulations overall.

Permits & Licensing

Minneapolis charges $64 short-term rental registration fee for STR licensing, while New York City charges $145 registration fee (OSE). Minneapolis renewal is annual, and New York City renewal is every 2 years. Overall, Minneapolis has a more permissive regulatory environment (Legal with Permit) compared to New York City (Effectively Banned).

Tax Obligations

In Minneapolis, hosts pay 6.875% state sales tax + up to 3% Minneapolis entertainment tax (~10% combined). In New York City, hosts pay 5.875% hotel room occupancy tax + state/city sales tax. 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 Minneapolis face penalties including Up to $2,000 per violation; license revocation for repeated offenses. In New York City, violations can result in $5,000 first offense; up to $7,500 for subsequent violations. Both cities actively enforce their STR regulations, so securing proper licensing before listing is essential in either market.

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 →

New York City Overview

Local Law 18 (2023) requires hosts to register with OSE, be present during stays, and limits guests to 2. Entire-apartment rentals under 30 days are effectively banned. Only hosted stays with the owner present are permitted.

Contact: NYC Mayor's Office of Special Enforcement — (212) 676-4101

Full New York City guide →

Frequently Asked Questions

Is it easier to Airbnb in Minneapolis or New York City?
Minneapolis is classified as "Legal with Permit" while New York City is "Effectively Banned." Minneapolis's permit fee is $64 short-term rental registration fee compared to $145 registration fee (OSE) in New York City. Overall, Minneapolis has a more host-friendly regulatory environment.
Which city has higher STR taxes — Minneapolis or New York City?
Minneapolis charges 6.875% state sales tax + up to 3% Minneapolis entertainment tax (~10% combined), while New York City charges 5.875% hotel room occupancy tax + state/city sales tax.
Which city has stricter fines for illegal short-term rentals?
Minneapolis: Up to $2,000 per violation; license revocation for repeated offenses. New York City: $5,000 first offense; up to $7,500 for subsequent violations. Both cities actively enforce STR regulations, so proper licensing is essential.
Do Minneapolis and New York City have day limits for Airbnb?
Minneapolis has no annual day limit. New York City has no annual day limit.
Which city is better for first-time Airbnb hosts — Minneapolis or New York City?
For new hosts, consider the total cost of entry: Minneapolis charges $64 short-term rental registration fee for permits with 6.875% state sales tax + up to 3% Minneapolis entertainment tax (~10% combined) in taxes. New York City charges $145 registration fee (OSE) with 5.875% hotel room occupancy tax + state/city sales tax. Automatic tax collection in Minneapolis and New York City makes compliance easier for beginners.