Minneapolis vs Santa Fe

Minnesota Legal with Permit | New Mexico Legal but Limited

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
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

Minneapolis has more favorable STR regulations overall.

Permits & Licensing

Minneapolis charges $64 short-term rental registration fee for STR licensing, while Santa Fe charges $100 one-time application + $325/year permit and business license. Minneapolis renewal is annual, and Santa Fe renewal is annual. Overall, Minneapolis has a more permissive regulatory environment (Legal with Permit) compared to Santa Fe (Legal but Limited).

Tax Obligations

In Minneapolis, hosts pay 6.875% state sales tax + up to 3% Minneapolis entertainment tax (~10% 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

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 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.

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 →

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 Minneapolis or Santa Fe?
Minneapolis is classified as "Legal with Permit" while Santa Fe is "Legal but Limited." Minneapolis's permit fee is $64 short-term rental registration fee compared to $100 one-time application + $325/year permit and business license in Santa Fe. Overall, Minneapolis has a more host-friendly regulatory environment.
Which city has higher STR taxes — Minneapolis or Santa Fe?
Minneapolis charges 6.875% state sales tax + up to 3% Minneapolis entertainment tax (~10% combined), while Santa Fe charges ~8.44% gross receipts tax + 7.1% lodgers' tax.
Which city has stricter fines for illegal short-term rentals?
Minneapolis: Up to $2,000 per violation; license revocation for repeated offenses. Santa Fe: Up to $500/day for operating without permit. Both cities actively enforce STR regulations, so proper licensing is essential.
Do Minneapolis and Santa Fe have day limits for Airbnb?
Minneapolis has no annual day limit. Santa Fe has no annual day limit.
Which city is better for first-time Airbnb hosts — Minneapolis or Santa Fe?
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. 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 Minneapolis and Santa Fe makes compliance easier for beginners.