Cities with the Cheapest STR Permits
Looking for affordable markets to start hosting? These cities have some of the lowest permit fees for short-term rental operators. (49 cities)
Disclaimer: General information only — not legal advice. Verify with your local government.
Permit fees are just one part of your total cost to operate, but they matter — especially when you're just starting out and haven't generated any revenue yet. The cities below are sorted by their base permit fee from lowest to highest. Keep in mind that a cheap permit doesn't always mean a cheap market: factor in tax rates, insurance requirements, inspection fees, and any ongoing renewal costs when calculating your true cost of entry. Some cities with low permit fees offset them with higher tax rates or stricter operational requirements.
City-by-City Highlights
Pittsburgh, Pennsylvania Legal with Permit
Rental Permit Program launched December 2024. No day caps or per-owner unit limits. All rental properties must register and pass inspection.
Boston, Massachusetts Legal but Limited
Only primary-residence units may be listed as STRs. Investor-owned (non-owner-occupied) short-term rentals are prohibited. Must register with the city and carry $1M liability insurance.
Park City, Utah Legal with Permit
Nightly Rental License required; only certain zones allow STRs (e.g., Old Town, Canyons Village). Areas like Prospector and Meadows Estates prohibit nightly rentals. Must pass building inspection and designate 24/7 local contact.
Austin, Texas Legal but Limited
Type 1 (owner-occupied) is allowed citywide. Type 2 (non-owner-occupied) licenses are no longer issued in residential areas — existing Type 2 licenses expire April 2027.
New Orleans, Louisiana Restricted
Heavily restricted: French Quarter is banned (except parts of Bourbon St), permits limited to owner's primary residence via lottery, CSTR permits frozen since 2023, and one STR per block density cap applies.
Philadelphia, Pennsylvania Legal with Permit
Limited Lodging license required. Primary residence only, capped at 180 days/year for unhosted rentals. Hosted (owner-present) stays have no day cap. Must carry liability insurance.
Tampa, Florida Legal with Permit
No city-specific STR ordinance — state DBPR license and county Business Tax Receipt are primary requirements. Florida's 2011 preemption law limits local restrictions. STRs generally allowed in commercial and mixed-use zones.
Sacramento, California Legal with Permit
Host must reside in the property at least 184 nights/year (primary residence requirement); non-primary-residence rentals capped at 90 days/year. Maximum 6 guests at any time.
Minneapolis, Minnesota Legal with Permit
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.
Portland, Oregon Legal but Limited
Only accessory (hosted) short-term rentals allowed; resident must occupy the dwelling at least 270 days/year. Type A permits allow up to 2 bedrooms and 5 guests. Whole-home unhosted rentals are prohibited.
Columbus, Ohio Legal with Permit
Governed by Columbus Code Chapter 598; BCI background check required. Properties must be in eligible zoning district.
Gatlinburg, Tennessee Legal with Permit
Tourist Residency Permit required with annual inspection. STRs prohibited in R-1A and R-2A zones. Properties over 3 stories or 12+ occupants require sprinkler systems.
Seattle, Washington Legal with Permit
Both owner-occupied and non-owner-occupied units may be licensed. Operators may list up to 2 units. A platform license is also required for listing sites. Must collect and remit all applicable lodging taxes.
Fort Lauderdale, Florida Legal with Permit
Annual registration and Certificate of Compliance required. Occupancy capped at 2 persons per bedroom. Florida DBPR state license also required.
Raleigh, North Carolina Legal with Permit
STRs allowed as limited use in residential and mixed-use zones. Standard permit limits hosting to 120 days/year; Extended Home-Sharing permit allows 365 days. Zoning permit number must be displayed on all advertisements.
Los Angeles, California Legal but Limited
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.
Houston, Texas Legal with Permit
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.
Denver, Colorado Legal with Permit
Only primary residences may be used as STRs. Hosts must obtain a Short-Term Rental license. No cap on rental days. Accessory dwelling units on the same lot are also eligible.
Orlando, Florida Restricted
STRs are prohibited in most single-family residential zoning districts. Allowed in tourist-commercial zones and some mixed-use areas. Florida state law preempts local bans enacted after June 2011, creating a complex legal landscape.
Santa Fe, New Mexico Legal but Limited
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.
Washington DC, District of Columbia Legal but Limited
Primary residence only (must qualify for Homestead Deduction). Hosted stays have no day cap. Vacation rentals (unhosted) capped at 90 nights/year. Must carry $250K liability insurance.
Key West, Florida Restricted
Moratorium on new transient rental licenses — only grandfathered properties may operate STRs under 28 days. Existing licenses are property-specific and command $400K+ on the secondary market. Florida DBPR state license also required.
Milwaukee, Wisconsin Legal with Permit
Tourist Rooming House license required for rentals under one month. Properties must pass safety inspection for building code and fire safety compliance before license is issued.
New York City, New York Effectively Banned
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.
Atlanta, Georgia Legal with Permit
Owner-occupied and investor-owned units both allowed with a Short-Term Rental License. Must pass fire inspection and provide 24/7 local contact.
Indianapolis, Indiana Legal with Permit
Indiana state law prevents municipalities from banning STRs but allows permitting. Hosts must collect and remit gross retail tax and Marion County innkeeper's tax.
Miami, Florida Restricted
STRs restricted to commercially zoned or mixed-use areas. Single-family residential neighborhoods generally prohibit STRs. State preemption law limits some local regulations. Both city Certificate of Use and state DBPR license required.
Asheville, North Carolina Restricted
Whole-dwelling STRs banned in most zones since 2018; only allowed in resort zoning districts. Owner-occupied homestays (max 2 guest rooms, host must live on-site) are permitted in residential zones with a permit.
Baltimore, Maryland Legal but Limited
Primary residence required; max two licenses per host. Stays must be under 90 consecutive nights. Must pass home inspection.
Charleston, South Carolina Restricted
Whole-house STRs are effectively banned; at least one full-time resident must sleep on-site each night. Max 4 adult guests. Charleston is one of the few U.S. cities that criminally prosecutes illegal STR operators. $1M liability insurance required.
Jersey City, New Jersey Restricted
Adopted after 2019 voter referendum. Owner-occupied only — tenants and rent-controlled units prohibited. Unhosted stays capped at 60 nights/year. Only buildings with fewer than 4 units eligible.
San Antonio, Texas Legal with Permit
Two-tier permit system (Type 1 owner-occupied, Type 2 investment). Type 2 STRs capped at 12.5% of housing per blockface; platforms must remove listings without valid permit numbers.
Sedona, Arizona Legal with Permit
Sedona straddles Yavapai and Coconino counties, so tax rates vary. Each unit needs its own permit. Special events (weddings, retreats) strictly prohibited. 24/7 complaint hotline: (928) 203-5110.
San Diego, California Legal with Permit
Four-tier license system with caps: Tier 3 limited to 1% of housing units; Tier 4 (Mission Beach) capped at 30% and at capacity. Only one license per host; licenses are non-transferable.
Chicago, Illinois Legal but Limited
Must be host's primary residence; buildings with 5+ units limited to no more than 6 STR units; Restricted Residential Zones and Prohibited Buildings List apply. $1M commercial general liability insurance required.
Kansas City, Missouri Legal with Permit
Short-term rental permits required for all listings. Both owner-occupied and investor-owned properties are eligible. Must maintain guest registry and provide local emergency contact within 30 minutes.
Phoenix, Arizona Legal with Permit
Arizona SB 1168 (2022) grants cities enhanced enforcement while SB 1350 (2016) preempts outright bans. Phoenix requires STR permit, $500K liability insurance, neighbor notification, and prohibits STR use of accessory dwelling units.
Savannah, Georgia Legal with Permit
STVRs permitted within Downtown, Victorian, and Streetcar historic district overlay zones, plus select commercial/agriculture zones. 20% per-ward cap applies to non-owner-occupied parcels in historic districts.
Scottsdale, Arizona Legal with Permit
Ordinance 4566 caps occupancy at 6 adults plus dependent children, requires 1 off-street parking space per bedroom, $500K liability insurance, and neighbor notification within 30 days. Special events and commercial uses prohibited.
Dallas, Texas Restricted
Dallas banned non-owner-occupied STRs in residential single-family zoning districts effective April 2023. Owner-occupied or 'hosted' stays and multifamily/commercial zoning remain allowed with registration.
Nashville, Tennessee Legal but Limited
Owner-occupied permits allowed in all zones. Non-owner-occupied permits frozen — no new applications accepted in most residential zones since 2015. Existing non-owner permits are non-transferable.
San Francisco, California Legal but Limited
Primary residence only, with a 90-day cap on unhosted stays (unlimited for hosted stays). Hosts must register, carry $500K liability insurance, and pass a fire/safety inspection. Rent-controlled units face additional restrictions.
Detroit, Michigan Legal but Limited
90-day annual rental cap; max 10 guests at any time; principal residence requirement. Liability insurance required and properties must pass safety inspection.
Honolulu, Hawaii Restricted
STRs limited to resort-zoned and eligible apartment-zoned areas. Hosts must register as B&B (owner-occupied, max 2 guest rooms) or TVU (whole-home in eligible zones). Registrations are non-transferable.
Las Vegas, Nevada Legal but Limited
Only owner-occupied (hosted) rentals are permitted; the owner must reside on-site during each rental day. Properties must be at least 660 feet from another STR and 2,500 feet from a resort hotel. Limited to 3 bedrooms max. Requires $500,000 liability insurance.
Palm Springs, California Legal but Limited
Limited to 26 rental contracts per year (28 nights or shorter each). Neighborhood density cap of 20% — multiple neighborhoods already at capacity. One permit per owner; occupancy based on bedroom count. $500,000 liability insurance required.
Charlotte, North Carolina Legal with Permit
Charlotte removed STR-specific zoning regulations from its UDO in April 2022, making it one of NC's most permissive markets. Hosts must still obtain a business license and register for Mecklenburg County room occupancy tax.
Maui County, Hawaii Effectively Banned
Ordinance 5909 (signed Dec 2025) phases out all apartment-zoned vacation rentals — STR use must cease by Jan 1, 2029 in West Maui and Jan 1, 2031 elsewhere. Existing STRH and B&B permits remain but are capped. Legal challenges are pending.
Salt Lake City, Utah Effectively Banned
Traditional STRs (Airbnb-style) are prohibited in all residential zones. Short-term lodging is only permitted in downtown and mixed-use zoning districts, where operators must meet hotel/motel-class licensing and building standards.