Cities with Restricted Short-Term Rentals

These cities have significant restrictions on short-term rentals including zoning limitations and neighborhood bans. (9 cities)

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

Restricted cities sit in a middle ground — short-term rentals aren't outright banned, but significant hurdles exist. Common restrictions include zoning overlays that limit STRs to certain neighborhoods, caps on the total number of permits issued, requirements for primary residency, and bans on investor-owned or non-owner-occupied rentals. Before purchasing property in these markets for STR purposes, research the specific zoning district rules carefully. What's allowed in one neighborhood may be prohibited a few blocks away.

9
Cities
7
States
6
Platform Tax
1
With Day Limits
City Status
Asheville, North Carolina Restricted
Charleston, South Carolina Restricted
Dallas, Texas (WC) Restricted
Honolulu, Hawaii Restricted
Jersey City, New Jersey Restricted
Key West, Florida Restricted
Miami, Florida (WC) Restricted
New Orleans, Louisiana Restricted
Orlando, Florida Restricted

City-by-City Highlights

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.

Permit: $200 homestay permit fee Tax: ~16.75% combined (4.75% state sales + 6% county occupancy + 6% city occupancy) Max fine: $500/day for violations

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.

Permit: $250 (24–72 nights/yr) or $1,500 (72+ nights/yr) + $200 zoning review fee Tax: ~14% combined (5% state sales + 2% state accommodations + 2% county + 2% city + local option taxes) Max fine: Up to $1,087/day or 30 days jail; criminal prosecution possible

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.

Permit: $285 registration fee Tax: 13% Hotel Occupancy Tax (7% city + 6% state) Max fine: $500–$2,000/violation

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.

Permit: $1,000 initial registration; $500 annual renewal Tax: ~18.5% combined (11% state TAT + 3% county TAT surcharge + 4.5% GET) Max fine: $10,000/day for recurring violations; $5,000 initial fine

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.

Permit: $250 initial application + $200 annual renewal Tax: 6% municipal occupancy tax + 6.625% state sales + 5% state occupancy fee Limit: 60 days/year Max fine: $1,500–$2,000 first offense; up to $5,000+ for repeat violations

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.

Permit: $150 Business Tax Receipt + $110 Transient Manager License + fire inspection fee Tax: 12.5% combined (5% county tourist dev. + 7.5% state sales) Max fine: Up to $5,000/violation and 60 days imprisonment; each day is separate

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.

Permit: $150 city certificate + state DBPR license fee Tax: 13% (6% state + 5% county tourist dev. + 2% city resort tax) Max fine: $20,000 lien per violation by code enforcement

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.

Permit: NSTR ~$50 application (lottery); CSTR $1,000/year Tax: 5% sales tax + 6.75% occupancy tax + $5–$12/night occupancy fee Max fine: $1,000/violation; platforms fined $1,000/day per illegal listing

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.

Permit: $100 city permit + state DBPR license Tax: 12.5% (6% state + 6% county tourist dev. + 0.5% city) Max fine: $250–$500/day for code violations

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