City to start taking registration, license applications for short-term rentals Dec. 1

The City will begin accepting registration and license applications for short-term rentals, such as Airbnb and VRBO, in Minneapolis on Friday, Dec. 1.

Under the short-term rental ordinance, rental properties are categorized as follows:

  • A short-term rental property registration or rental license is not required for an owner who lives at the dwelling unit, rents a room and stays at the property during the rental period.
  • A short-term rental property registration is required for an owner who lives at the dwelling unit, rents out an entire unit and leaves the property during the rental period.
  • A rental license is required for the owner of a non-occupied rental property who rents out an entire unit. Only Tier 1 or Tier 2 rental licenses are eligible for this designation

The ordinance applies to dwelling units rented for a period of fewer than 30 consecutive days per leasing period. The short-term rental registration fee is $46. Rental licenses for Tier 1 properties will range from $70 to $175, plus $5 for each additional unit, and $112 to $350 for Tier 2 properties, plus $5 for each additional unit. You do not need to reapply if you have a valid rental license and are a Tier 1 or Tier 2 property.

Short-term rental hosting platforms, which collect a fee for booking services and often provide an online platform for property owners to advertise a dwelling unit, will be required to submit an annual business license application. The annual license fee for a platform with fewer than 150 active Minneapolis dwelling unit listings will be $630, and for a platform with 150 or more active listings in Minneapolis will be $5,000.

Go to the City’s short-term rentals web page to find registration and licenses applications. Hosting platforms can find license applications at the City’s Business Licensing website.