Eden Prairie Short-Term Rental Regulations
| Permit | ✓ Required — Rental Housing License ($110) |
| Primary Residence | ✗ Not required |
| Annual Day Limit | No limit |
| Tax Rate | 8.525% |
| Max Penalty | Misdemeanor criminal charge; license suspension up to 120 days for repeat Disorderly Use Violations within 12 months of a prior suspension + revocation risk |
| Insurance | Not required |
New to short-term rentals? Jump to the compliance checklist →
Permit & Licensing
Rental Housing License
| Fee | Amount |
|---|---|
| Initial cost | $110 |
| Renewal | $110 / 1 year |
This permit type does not require primary residence.
Application Process
Submit the Rental Housing License Online Inquiry Form, then complete the application via the City's online licensing portal (instructions sent after inquiry form submission), then complete a pre-licensing inspection confirming compliance with City Code §9.11 and State Building and Fire Codes — an application may be rejected if the inspection is not completed. License is annual, expiring Jan. 31; renewal application must be filed at least 60 days before expiration.
Tax Obligations
| Tax | Rate | Authority |
|---|---|---|
| Minnesota State Sales Tax | 6.875% | State of Minnesota |
| Hennepin County Sales Tax | 0.15% | Hennepin County |
| Hennepin County Transit Sales Tax | 0.50% | Hennepin County |
| Metro Area Transportation Sales Tax (7-county metro) | 0.75% | Metropolitan Council / Minnesota Dept. of Revenue |
| Metro Area Housing Sales Tax (7-county metro) | 0.25% | Metropolitan Council / Minnesota Dept. of Revenue |
Combined rate: 8.525% of gross rental income.
Collection: The property owner must register as a retailer to collect, report, and remit sales/lodging tax on the full sales price unless an accommodations intermediary (e.g., Airbnb, Vrbo) facilitates all sales of lodging at the property, in which case the intermediary must register and collect/remit instead.
Rental Limits
Eden Prairie does not impose an annual cap on the number of nights you can rent.
Zoning & Restrictions
- No STR-specific zoning restriction — Eden Prairie regulates short-term rentals (under 30 days) citywide through the rental housing licensing ordinance (City Code §5.72), not through zoning.
- The license is subject only to the enumerated code conditions (posting, §9.11 maintenance standards, inspections, tenant protection), with no zoning-district-based prohibition or overlay.
Insurance & Safety
Insurance
Eden Prairie does not require short-term rental operators to carry specific insurance. Standard homeowner policies often exclude short-term rental activity, so many hosts obtain dedicated short-term rental or landlord liability coverage.
Safety & Operating Requirements
- Heating facilities capable of maintaining 68°F in each habitable space, supplied Sept. 15–May 15 (City Code §9.11 Subd. 6.A)
- Smoke alarms installed on each floor of residential buildings, maintained in operative condition at all times (§9.11 Subd. 9)
- Bathroom equipped with toilet, sink, and bathtub or shower in every dwelling unit (§9.11 Subd. 5.B)
- Operable window or exterior door approved for emergency escape or rescue in every sleeping space (§9.11 Subd. 8)
- Pre-licensing inspection confirming compliance with §9.11 and State Building and Fire Codes (§5.72 Subd. 4.D)
Penalties for Non-Compliance
- 1st Disorderly Use Violation: written notice to licensee, must take action to prevent further violations
- 2nd Disorderly Use Violation within 12 months: written notice + written corrective-action report due within 10 business days
- 3rd Disorderly Use Violation within 12 months: license may be suspended up to 60 days
- 4th+ Disorderly Use Violation within 12 months after a suspension: license may be suspended up to 120 days
- Any violation of the licensing ordinance is a misdemeanor
Market Snapshot
Demand context for Eden Prairie from official government and tourism statistics — the latest published annual figures, not a projection of rental income.
| Metric | Value | Source |
|---|---|---|
| Population (2025 est.) | 63,075 (-1.7% since 2020) | U.S. Census Bureau |
Figures are the latest annual statistics published by the linked official sources (retrieved 2026-07-13). Visitor counts cover the geography stated by each source, which can be wider than the city itself. Regulations above — not market conditions — determine whether and how you may operate.
Compliance Checklist
Follow these steps to legally operate a short-term rental in Eden Prairie:
- Meet safety requirements. Heating facilities capable of maintaining 68°F in each habitable space, supplied Sept. 15–May 15 (City Code §9.11 Subd. 6.A). Smoke alarms installed on each floor of residential buildings, maintained in operative condition at all times (§9.11 Subd. 9). Bathroom equipped with toilet, sink, and bathtub or shower in every dwelling unit (§9.11 Subd. 5.B). Operable window or exterior door approved for emergency escape or rescue in every sleeping space (§9.11 Subd. 8). Pre-licensing inspection confirming compliance with §9.11 and State Building and Fire Codes (§5.72 Subd. 4.D).
- Apply for Rental Housing License… Submit application + $110 fee.
- Register for tax accounts. Set up lodging tax accounts with Minnesota Department of Revenue.
- Collect and remit taxes. 8.525% on all bookings.
- Renew annually. $110 renewal fee.
Frequently Asked Questions
- Do you need a permit to run an Airbnb in Eden Prairie?
- Yes. Operating a short-term rental — including an Airbnb or Vrbo — in Eden Prairie requires a Rental Housing License.
- How much does a short-term rental permit cost in Eden Prairie?
- A Rental Housing License in Eden Prairie costs $110 per year.
- Does Eden Prairie require a short-term rental to be your primary residence?
- No. Eden Prairie allows non-owner-occupied short-term rentals, so investment properties can qualify provided you hold the required permit.
- How many days a year can you short-term rent in Eden Prairie?
- Eden Prairie does not cap the number of nights per year you can short-term rent, though permitting, zoning, and occupancy rules still apply.
- What taxes do you pay on a short-term rental in Eden Prairie?
- Short-term rental stays in Eden Prairie are subject to a combined 8.525% in lodging taxes. This combines 6.875% Minnesota State Sales Tax + 0.15% Hennepin County Sales Tax + 0.50% Hennepin County Transit Sales Tax + 0.75% Metro Area Transportation Sales Tax (7-county metro) + 0.25% Metro Area Housing Sales Tax (7-county metro). Hosts are legally responsible; many booking platforms collect and remit them automatically on the host's behalf.
Tools for Short-Term Rental Hosts
AdServices that help hosts handle the legal, management, pricing, and cleaning side of a short-term rental.
Official Sources
- Rental Housing Licensing and Inspections | City of Eden Prairie
- Section 5.72. - Licensing of Rental Housing | Code of Ordinances | Eden Prairie, MN | Municode Library
- Section 9.11. - Rental Housing | Code of Ordinances | Eden Prairie, MN | Municode Library
- Sales – Residential Short-Term Rentals | Minnesota Department of Revenue
- Special Local Taxes | Minnesota Department of Revenue
- Metro Counties Sales and Use Tax Rate Guide (Effective 7/1/2026-9/30/2026) | Minnesota Department of Revenue
- Eden Prairie City Code, Chapter 5 (Section 5.72, Licensing of Rental Housing)