Minneapolis Short-Term Rental Regulations
| Permit | ✓ Required — Short-Term Rental Registration or Short-Term Rental Hosting License ($64) |
| Primary Residence | Not required |
| Annual Day Limit | No limit — 29 days or fewer per stay |
| Tax Rate | 12.025% |
| Max Penalty | Not publicly specified |
| Insurance | $300,000 liability required |
New to short-term rentals? Jump to the compliance checklist →
Permit & Licensing
Short-Term Rental Registration or Short-Term Rental Hosting License
| Fee | Amount |
|---|---|
| Initial cost | $64 |
| Renewal | $64 / 1 year |
This permit type does not require primary residence.
Application Process
In-person application at Business Licenses & Consumer Services, Public Service Building, 505 Fourth Ave. S., Room 220, Minneapolis, MN 55415
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 | 0.5% | 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 |
| Minneapolis Local Sales Tax | 0.5% | City of Minneapolis |
| Minneapolis Entertainment Tax (applies to short-term lodging citywide) | 3% | City of Minneapolis |
Combined rate: 12.025% of gross rental income.
Collection: Platform auto-remit or property owner self-remit, depending on arrangement
Rental Limits
Minneapolis does not impose an annual cap on the number of nights you can rent. Each individual stay must be 29 days or fewer per stay.
Occupancy & Density Limits
10 occupants maximum
Zoning & Restrictions
In buildings with 20+ units, no more than 10% can be short-term rentals
Insurance & Safety
Insurance
Operators must maintain at least $300,000 in liability insurance covering the property's use as a short-term rental.
Safety & Operating Requirements
- Management plan
- Neighbor notification
- Posted floor plan showing exits and escape routes
- Registration number listed in online listings
Penalties for Non-Compliance
Not publicly specified
Compliance Checklist
Follow these steps to legally operate a short-term rental in Minneapolis:
- Meet safety requirements. Management plan. Neighbor notification. Posted floor plan showing exits and escape routes. Registration number listed in online listings.
- Obtain liability insurance. $300,000 minimum.
- Apply for Short-Term Rental Registration or Short-Term Rental Hosting License. Submit application + $64 fee.
- Register for tax accounts. Set up lodging tax accounts with Minnesota Department of Revenue.
- Collect and remit taxes. 12.025% on all bookings.
- Renew annually. $64 renewal fee.
Frequently Asked Questions
- Do you need a permit to run an Airbnb in Minneapolis?
- Yes. Operating a short-term rental — including an Airbnb or Vrbo — in Minneapolis requires a short-term rental permit.
- How much does a short-term rental permit cost in Minneapolis?
- A short-term rental permit in Minneapolis costs $64 per year.
- Does Minneapolis require a short-term rental to be your primary residence?
- No. Minneapolis 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 Minneapolis?
- Minneapolis does not cap the total number of nights per year, but each individual stay must be 29 days or fewer.
- What taxes do you pay on a short-term rental in Minneapolis?
- Short-term rental stays in Minneapolis are subject to a combined 12.025% in lodging taxes. This combines 6.875% Minnesota State Sales Tax + 0.15% Hennepin County Sales Tax + 0.5% 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) + 0.5% Minneapolis Local Sales Tax + 3% Minneapolis Entertainment Tax (applies to short-term lodging citywide). The host is responsible for collecting and remitting them.
- What happens if you run a short-term rental without a permit in Minneapolis?
- Not publicly specified.
Tools for Short-Term Rental Hosts
AdServices that help hosts handle the legal, management, pricing, and cleaning side of a short-term rental.