Short-term rental rules in North America

In the United States, Canada and Mexico, the rules that decide whether you can rent out a home short-term are mostly set by states, provinces and cities, not national governments. National law mainly covers taxes. That means two homes a few miles apart can face completely different rules: one may need only a tax registration, the other a permit, a principal-residence check and a cap on nights. This page covers the main patterns in each country. For the exact rules at your address, order a property report. Last reviewed October 2026.

Zoning and Usage:

Understand and adhere to local zoning laws which dictate permissible areas for rental operations.

Tax Obligations:

Manage and remit occupancy taxes that fund local tourism and infrastructure developments. These taxes are variable, depending on the locale.

Registration and Licensing:

Stay compliant by registering and obtaining necessary licenses, a practice that is rigorously enforced across various regions.

Safety Protocols:

Ensure guest safety by meeting prescribed health and safety standards, such as fire safety and emergency protocols.

Community Integration:

Foster good relationships with the community through compliance with noise and nuisance ordinances and ensuring guests respect local norms.

Data Security:

Protect guest information with stringent data privacy measures. Hosts must comply with data protection laws to ensure the privacy and protection of guests' personal data.

Limit on Rental Duration:

Some jurisdictions impose limits on the number of days a property can be rented out in a year to manage housing availability.

Noise Regulations:

Hosts must adhere to local rules regarding noise levels and behavior, ensuring guests do not disturb the neighborhood.

Regional Highlights

United States

There is no federal short-term rental law; states, counties and cities set the rules. Many cities require a permit or registration number on every listing, and some restrict rentals to your primary residence or cap the nights you can rent without being present: San Francisco caps unhosted rentals at 90 nights a year. New York City only allows stays under 30 days if the host lives there and is present, which rules out most whole-home rentals. Lodging taxes are charged at the state, county and city level; platforms collect some of them, and hosts must register and file the rest.

Canada

Provinces and cities set the rules, and many limit short-term rentals to your principal residence. British Columbia applies a principal-residence rule across most of the province and runs a provincial registry. Toronto allows short-term rentals only in your principal residence, requires city registration and caps whole-home rentals at 180 nights a year. Since 2024, the federal government denies income tax deductions for rentals that don't comply with local rules, and hosts may need to register for GST/HST.

Mexico

States and cities set registration rules, and federal taxes apply everywhere. Mexico City requires every host to register each property in its host registry and limits rentals to 50% of the year's nights, though the cap is being challenged in court. Nationally, short-term rentals are subject to 16% VAT and income tax, and platforms like Airbnb withhold part of both. Most states also charge a lodging tax, which hosts must check separately.

Country Guides

Short-term rental laws by country:
· United States · Canada · Mexico · Puerto Rico
· U.S. Virgin Islands · Jamaica · Dominican Republic
· Costa Rica · Belize · Panama · Barbados · Aruba
· Antigua and Barbuda

Popular US city guides:
· Houston, TX · Richland County, SC · Page County, VA
· Volcano, HI

Get the rules for your address

Country rules are only the start. Whether you can rent out a specific home depends on its state or province, its city and sometimes its building. A Lodge Compliance property report checks your address and lists every permit, registration, tax and rule that applies, with links to the official forms, delivered within 5 business days.

North America