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Illinois Short-Term Rental Regulations by City

Comprehensive short-term rental guides for 14 markets in Illinois.

2
🚫 Prohibited
14%
2
⛔ Strict
14%
6
⚠️ Moderate
43%
4
✅ Permissive
29%

🚫 Prohibited

2 markets

Schaumburg

Illinois

Prohibited

Schaumburg requires an annual short-term rental license, mandatory safety inspections, and a crime-free housing seminar, with strict limits on corporate ownership and density.

Permit requiredNight limits
Primary residence
0.1% total tax

Naperville

Illinois

Prohibited

Short-term rentals of residential properties for periods of less than 30 consecutive days are strictly prohibited in the City of Naperville.

Night limits
0.1% total tax

⛔ Strict

2 markets

Galena

Illinois

Strict

The City of Galena strictly regulates short-term rentals under its 'Guest Accommodation' ordinance. Permits are generally restricted to commercial zones or specific residential areas with an overlay, and there is a limit of one license per owner.

Permit required
0.1% total tax

Bloomington Normal

Illinois

Strict

Short-term rentals in Bloomington and Normal require city registration, monthly tax remittance, and must comply with strict zoning restrictions, including owner-occupancy requirements in specific residential zones in Normal.

Permit requiredPrimary residence
0.1% total tax

⚠️ Moderate

6 markets

Chicago

Illinois

Moderate

Chicago strictly regulates short-term rentals through a dual system of 'Shared Housing' registrations (for platform users) and 'Vacation Rental' licenses. Hosts must pay a combined tax rate of 17.4% (including state and county portions) and ensure their building is not on the City's 'Prohibited Buildings List'.

Permit required
0.2% total tax

Urbana

Illinois

Moderate

Urbana requires all short-term rentals to register annually under its Rental Registration and Inspection Program and pay a 7% local hotel/motel use tax.

Permit required
0.1% total tax

Carbondale

Illinois

Moderate

Short-term rentals in Carbondale, known as Vacation Rental Units (VRUs), require an annual license, a safety inspection, and must adhere to specific occupancy and parking standards.

Permit required
0.1% total tax

Champaign

Illinois

Moderate

Champaign requires all short-term rentals to obtain an annual Rental License, pass safety inspections, and maintain a 200-foot separation distance in residential zones.

Permit required
0.1% total tax

Charleston

Illinois

Moderate

Short-term rentals in Charleston are governed by a 2025 ordinance requiring a zoning use permit and adherence to specific occupancy and safety standards.

Permit required
0.1% total tax

Macomb

Illinois

Moderate

Short-term rentals in Macomb are regulated under the city's general residential rental registration program and are subject to a 5% local hotel/motel tax.

Permit required
0.1% total tax

✅ Permissive

4 markets

Dekalb

Illinois

Permissive

Short-term rentals with five or fewer rooms are currently exempt from City of DeKalb licensing and hotel-motel tax requirements.

0.1% total tax

Joliet

Illinois

Permissive

Short-term rentals (STRs) are permitted in Joliet, IL, but hosts must obtain a Rental Registration Certificate and comply with local regulations and safety standards. STRs are subject to the city's hotel and motel tax and may be subject to state and county sales tax.

Permit required

Peoria

Illinois

Permissive

Short-term rentals in Peoria are defined as stays under 30 days and require an annual license, safety inspections, and the collection of an 8% municipal room tax.

Permit required
0.1% total tax

Rockford

Illinois

Permissive

Rockford requires short-term rental operators to obtain an annual permit, register with the city's rental registry, and adhere to strict occupancy and parking regulations.

Permit required
0.1% total tax