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All states

Illinois short-term rental regulations

Illinois · The Prairie State14 markets coveredUpdated Apr 19, 2026
Restriction mix14 markets
Prohibited2 · 14%
Strict2 · 14%
Moderate
Sort
Prohibited

Banned or owner-occupied only

2 markets

STRs are banned outright or limited to owner-occupied stays only.

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...

Permit requiredNight limitPrimary residence
Permit fee $3000.1% 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.

Permit requiredNight limitPrimary residence
0.1% tax
Strict

Heavy restrictions apply

2 markets

Heavy regulation: caps, primary-residence rules, lottery permits, or night limits.

Galena

Illinois

Strict

The City of Galena strictly regulates short-term rentals under its 'Guest Accommodation' ordinance.

Permit requiredNight limitPrimary residence
Permit fee $2500.1% 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...

Permit requiredNight limitPrimary residence
Permit fee $2500.1% tax
Moderate

Permit required · STRs broadly allowed

6 markets

Permit + tax registration required; otherwise STRs are broadly allowed.

Chicago

Illinois

Moderate

Chicago strictly regulates short-term rentals through a dual system of 'Shared Housing' registrations (for platform users) and 'Vacation Rental' licenses.

Permit requiredNight limitPrimary residence
Permit fee $1250.2% 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 requiredNight limitPrimary residence
Permit fee $600.1% 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...

Permit requiredNight limitPrimary residence
Permit fee $100.1% 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...

Permit requiredNight limitPrimary residence
Permit fee $500.1% 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 requiredNight limitPrimary residence
Permit fee $1000.1% 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 requiredNight limitPrimary residence
Permit fee $180.1% tax
Permissive

Light-touch rules · STRs welcome

4 markets

Minimal restrictions: basic registration, no permit caps, no night limits.

Dekalb

Illinois

Permissive

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

Permit requiredNight limitPrimary residence
Free permit0.1% 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...

Permit requiredNight limitPrimary residence
Permit fee $100

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...

Permit requiredNight limitPrimary residence
Permit fee $750.1% 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...

Permit requiredNight limitPrimary residence
Permit fee $1000.1% tax
6 · 43%
Permissive4 · 29%

Neighboring states & common comparisons

Wisconsin18 marketsMissouri13 marketsIndiana13 marketsIowa8 marketsKentucky4 markets

Disclaimer: Regulatory information is AI-researched from public city/county codes for educational purposes. Details may be outdated or incomplete. Always verify requirements directly with your local planning department before operating a short-term rental.