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  1. Home
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  3. Regulations
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  5. Illinois
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  7. Urbana

Urbana

Moderate
IllinoisUpdated Apr 4, 2026
Gold-standard verification1% sourced

Cross-referenced against 0 official sources — municipal codes, planning-department pages, and government registries.

Verified Feb 6, 2026Sources 0

Summary

Plain-english overview

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.

Restriction level

Severity 8
Classification
Moderate
8
Severity

Why this classification

  • Permit required
  • Reporting required
  • No night cap
  • No primary residence requirement
  • Tenants can host

In plain English

What this means for you

If you rent your property for fewer than 30 days, you must register it with the City of Urbana's Building Safety Division and pay an annual fee. You are also required to collect and remit a 7% city hotel/motel tax, though platforms like Airbnb typically handle this for you. While the city is considering more specific rules, currently STRs are treated like any other residential rental property.

At a glance

Key numbers
Permit requiredYes
Night limitNone
Primary residenceNot required
Total tax rate0.1%
Permit fee$60
Processing time1-2 weeks

4 things hosts often miss

Common compliance gaps
  1. 1The 2024-2025 registration cycle runs from October 15 to October 14.
  2. 2Late fees apply for registrations submitted after the deadline.
  3. 3The city has been actively discussing a more restrictive STR-specific ordinance as of late 2024, so rules may change in 2025.
  4. 4Total lodging tax is 13% (7% City + 6% State).

Regulation details

Sourced from official code
Eligibility5 rules
  • Urbana: You can have a co-host or property manager help manage your listing.
  • Urbana: Your HOA can prohibit short-term rentals even if the city allows them. Check your CC&Rs before applying.
  • Urbana allows tenants to host STRs. Requirements: Tenants must have landlord permission and comply with the Urbana Landlord/Tenant Ordinance.
Requirements12 rules
  • Urbana requires STR registration. The permit is called "Rental Property Registration". Apply through Building Safety Division. Processing time: 1-2 weeks. Renewal is required.
  • Urbana does not require liability insurance for STR hosts, but it is strongly recommended.
  • Urbana: The city has been actively discussing a more restrictive STR-specific ordinance as of late 2024, so rules may change in 2025.
Application process8 rules
  • Step-by-step guide to get an STR permit in Urbana: Step 1: Create a CitizenServe Account - Visit the Urbana CitizenServe online portal and create a user account for the owner or property manager. Estimated time: 15 minutes. More info: https://www.citizenserve.com/urbana Step 2: Submit Rental Property Registration - Select 'Rental Property Registration' from the application type menu and provide property details, including unit count and owner contact information. Documents needed: Proof of Ownership, Agent Contact Information. Estimated time: 1 week. Cost: 60. More info: https://www.urbanail.gov/rrp Step 3: Pay Annual Registration Fee - Pay the annual fee based on property type (e.g., $60 for a single-family home) via the online portal. Estimated time: Immediate. Cost: 60. More info: https://www.citizenserve.com/urbana Step 4: Schedule Inspection - The Building Safety Division will schedule a systematic inspection on a 3-5 year cycle. Operators must ensure the unit meets life safety and property maintenance codes. Estimated time: TBD.
Fees & costs2 rules
  • Urbana: Late fees apply for registrations submitted after the deadline.
  • Urbana charges a registration fee of $60 (annual).
Taxes3 rules
  • Urbana charges a Hotel/Motel Use Tax of 0.07%. This applies to stays under 30 days. Platforms like Airbnb collect and remit this tax. Note: Airbnb and VRBO remit the 7% city tax directly.
  • Urbana: Total lodging tax is 13% (7% City + 6% State).
  • Illinois has a state sales tax of 0.0625% that applies to STR rentals.
Limits & restrictions2 rules
  • Urbana enforces quiet hours: 10:00 PM - 7:00 AM.
  • Urbana limits stays to a maximum of 30 nights.
Safety requirements1 rule
  • Urbana requires the following safety measures for STRs: smoke detectors, CO detectors, fire extinguisher, fire inspection, posted maximum occupancy, posted emergency contact, Egress windows in sleeping rooms, General property maintenance code compliance (IPMC).
Penalties2 rules
  • Urbana: Repeated violations can result in permanent permit revocation. You would lose the ability to operate any STR.
  • Urbana enforces the following penalties for STR violations: First offense: Varies. Second offense: Varies. Third offense: Varies. Daily fine: $50-$750 per day. Permit may be revoked for violations.
Exemptions2 rules
  • Urbana: Rentals of 30+ days are generally NOT considered short-term rentals and may be exempt from STR regulations (but may have other requirements).
  • Urbana exempts the following from STR regulations: long-term rentals (30+ days), extended stays, Nursing homes, Hotels/Motels, University Certified Housing.

How to get permitted

Step-by-step guide for Urbana

0/4
steps completed
Step 1

Create a CitizenServe Account

Visit the Urbana CitizenServe online portal and create a user account for the owner or property manager.

15 minutesFree
Official resource
Step 2

Submit Rental Property Registration

Select 'Rental Property Registration' from the application type menu and provide property details, including unit count and owner contact information.

1 week$60
Documents needed
  • Proof of Ownership
  • Agent Contact Information
Official resource
Step 3

Pay Annual Registration Fee

Pay the annual fee based on property type (e.g., $60 for a single-family home) via the online portal.

Immediate$60
Official resource
Step 4

Schedule Inspection

The Building Safety Division will schedule a systematic inspection on a 3-5 year cycle. Operators must ensure the unit meets life safety and property maintenance codes.

TBDFree

Frequently asked questions

4 answered

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 city/county planning department before operating a short-term rental.

Researched & verified by Learn STR at GoStudioM

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