Is Airbnb legal in Grand Rapids, MI?

Restricted

These rules are changing or in active litigation. Verify the current status directly before you rely on it.

Airbnb is restricted in Grand Rapids, MI

STRs are allowed only as an owner-occupied home-share: the operator must live there as a principal residence and be present during the stay, only one room may be rented, and the city caps issuance at 200 licenses a year. Whole-home Airbnbs are effectively not permitted.

Grand Rapids City Code Ch. 116 + Ch. 61View the ordinance

Verified July 2026. Not legal advice. Rules change and may be enforced differently than written. Confirm with the city before you list.

Key rules at a glance

Permit or registration

Required

Primary residence only

Yes

Annual night cap

Not confirmed

Registration fee

$634

How short-term rentals work in Grand Rapids

STRs are allowed only as an owner-occupied home-share: the operator must live there as a principal residence and be present during the stay, only one room may be rented, and the city caps issuance at 200 licenses a year. Whole-home Airbnbs are effectively not permitted.

Only owner-occupants can run a short-term rental in Grand Rapids. Non-owner, investor-owned whole-home STRs are generally not permitted, which rules out the classic buy-and-Airbnb strategy here.

What it means for investors

Grand Rapids is a tough market for a non-owner-occupied short-term rental. If you own or want to buy here, a long-term rental or a house-hack (living in the property while renting part of it) is usually the more realistic play.

Short-term rental rules elsewhere in Michigan

Last reviewed July 2026. Informational and educational only, not legal advice, and no attorney-client relationship is created. Rules change and may be enforced differently than written. Verify the current ordinance with your local jurisdiction or counsel before acting.

Frequently asked questions

Is Airbnb legal in Grand Rapids?

STRs are allowed only as an owner-occupied home-share: the operator must live there as a principal residence and be present during the stay, only one room may be rented, and the city caps issuance at 200 licenses a year. Whole-home Airbnbs are effectively not permitted. This reflects the rules as of July 2026; confirm the current ordinance with the city before you list.

Do I need a permit to run a short-term rental in Grand Rapids?

Yes. Grand Rapids requires a permit or registration to operate a short-term rental, and platforms increasingly require the permit number on the listing.

Can I run a non-owner-occupied Airbnb in Grand Rapids?

Generally no. Grand Rapids limits short-term rentals to the host's primary residence, so an investor-owned property you do not live in typically cannot be used as a whole-home STR.

Is there a limit on how many nights I can rent in Grand Rapids?

No specific annual night cap was confirmed for Grand Rapids, though minimum-stay rules or license caps may effectively limit operations. Check the ordinance.

What taxes apply to a short-term rental in Grand Rapids?

Short-term rentals in Grand Rapids are generally subject to state and local lodging or occupancy taxes on top of income tax. Airbnb and VRBO collect some of these automatically, but not always all of them, so confirm the current rate and who remits it with Michigan and the city.