Short-Term Rental Regulations in Illinois (IL)
Illinois has a moderate level of short-term rental regulation. Some restrictions. No statewide STR registration is required. No state-level license is needed. Platforms like Airbnb collect and remit taxes. Illinois has no statewide STR law. Platforms must collect and remit state and local hotel taxes. Chicago has a comprehensive shared housing ordinance. Other municipalities regulate STRs through local zoning and licensing.
Full Requirements Summary
Illinois has 0 key regulatory requirements at the state level.
| Requirement | Status | Details |
|---|---|---|
| STRs Allowed | Yes | Short-term rentals are legal |
| Statewide Law | No | No statewide STR law; local regulation |
| Registration Required | No | No state registration needed |
| License Required | No | No state-level license |
| Primary Residence Only | No | Investment properties allowed |
| Maximum Nights/Year | No limit | No annual night limit at state level |
| Minimum Stay | No minimum | No minimum stay requirement |
| Host Presence Required | No | Un-hosted stays allowed |
| Insurance Required | No | No state insurance mandate |
| Safety Inspection | No | No state-required inspection |
| Platform Tax Collection | Yes | Platforms collect and remit taxes |
City-Level STR Regulations in Illinois
Rules diverge across Illinois: Chicago is the strictest of the 5 cities we track (heavy), while Springfield is the most permissive (minimal).
| City | Restriction Level | Local Notes |
|---|---|---|
| Chicago | Heavy | Shared Housing Ordinance requires registration. Must be primary residence or licensed vacation rental. $125 registration fee. 4.5% surcharge funds affordable housing. Max 6 guest rooms. Safety standards required. |
| Naperville | Moderate | STRs limited in residential zones. Permit may be required depending on zoning. |
| Evanston | Moderate | STR registration required. Zoning restrictions in some residential areas. |
| Galena | Light | Popular tourist destination. STR permits required. Local lodging tax applies. |
| Springfield | Minimal | No dedicated STR ordinance. Standard hotel tax and business license apply. |
How Illinois Compares to Other States
Below is a comparison of Illinois with five states that have similar STR regulation levels. This helps illustrate where Illinois stands nationally in terms of short-term rental friendliness.
| State | Restriction Level | Registration | License | Night Cap | Platform Tax |
|---|---|---|---|---|---|
| Illinois (IL) | Moderate | No | No | No limit | Yes |
| Colorado (CO) | Moderate | No | No | No limit | Yes |
| Florida (FL) | Moderate | Yes | Yes | No limit | Yes |
| Georgia (GA) | Moderate | No | No | No limit | Yes |
| Louisiana (LA) | Moderate | Yes | Yes | No limit | Yes |
| Maine (ME) | Moderate | Yes | No | No limit | Yes |
Frequently Asked Questions About Illinois STR Regulations
Can I legally operate an Airbnb in Illinois?
Yes, short-term rentals are legal in Illinois. No state-level registration is required, though your city may have its own requirements. The state's overall restriction level is moderate.
Does Airbnb collect taxes in Illinois?
Yes, Illinois has a platform accountability law. Airbnb and other platforms collect and remit applicable state and/or local taxes on behalf of hosts.
Which city in Illinois has the strictest Airbnb rules?
Among the cities we track, Chicago has the most restrictive STR regulations in Illinois with a heavy restriction level. Shared Housing Ordinance requires registration. Must be primary residence or licensed vacation rental. $125 registration fee. 4.5% surcharge funds affordable housing. Max 6 guest rooms. Safety standards required.
Check Another State or City
Use our STR regulation lookup tool to find the exact rules for your specific city in Illinois, or browse all 50 states to compare short-term rental friendliness across the country.