STR Rule Watch

Short-Term Rental Laws in Boston, MA (2026)

Primary residence onlyPrimary residence only

Short-term rentals (stays under 28 days) are legal in Boston only in an owner-occupant's primary residence or in a secondary unit of an owner-occupied two- or three-family home โ€” investor-owned and tenant-operated STRs are banned. Hosts must register annually with the Inspectional Services Department ($25/year for a Limited Share unit; $200/year for a Home Share or Owner-Adjacent unit), display the registration number on listings, and pay lodging taxes of up to 17.95% (generally collected by platforms like Airbnb). Always confirm current requirements with the city before operating.

Boston STR rules at a glance

Key short-term rental facts for Boston
Legal statusPrimary residence only
Permit requiredYes
Permit nameShort-Term Rental Registration (City of Boston Inspectional Services Department)
Permit fee$200
RenewalAnnual
Owner occupancy requiredYes
Primary residence onlyYes
Total occupancy taxes~17.95% of gross revenue
InsuranceYes, under state law: M.G.L. c. 175, sec. 4F requires an operator to maintain liability insurance of not less than $1,000,000 per short-term rental unless the rental is offered through a hosting platform that maintains equal or greater coverage; operators must also notify their homeowners/renters insurer of intent to operate an STR.
EnforcementEnforced by the Inspectional Services Department (ISD). Registration numbers must be displayed on all listings; under the August 2019 Airbnb v. Boston settlement, Airbnb removes listings without a city-formatted registration number (removals began December 1, 2019) and deactivates listings the city flags as ineligible within 30 days. Licenses are suspended for the duration of any violation, and units with three or more code violations within six months become ineligible. By November 2019 the city had issued over 300 fines (~$90,000) for illegal listings. A November 2025 Boston University Initiative on Cities brief found only about 41% of active listings displayed a license matching the city registry and described enforcement as reactive and capacity-limited.
Current rules effective2019-01-01

What will guests pay in taxes on a Boston stay?

Itemized occupancy taxes for Boston, MA โ€” enter your nightly rate to see the real cost breakdown.

Boston occupancy tax calculator

Gross rent$450.00
Massachusetts state room occupancy excise (5.7%)ยท usually collected by platform$25.65
City of Boston local option room occupancy excise (6.5%)ยท usually collected by platform$29.25
Convention Center Financing Fee (2.75%)ยท usually collected by platform$12.38
Community impact fee (short-term rentals) (3%)ยท usually collected by platform$13.50
Total tax (17.95%)$80.78
Guest pays$530.78

Estimate only. Platform collection varies by listing site and agreement; verify rates with the taxing authorities.

Permits & licensing

Boston requires Short-Term Rental Registration (City of Boston Inspectional Services Department) to operate a short-term rental โ€” the fee is $200, renewed annual.

Fees are tiered by unit type: Limited Share Unit (private bedroom, owner present) $25/year; Home Share Unit (entire primary residence) $200/year; Owner-Adjacent Unit (secondary unit in owner-occupied 2-3 family building) $200/year. Lodging houses and bed & breakfasts must register but pay no fee. After ISD approval, operators must also obtain a business certificate from the City Clerk's office (separate fee) and notify all residential abutters within 300 feet within 30 days of licensure.

Zoning & location rules

The STR ordinance (Boston Municipal Code ch. 9-14) applies citywide rather than by zoning district; eligibility turns on owner-occupancy and unit status, not location. Ineligible units include income-restricted/'below market rate' housing, units receiving rental assistance, units within designated 'Problem Properties,' units barred from subleasing by law or lease, and units with three or more noise/trash/disorderly-conduct violations in six months. In December 2019 the Boston Zoning Commission closed the 'executive suites' loophole, so converting apartments to non-owner-occupied short-term rental use requires Zoning Board of Appeal approval.

Taxes

TaxRateWho collects
Massachusetts state room occupancy exciseApplies to short-term rentals statewide since July 1, 2019 (14-day-or-fewer annual rentals exempt with DOR declaration). Intermediaries such as Airbnb collect and remit for platform bookings; hosts taking direct bookings must register with DOR (MassTaxConnect) and remit themselves.5.7%platform
City of Boston local option room occupancy exciseBoston's local option rate is 6.5% (higher than the 6% cap for other municipalities), effective July 1, 2019 per the DOR Division of Local Services databank. Platform-collected for intermediary bookings; otherwise host-remitted.6.5%platform
Convention Center Financing FeeApplies in Boston, Worcester, Cambridge, Springfield, West Springfield, and Chicopee. Platform-collected for intermediary bookings.2.75%platform
Community impact fee (short-term rentals)Boston adopted the 3% community impact fee effective July 1, 2019, and opted to apply it both to professionally managed units and to STRs within owner-occupied 2-3 family dwellings (per DLS databank flags) โ€” so it chiefly hits Owner-Adjacent rentals, since investor units are banned. Platform-collected for intermediary bookings. Total possible lodging tax burden: 14.95%-17.95%.3%platform

Enforcement & penalties

Enforced by the Inspectional Services Department (ISD). Registration numbers must be displayed on all listings; under the August 2019 Airbnb v. Boston settlement, Airbnb removes listings without a city-formatted registration number (removals began December 1, 2019) and deactivates listings the city flags as ineligible within 30 days. Licenses are suspended for the duration of any violation, and units with three or more code violations within six months become ineligible. By November 2019 the city had issued over 300 fines (~$90,000) for illegal listings. A November 2025 Boston University Initiative on Cities brief found only about 41% of active listings displayed a license matching the city registry and described enforcement as reactive and capacity-limited.

Fines of $100 per violation per day for offering an STR without registering with ISD or while registration is suspended; $300 per violation per day for offering (or, for booking agents, accepting a fee to book) a unit that is not an eligible residential unit. Each day of non-compliance with a violation notice is a separate violation; repeat violations lead to license suspension/ineligibility.

โš ๏ธ HOA/condo rules may prohibit STRs regardless of city law.

Recent rule changes in Boston

  1. November 7, 2025

    BU Initiative on Cities brief documents enforcement gaps in Boston's STR regime

    A Boston University Initiative on Cities research brief found Boston's ordinance cut STR listings ~56% (about 3,000 listings removed) but that only ~41% of current listings displayed a license matching the city registry, that professional hosts still account for ~76% of supply, and that enforcement remains reactive and capacity-limited. No rule change, but a notable enforcement/compliance milestone.

    Official source โ†’
  2. August 6, 2024

    Massachusetts Affordable Homes Act signed (ADU/STR interaction)

    Gov. Healey signed the Affordable Homes Act (Ch. 150 of the Acts of 2024), allowing accessory dwelling units by right statewide effective February 2025 while permitting municipalities to ban short-term rental use of ADUs. No change to Boston's STR ordinance itself; Boston's owner-occupancy rules continue to govern which units may be rented short-term.

    Official source โ†’

Frequently asked questions

โ€บIs Airbnb legal in Boston?

Airbnb is legal in Boston, MA, only for your primary residence โ€” dedicated investment properties generally cannot be short-term rentals. Always confirm current requirements with the city before operating.

โ€บDo I need a permit for a short-term rental in Boston?

Yes. Boston requires a Short-Term Rental Registration (City of Boston Inspectional Services Department) to operate a short-term rental, which costs $200 and must be renewed every year. Always confirm current requirements with the city before operating.

โ€บHow much does a Boston short-term rental permit cost?

The Short-Term Rental Registration (City of Boston Inspectional Services Department) costs $200 (annual renewal). Fees are tiered by unit type: Limited Share Unit (private bedroom, owner present) $25/year; Home Share Unit (entire primary residence) $200/year; Owner-Adjacent Unit (secondary unit in owner-occupied 2-3 family building) $200/year. Lodging houses and bed & breakfasts must register but pay no fee. After ISD approval, operators must also obtain a business certificate from the City Clerk's office (separate fee) and notify all residential abutters within 300 feet within 30 days of licensure.

โ€บCan I Airbnb a non-primary residence in Boston?

Generally no. Boston limits short-term rentals to the operator's primary residence, which rules out running a dedicated investment property as a short-term rental in most cases. Always confirm current requirements with the city before operating.

โ€บWhat taxes do short-term rental hosts pay in Boston?

Hosts in Boston are subject to: Massachusetts state room occupancy excise (5.7%), City of Boston local option room occupancy excise (6.5%), Convention Center Financing Fee (2.75%), Community impact fee (short-term rentals) (3%) โ€” roughly 17.95% total on gross rental revenue. Platforms like Airbnb collect some of these automatically; check each line's collection method on this page.

โ€บWhat happens if I operate a short-term rental illegally in Boston?

Fines of $100 per violation per day for offering an STR without registering with ISD or while registration is suspended; $300 per violation per day for offering (or, for booking agents, accepting a fee to book) a unit that is not an eligible residential unit. Each day of non-compliance with a violation notice is a separate violation; repeat violations lead to license suspension/ineligibility. Enforced by the Inspectional Services Department (ISD). Registration numbers must be displayed on all listings; under the August 2019 Airbnb v. Boston settlement, Airbnb removes listings without a city-formatted registration number (removals began December 1, 2019) and deactivates listings the city flags as ineligible within 30 days. Licenses are suspended for the duration of any violation, and units with three or more code violations within six months become ineligible. By November 2019 the city had issued over 300 fines (~$90,000) for illegal listings. A November 2025 Boston University Initiative on Cities brief found only about 41% of active listings displayed a license matching the city registry and described enforcement as reactive and capacity-limited.

Boston's STR rules changed 2 times recently.

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Sources

This page is informational only and is not legal, tax, or financial advice. Rules change and enforcement varies โ€” verify current requirements with Boston and a qualified professional before operating.

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