Missouri Short-Term Rental Regulation: A Guide For Airbnb Hosts

What are Short-Term Rental (Airbnb, VRBO) Regulations in Missouri?

Short-term rentals like Airbnb and VRBO have become increasingly popular in Missouri. However, hosts looking to start an STR business need to navigate a patchwork of regulations at the state, county, and city levels. These rules are often found in zoning codes, planning codes, ordinances, and discussions on real estate forums.

Starting a Short-Term Rental Business in Missouri

To legally launch and operate a short-term rental in Missouri, hosts must obtain the proper licenses and permits from their local city or municipality. While regulations vary, they generally include:

• Obtaining a short-term rental permit or license
• Complying with building and fire safety codes, such as having working smoke detectors, fire extinguishers, and clear emergency evacuation routes
• Adhering to occupancy limits based on factors like the number of bedrooms or square footage
• Providing adequate parking as required by local ordinances
• Collecting and remitting applicable lodging taxes

For example, in Jefferson City, short-term rental hosts must obtain a business license, comply with building standards like having no more than 5 unrelated occupants, and provide 2-3 on-site parking spots depending on street parking availability. St. Louis County enacted new STR regulations in November 2023, requiring operators to obtain permits, designate a 24/7 contact, and limit the number of units an individual can rent out.

Some cities have imposed additional restrictions. The City of St. Charles placed a moratorium on new STRs in residentially zoned areas from June 2024 to June 20253. As of August 2022, St. Charles also requires STRs to be at least 500 feet apart in residential districts and caps the total number at 0.5% of housing units.

Short-Term Rental Licensing Requirements in Missouri

While there are no statewide licensing requirements for short-term rentals in Missouri, hosts must comply with local regulations set by cities and counties. These requirements often include obtaining a business license or permit, paying applicable fees, and meeting specific safety and zoning standards.

According to the Missouri Department of Revenue, short-term rental operators are responsible for collecting and remitting state sales tax (4.225%) and any applicable local sales taxes. They must register their business with the Missouri Department of Revenue and obtain a Missouri Tax ID Number.

Here are the licensing requirements for short-term rentals in some of Missouri's major cities:

Kansas City

1. Hosts must obtain a business license from the Kansas City Business License Office.
2. The application fee is $39, and the annual license fee is based on gross receipts (starting at $52 for receipts under $100,000).
3. Hosts must also obtain a special use permit from the City Planning and Development Department, which costs $321 and requires a site plan and floor plan.
4. The process typically takes 4-6 weeks.
5. Operating without a license can result in fines of up to $500 per day.

St. Louis

1. As of November 2024, all short-term rentals in St. Louis must obtain a permit from the Building Division.
2. Permit applications will be available online starting November 6, 2024, and hosts must apply by May 6, 2025.
3. Units operating without a permit after May 6, 2025, will be fined $500 per violation per day.
4. Hosts must designate a local contact person available 24/7 to address any issues.
5. The number of permits per host and building is limited based on factors like owner occupancy and building size.

Springfield

1. Hosts must obtain a business license from the City of Springfield Finance Department.
2. The application fee is $30, and the annual license fee is based on gross receipts (starting at $25 for receipts under $10,000).
3. Hosts must also obtain a certificate of occupancy from the Building Development Services Department, which requires an inspection to ensure compliance with building and fire codes.
4. The process typically takes 2-4 weeks.
5. Operating without a license can result in fines of up to $500 per day.

In addition to these major cities, many smaller municipalities in Missouri have their own short-term rental regulations and licensing requirements. Hosts should always check with their local city or county government to ensure compliance and avoid penalties.

Required Documents for Missouri Short-Term Rentals

To obtain a short-term rental permit in Missouri, hosts must submit several documents to their local city or municipality. While exact requirements vary, here are the commonly requested items:

1. Completed Short-Term Rental Application: This form collects key details about the property, host, and planned rental operations. It's typically available through the city's planning, zoning, or development department website. In St. Louis County, the completed application must be submitted along with a $500 fee for initial permits or $250 for annual renewals.
2. Proof of Ownership or Landlord Approval: Applicants must demonstrate they own the property or have the owner's written permission to operate an STR. Acceptable documents include a deed, title, lease, or notarized letter from the landlord.
3. Site Plan: A detailed drawing showing the rental unit's location on the property, designated guest parking, and any outdoor areas accessible to guests. This helps cities verify compliance with zoning and parking requirements. St. Louis County, for example, requires a site plan with the permit application.
4. Floor Plan: A layout of the rental unit noting room dimensions and the locations of smoke detectors, fire extinguishers, and emergency exits. This is used to confirm the STR meets building and fire safety codes. Both St. Louis County and Springfield request floor plans during the application process.
5. Proof of Liability Insurance: Many cities, such as St. Louis County, require STR hosts to carry liability insurance with a minimum coverage amount (typically $1,000,000). Applicants must submit a certificate of insurance or other proof of coverage.
6. Copies of Guest Agreements or HouseRules: Some municipalities ask for a sample rental agreement or list of house rules that will be provided to guests. These documents should cover essential information like occupancy limits, noise restrictions, and parking instructions.
7. Hotel Tax Registration: In cities with lodging taxes, like Springfield, hosts need to register with the local tax collection authority and obtain a hotel/motel tax license before applying for an STR permit.

Gathering these documents takes time and careful attention to detail. Start the process early to avoid delays in getting your STR permit approved. Remember, requirements vary by city, so always check with your local government for the most current information on short-term rental licenses and registration.

Missouri Short-Term Rental Taxes

Short-term rental hosts in Missouri are subject to various taxes at the state and local levels. Understanding these tax obligations is crucial for running a compliant and profitable STR business. Here's a breakdown of the key taxes that apply to STRs in Missouri:

State Lodging Tax: Missouri imposes a 4.225% lodging tax on all sleeping rooms furnished by STR operators for stays of 30 nights or less. Hosts must collect this tax from guests and remit it to the Missouri Department of Revenue on a monthly or quarterly basis, depending on the amount of tax due.

State Sales Tax: In addition to the lodging tax, STR hosts must collect and remit the 4.225% state sales tax on the rental price, including cleaning fees, for stays of 29 nights or less. City and county sales taxes ranging from 0.25% to 5% may also apply.

Local Lodging Taxes: Some cities and counties in Missouri levy their own lodging taxes. For example, St. Louis imposes a 3.75% tax on the listing price for reservations of 31 nights or less, which is remitted to the Convention and Visitors Commission1. Municipalities like Chesterfield and Maryland Heights have transient guest taxes ranging from 5% to 7.5%.

Income Tax: Rental income from STRs is taxable and must be reported on federal and state income tax returns. The Missouri state income tax rate ranges from 1.5% to 5.4% based on income level. STR income is typically reported on Schedule C for rental businesses or Schedule E for passive rental income.

Self-Employment Tax: Hosts who actively manage their STRs may need to pay the 15.3% self-employment tax (Social Security and Medicare taxes) on their rental income.

Tax Deductions and Write-Offs

To reduce their tax liability, STR hosts in Missouri can claim various deductions related to their rental business:

1. Mortgage interest and property taxes
2. Utilities (electricity, gas, water, internet)
3. Cleaning and maintenance expenses
4. Supplies and amenities provided to guests
5. Depreciation of furniture and equipment used in the rental
6. Insurance premiums
7. Advertising and marketing costs
8. Fees paid to STR platforms like Airbnb or Vrbo

Hosts should keep accurate records of all expenses and consult with a tax professional to ensure they are claiming all eligible deductions. It's important to track rental vs. personal use of the property, as deductions may be limited if the STR is used personally for more than 14 days per year or 10% of total rental days.

By understanding Missouri's tax landscape and taking advantage of available deductions, STR hosts can minimize their tax burden while remaining compliant with state and local regulations. Staying informed and seeking professional advice when needed will help ensure the long-term success of your STR business.

Does Missouri Strictly Enforce STR Rules?

Based on discussions among hosts and investors on forums like BiggerPockets and Reddit, Missouri's enforcement of short-term rental regulations varies significantly by location, with some cities being more Airbnb-friendly than others. However, the general consensus is that many hosts continue to operate STRs despite restrictive rules, indicating that enforcement is inconsistent across the state.

Kansas City, for example, has been called one of the "worst places" for STRs by the National Association of Realtors. The city's zoning code prohibits rentals under 30 days in residential districts, technically making many existing Airbnbs illegal. Despite this, Kansas City had the second-highest Airbnb bookings in Missouri in 2016. In response to the growing number of unlicensed rentals, the city recently passed ordinances to tighten STR regulations, banning non-owner occupied STRs in residential zones and requiring all listings to include a city registration number.

On BiggerPockets, investors note that Kansas City proper has stricter rules and enforcement than neighboring counties like Johnson County, KS. This has led some hosts to focus on properties outside the city limits to avoid compliance issues. Others simply operate under the radar, betting that the city lacks resources for proactive enforcement.

Similarly, St. Louis County appears to have a lax approach to STR enforcement compared to the City of St. Louis. Many hosts on BiggerPockets report operating without permits and receiving little pushback from the county. One host shared, "We manage over a hundred long-term and short-term (AirBnB) rentals all over the city. It very much depends on the area and the property. Some areas and properties have no issues operating without permits." This suggests a lack of uniform enforcement across the county.

In contrast, the City of St. Louis has taken a stricter stance on STRs. In November 2023, the city enacted new regulations requiring operators to obtain permits, designate a 24/7 contact person, and limit the number of units an individual can rent out. These rules aim to address issues such as noise complaints, parties, and "ghost hotels" where owners are absent. Short-term rental marketplaces like Airbnb and Vrbo are prohibited from completing bookings for properties without permit numbers.

Overall, while Missouri has a patchwork of STR regulations at the local level, enforcement appears to be spotty and inconsistent. Many hosts continue to operate despite the rules, particularly in areas with less stringent oversight. However, as cities like St. Louis and Kansas City crack down on unlicensed rentals, the risks of non-compliance are growing. Hosts should carefully research the specific regulations and enforcement practices in their location to avoid potential fines and penalties.

How to Start a Short-Term Rental Business in Missouri

Starting a short-term rental business in Missouri requires careful planning and attention to local regulations. Here's a step-by-step guide to help you successfully launch your STR venture:

1. Research local STR regulations: Before investing in a property, thoroughly investigate the short-term rental laws in your target city or county. Consult zoning codes, planning departments, and local ordinances to ensure STRs are permitted in your desired location. Pay attention to requirements like permits, licenses, occupancy limits, and safety standards.
2. Choose a suitable property: Look for a property that meets local STR regulations and appeals to your target guests. Consider factors like location, amenities, parking, and accessibility. Analyze the local STR market to determine the demand for your property type and set competitive rates.
3. Obtain necessary permits and licenses: Apply for any required STR permits or licenses from your city or county. This typically involves submitting an application, paying fees, and providing documentation like proof of ownership, site plans, and floor plans. Allow ample time for the approval process, which can take several weeks or months.
4. Register with tax authorities: Register your STR business with the Missouri Department of Revenue and obtain a Missouri Tax ID Number. This is necessary for collecting and remitting state lodging and sales taxes. Check if your city or county has additional tax registration requirements.
5. Set up your STR listing: Create an attractive listing on popular STR platforms like Airbnb, Vrbo, or Booking.com. Include high-quality photos, detailed descriptions, and accurate information about amenities, house rules, and local attractions. Develop a compelling brand identity to stand out from competitors.
6. Implement a pricing strategy: Research the rates of similar STRs in your area and adjust your prices based on factors like seasonality, events, and demand. Consider using dynamic pricing tools to automatically optimize your rates and maximize occupancy.
7. Establish cleaning and maintenance processes: Develop a thorough cleaning checklist and hire reliable cleaners to ensure your STR is spotless between guests. Create a maintenance schedule for regular upkeep and repairs. Stock your rental with essential amenities and supplies to enhance the guest experience.
8. Automate your STR operations: Utilize vacation rental software to streamline tasks like booking management, guest communication, and cleaning coordination. Automating repetitive processes will save you time and improve efficiency as your STR business grows.
9. Promote your STR listing: In addition to leveraging STR platforms, promote your rental through social media, targeted online advertising, and local partnerships. Encourage satisfied guests to leave reviews and recommendations to build trust and attract new bookings.
10. Monitor your STR performance: Regularly track key metrics like occupancy rate, revenue, and guest satisfaction. Analyze your performance data to identify areas for improvement and make data-driven decisions to optimize your STR business.

By following these steps and staying informed about local regulations, you'll be well-positioned to launch a successful short-term rental business in Missouri. Remember to prioritize guest experience, maintain compliance, and adapt to changes in the market to ensure long-term growth and profitability.

Who to Contact in Missouri about Short-Term Rental Regulations and Zoning?

If you have questions about short-term rental regulations or zoning in Missouri, there are several state and local resources available to assist you:

Missouri Department of Revenue

For questions about state lodging and sales taxes:

1. Phone: (573) 751-3505
2. Email: salesuse@dor.mo.gov
3. Website: https://dor.mo.gov/business/sales/

St. Louis County Department of Planning

For questions about STR regulations and zoning in unincorporated St. Louis County:

1. Phone: (314) 615-2520
2. Address: 41 South Central, Clayton, MO 63105
3. Office Hours: Monday-Friday, 8:00 AM - 4:30 PM

City of St. Louis Building Division

For questions about the city's new STR permit requirements starting November 2024:

• Phone: (314) 622-3313
• Website: https://www.stlouis-mo.gov/government/departments/public-safety/building/permits/Short-Term-Rentals.cfm

City of Springfield Planning & Development Department

For questions about Springfield's STR registration and inspection process:

• Phone: (417) 864-1031
• Website: https://www.springfieldmo.gov/5968/Short-term-Rentals

City of Columbia Community Development Department

For questions about Columbia's new STR ordinance effective June 2024:

• Phone: (573) 874-7246
• Website: https://www.como.gov/featured/short-term-rental-regulations/

In addition to these official contacts, Missouri hosts may find it helpful to connect with other local STR operators through online forums and communities. Some active groups include:

• St. Louis Airbnb Hosts Facebook Group: https://www.facebook.com/groups/1697719943884363/
• Kansas City Airbnb Hosts Forum on BiggerPockets: https://www.biggerpockets.com/forums/530/topics/935201-kansas-city-airbnb-hosts
• Springfield Short Term Rental Alliance Facebook Group: https://www.facebook.com/sgfstra/
• Missouri Vacation Rental Owners and Managers (MO VROM) Industry Group: https://www.movrom.org/

These communities provide a platform for hosts to share experiences, ask questions, and stay up-to-date on regulatory changes impacting the STR industry in their area. By reaching out to the appropriate government contacts and engaging with fellow hosts, STR operators in Missouri can ensure they have the information and support needed to run compliant and successful rentals.

What Do Airbnb Hosts in Missouri on Reddit and Bigger Pockets Think about Local Regulations?

Missouri hosts on Reddit and BiggerPockets have shared a range of experiences and opinions regarding local short-term rental regulations. Here are a few notable examples:

Kansas City's Proposed STR Ban (BiggerPockets)

In May 2023, a BiggerPockets user reported that Kansas City, MO announced plans to completely ban short-term rentals in all residential zoning. The city intends to enlist platforms like Airbnb to enforce the law by prohibiting listings with Kansas City addresses. Hosts expressed frustration, noting that most of the city's STRs were already operating "illegally" due to strict permitting requirements that only 7% of listings had obtained. The proposed ban sparked concerns about the future viability of STRs in Kansas City.

Navigating Kansas City's Complex STR Landscape (BiggerPockets)

A 2016 BiggerPockets thread highlighted the challenges of operating STRs in Kansas City, MO. The original poster shared details of a proposed ordinance that would restrict owners in multi-family properties from short-term renting units they don't personally live in. Owners would also need to reside in their unit for 60 days before listing it, with a 90-day annual cap on STRs. Users noted that Kansas City's zoning code already banned rentals under 30 days in residential areas, putting many Airbnbs in a legal gray area. The discussion underscored the complex and restrictive nature of KC's STR regulations.

Profitability Despite Regulations (Reddit)

In a February 2024 Reddit thread, Missouri hosts discussed their monthly profits and the impact of local regulations. One host shared that after six years of hosting, the only way to make STRs beneficial is to own the property outright and handle all cleaning and repairs yourself. They described how county law changes led to rezoning, higher taxes, per-guest fees, and increased occupancy taxes, forcing them to lower nightly rates. Despite these challenges, hosts emphasized that STRs can still be profitable with the right property and approach, such as offering desirable amenities and creating an inviting atmosphere.

These examples demonstrate that Missouri hosts face a challenging regulatory landscape, particularly in cities like Kansas City. While some have found ways to operate profitably despite the rules, the ever-changing legal environment creates uncertainty and frustration for many. Hosts must stay informed about local ordinances and be prepared to adapt their business models as needed to remain compliant and successful.

Disclaimer: While we here at BNBCalc strive to keep all of our regulation guides updated and accurate with all the latest local laws, we still do not suggest using them as your sole or primary source for local regulations. We also do not recommend you rely on the third-party sources we link to or reference, and we are not responsible for any of the information on these third-party sites. These guides are for entertainment purposes only and only provide basic information and should not be considered as legal advice.

We highly recommend directly contacting the responsible parties for each area and hearing what their officials have to say. Ultimately, it's your responsibility as an investor to ensure you fully comply with the local laws, and it's best to speak with professionals before making an investment decision.