Short‑Term Rental Rules in Boston: Owner‑Occupied Basics

Thinking about hosting in your Boston home? Owner-occupied rules shape what you can rent, how often, and the steps to stay compliant. This guide walks you through eligibility, registration, taxes, and everyday best practices, with links to the official sources you will use to verify details and keep your listing legal.

Why Owner-Occupied Rules Matter in Boston

Owner-occupied short-term rentals let you earn income while you live in your home. Boston allows it in specific situations, but only when you follow the city’s definitions, safety rules, and tax requirements. Doing it right protects your neighbors, your guests, and your investment.

• Boston treats short-term rentals as stays under 28 consecutive nights in a residential unit according to the City’s program page.
• Only an owner can register as the operator in Boston, and the ordinance sets clear categories for owner-occupied setups per the municipal code.
• Massachusetts also applies room occupancy taxes to most short stays and requires registration with the Department of Revenue per state guidance.

As you plan, always confirm current rules on Boston.gov, the codified ordinance, and MassDOR. Policies and rates can change.

Confirm You Qualify as Owner-Occupied

Define your property and occupancy status

Boston requires that your short-term rental be tied to your primary residence for owner-occupied categories. Primary residence means you live there at least 9 months in a 12‑month period, and you can show proof such as a driver’s license, residential exemption, voter registration, or utility bills per Boston’s STR program.

• Match your documents: make sure your address is consistent across your license, voter record, vehicle registration, and mail.
• Keep at least two proofs ready to upload in the city’s registration portal.
• Only the owner may register as the operator; tenants generally cannot run STRs in Boston per the ordinance.

Check building and association restrictions

Even if the city allows your setup, your building might not. Before you apply:

• Review condo bylaws and rules. Many associations limit or prohibit STRs, and you must certify compliance at registration per the code.
• Confirm mortgage or insurance terms do not limit short-term rentals.
• Make sure your unit is free of outstanding housing, sanitary, building, fire, or zoning violations; ineligible units cannot be registered per City guidance.

Complete Registration and Safety Requirements

Registration workflow and documentation

Here is a simple path to get compliant:

1. Gather documentation: deed or proof of ownership, two proofs of primary residence, and any condo approvals or statements needed as listed by the City.
2. Apply in the City’s STR registry with the correct category and pay the fee: Limited Share $25; Home Share $200; Owner‑Adjacent $200 per Boston’s STR page.
3. After approval, obtain a City Clerk business certificate as required per the City’s process.
4. Post your City-issued STR registration number on every listing. Licenses do not transfer when the property is sold per City rules.

Common pitfalls that slow approvals:

• Address mismatches across documents
• Missing condo authorization where required
• Applying with open code violations or the wrong STR category

Inspections, safety equipment, and unit readiness

Boston expects basic life-safety measures and visible instructions for guests:

• Working smoke and carbon monoxide detectors and accessible fire extinguishers
• A posted in-unit sign showing fire exits, extinguishers, and how to activate alarms
• A local contact who can respond in person within two hours when you are not on-site per Boston’s STR requirements

Create a pre-listing checklist with dated photos of safety devices and signage. Keep copies in your records in case of inspection or platform data requests.

Know What You Can Rent and How Often

Whole-home vs. room-share scenarios

Boston recognizes three owner-occupied categories:

• Limited Share Unit: a private bedroom or rooms within your primary residence while you are present. Up to three guest bedrooms or six guests; $25/year fee per Boston.gov.
• Home Share Unit: your whole primary residence while you live there as your primary home, even if you are away during the stay. Up to five bedrooms or 10 guests; $200/year fee per Boston.gov.
• Owner‑Adjacent Unit: a whole unit in your two- or three-family where you live in another unit on the same parcel. Only one owner‑adjacent unit may be registered in a three‑family; $200/year fee per the ordinance.

Operators may only offer one whole unit at a time. You cannot be away and advertise multiple whole-unit listings simultaneously on the same property per City guidance.

Booking length, frequency, and guest limits

• Short-term stays are fewer than 28 consecutive nights in Boston per City definition.
• Owner-occupied categories may be offered up to 365 days per year based on current city materials and ordinance language. If you saw older articles referencing 120-night caps, those were proposal-era references; follow the codified rules and City program pages for current practice see Boston’s STR program.
• Respect bedroom and guest caps for your category, and avoid overlapping bookings that exceed limits.

Taxes, Insurance, and Recordkeeping Essentials

Occupancy taxes and remittance

Massachusetts applies room occupancy excise to most short-term stays:

• State excise: 5.7%. Boston adds up to 6.5% local excise, plus a 2.75% Convention Center Financing fee. The City may also add a 0–3% community impact fee for STRs. Combined effective rates can be substantial per MassDOR.
• Registration with MassTaxConnect is required. If you rent 14 or fewer days at a property in a calendar year and you elect the exemption, the room occupancy excise may not apply. If you exceed 14 days, taxes apply to all short-term stays that year per MassDOR.
• Platforms sometimes collect and remit taxes. Confirm in writing who remits which taxes and keep monthly statements.

Insurance, liability, and lender/HOA notifications

• Ask your insurer for a short-term rental endorsement. Standard homeowners policies often exclude commercial guest use.
• Notify your lender or HOA if required by your agreements. Keep written approvals on file.
• Document safety steps and guest rules to reduce liability.

Clean records and calendar controls

• Maintain a simple ledger of bookings, rates, taxes, and payouts.
• Save copies of your City STR registration, business certificate, MassTaxConnect registration, and remittance confirmations.
• Use a single master calendar to prevent double-booking and to respect guest caps.

Operate Responsibly and Avoid Violations

House rules, noise, trash, and parking

Clear guidance prevents most complaints:

• Share quiet hours and local noise rules in your listing and welcome message.
• Explain trash days, recycling, and where to place bins. Provide extra bags and labels.
• Map legal parking options and driveway limits.
• Post your 24/7 contact number inside the unit in case neighbors or guests need help.

Handling complaints and addressing issues

If a neighbor or inspector raises a concern:

• Respond quickly, document the issue, and note what you did to fix it.
• Pause bookings if a safety device fails or a repair is needed.
• Remember that offering an ineligible unit can trigger civil fines of $300 per violation per day and potential license actions per the ordinance.

Boston also works with platforms to remove illegal listings and shares data to support enforcement as noted by the City.

Renewals and ongoing updates

• Renew your City STR registration annually and keep your business certificate current per program rules.
• Monitor Boston.gov and the ordinance for changes to categories, fees, or enforcement.
• Reconfirm condo policies after board updates or bylaw changes.

Next Steps for Owner-Occupied Hosts in Boston

Build your compliance checklist and timeline

Map your path before you list:

• Verify primary residence status and gather two proofs.
• Confirm building eligibility and clear any violations.
• Register with Boston ISD and obtain your business certificate.
• Set up safety equipment and in-unit signage with photo documentation.
• Register with MassTaxConnect, confirm who remits taxes, and track bookings.

When to bring in a local real estate pro

A neighborhood-savvy agent can help you decide if your property and setup are a good fit for short-term, mid-term, or long-term renting. We can review condo rules, flag layout and safety tweaks, estimate returns under local taxes and guest caps, and compare alternative strategies.

If you are weighing upgrades, purchase options, or a sale, request a quick valuation and plan from Colleen Foulsham at FC Realty Group. We pair local market insight with a boutique, team-supported approach so you can host with confidence and protect your investment.

FAQs

What counts as a short-term rental in Boston?

• A residential stay for fewer than 28 consecutive nights for a fee per Boston’s STR page.

Who can register as the operator?

• Only the owner may register, and registration is limited to one owner per unit per the ordinance.

What are the owner-occupied categories and fees?

• Limited Share: private bedroom(s) in your primary residence, $25/year. Home Share: whole primary residence, $200/year. Owner‑Adjacent: one secondary unit in your 2–3 family where you live on-site, $200/year per Boston.gov.

How do I prove primary residence?

• Show that you live there at least 9 months in a year and upload at least two proofs like a license, voter registration, utility bill, or residential exemption per City guidance.

Are there night caps?

• City materials and the ordinance indicate owner-occupied units may be rented up to 365 nights. Older reports mentioned lower caps during rulemaking; follow current City and code sources see Boston’s program.

Do I have to register for taxes if a platform collects?

• Yes. Register with MassTaxConnect and confirm who remits which taxes. Combined state and local excises apply to most stays, with a potential 14‑day annual exemption if elected and not exceeded per MassDOR.

What safety items do I need in the unit?

• Working smoke/CO detectors, accessible extinguishers, and a posted sign showing exits, alarm instructions, and contact info. Provide a local contact who can respond within two hours when you are away per Boston.gov.

What are the penalties for noncompliance?

• The City can fine $300 per violation per day for illegal listings and may suspend or revoke licenses for violations per the ordinance.