Biloxi, MS Airbnb & Short-Term Rental Regulations 2026
What it takes to run a legal short-term rental in Biloxi, Mississippi — the local permit position, state law, taxes and the diligence that decides whether a purchase works.
Mississippi's largest Gulf Coast tourism market, anchored by casinos and beaches; investors target condos and small multi-unit sites, though the city excludes short-term rentals from its core single-family residential zones. Short-term rentals here are governed by City of Biloxi. Local position: Certificate of Occupancy + Certificate of Zoning Compliance + Privilege Tax License.
Regulation Overview
Mississippi's largest Gulf Coast tourism market, anchored by casinos and beaches; investors target condos and small multi-unit sites, though the city excludes short-term rentals from its core single-family residential zones.
STRs are banned outright in Biloxi's core single-family residential zoning districts and capped at four units per tax parcel where they are allowed, meeting the threshold for a hard zoning-based restriction.
Mississippi State Law
State preemption: No state preemption is currently in effect. Multiple 2025 bills that would have barred local STR bans and/or created a statewide zoning/building-code framework for STRs (SB 104, HB 109, SB 1162) did not pass — SB 1162 was defeated on the Senate floor — so Mississippi cities and counties retain full local control over STR bans, caps and zoning as of this research date.
Statewide rules: Mississippi has no statewide STR license. Senate Bill 2805 (2025 Regular Session, in force since July 1, 2025) expanded the statutory definition of "hotel" to include third-party booking/facilitation platforms (e.g., Airbnb, VRBO), requiring those platforms to collect and remit local hotel/tourism taxes the same way traditional hotels do.
Taxes: Mississippi's 7% statewide sales tax applies to the gross proceeds of short-term rentals (including cleaning fees). Cities and counties may additionally levy a local tourism/lodging tax, typically in the 1%-3% range, on top of the state rate.
2025–2026 legislation: SB 2805 (2025), reclassifying booking platforms as "hotels" for local tax-collection purposes, is already in force. Broader statewide preemption/regulatory-framework bills (SB 104, HB 109) were still being discussed in year-end 2025 legislative tracking but had not passed as of this research date.
Biloxi Rules
Governing jurisdiction: City of Biloxi.
- Biloxi requires three separate approvals to legally operate an STR: a Certificate of Occupancy, a Certificate of Zoning Compliance, and a Privilege Tax License.
- Short-term rentals are banned outright in the city's single-family residential zones — AR, RS-5, RS-7.5, RS-10, Residential Estate (RE) and Residential Estate Restricted (RER).
- Where STRs are allowed, the city limits them to a maximum of four units per tax parcel.
- Operators must disclose to the city which listing platforms they use (Airbnb, VRBO, HomeAway, etc.).
- STRs are subject to an annual fire-department inspection as a condition of continued operation.
- None of the city's STR approvals transfer on sale — a new owner must reapply for the Certificate of Occupancy, Certificate of Zoning Compliance and Privilege Tax License from scratch.
- Mississippi's 2025 SB 2805 now requires Airbnb/VRBO-style platforms to collect and remit local hotel/tourism taxes on Biloxi bookings directly.
Not confirmed
We could not verify the following against a primary source. Confirm each with the jurisdiction before you rely on it:
- Exact current application and inspection fee amounts.
- The specific local tourism/lodging tax rate applied in Biloxi.
- Occupancy limits and minimum-stay rules, if any.
- Specific penalties for operating without the required certificates/license.
Buyer Due Diligence Checklist
Before you write an offer on a short-term rental here:
- Get a written determination from the governing jurisdiction for the specific parcel. Verbal guidance from anyone else is not diligence.
- Establish which jurisdiction governs — city, town, village and unincorporated county can differ sharply within a few miles.
- Ask whether an existing permit transfers on sale. In many markets it does not, and a listing marketed as a running short-term rental may convey nothing of the sort.
- Read the HOA or condo covenants during your inspection period. Private covenants bind even where the jurisdiction permits the use.
- Model revenue against the legal occupancy cap, not the bedroom count.
Frequently Asked Questions
Do I need a permit to run a short-term rental in Biloxi?
Operators need a Certificate of Occupancy, a Certificate of Zoning Compliance, and a Privilege Tax License from the City of Biloxi; the city also requires disclosure of which booking platforms (Airbnb, VRBO, HomeAway, etc.) are used, and an annual fire-department inspection.
Who regulates short-term rentals in Biloxi?
City of Biloxi. Which jurisdiction a parcel falls in is the first question to settle.
Does Mississippi preempt local short-term rental rules?
No state preemption is currently in effect. Multiple 2025 bills that would have barred local STR bans and/or created a statewide zoning/building-code framework for STRs (SB 104, HB 109, SB 1162) did not pass — SB 1162 was defeated on the Senate floor — so Mississippi cities and counties retain full local control over STR bans, caps and zoning as of this research date.
Does an existing permit transfer when I buy the property?
The Certificate of Occupancy, Certificate of Zoning Compliance and Privilege Tax License do not transfer to a new owner — any change in ownership requires new applications for all three.
Can my HOA or condo association stop me?
Yes. Private covenants are enforceable independently of what the jurisdiction permits. Read them during your inspection period.
Primary sources
- City of Biloxi — Short-Term Rental regulations (2019)
- City of Biloxi — STR Certificate of Occupancy application
- Mississippi Legislature — SB 2805 (As Sent to Governor, 2025)
- Rent Responsibly — Year-end 2025 state STR bill tracker
- WLBT — State leaders discussing sales-tax bills on third-party rentals
Short-term rental rules change frequently. Confirm current requirements with the jurisdiction before you buy or list.
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