Oxford, MS Airbnb & Short-Term Rental Regulations 2026

Regulation Overview

A university town anchored by Ole Miss, with year-round game-day and event-driven demand; the city adopted its first STR ordinance in March 2023 after finding operators running unlicensed rentals, and now limits density via a spacing rule.

A 1,500-linear-foot spacing requirement between STRs in residential districts, combined with a parking-based occupancy cap, functions as a real density limit even without a numeric citywide quota.

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.

Oxford Rules

Governing jurisdiction: City of Oxford.

• Oxford adopted its first short-term-rental ordinance on March 1, 2023, after city leaders found operators running rentals in September 2022 without business licenses or zoning compliance.
• STRs in residential districts must sit at least 1,500 linear feet from another STR property.
• Occupancy is capped based on available on-site parking, at roughly one space per two adults.
• Properties may not be rented for stays of less than 24 hours.
• All STRs must pass a fire department inspection and post emergency contact information on-site.
• The city has continued updating its STR tax framework, including implementing Mississippi's 2025 SB 2805 (which reclassifies booking platforms as "hotels" for local tax purposes).
• Investors should note that some online aggregators quote an "8% lodging tax" for Oxford, MS that actually traces to a similarly-named ordinance proposal in Oxford, Alabama — the real local rate for Oxford, Mississippi was not independently confirmed.

Not confirmed

We could not verify the following against a primary source. Confirm each with the jurisdiction before you rely on it:

• Permit/registration fee amount.
• The exact local lodging/tourism tax rate for Oxford, Mississippi.
• Whether owner-occupancy is required.
• Whether any zones ban STRs outright beyond the spacing rule.
• Specific penalties for violations.

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