Minneapolis, MN short-term rental market report (2026)
Hennepin County, Minnesota. Rules, revenue, home values, demand, climate, reach and risk, each figure with its source.
- RulesLight-touch (2/5)
- 4-BR typical value$520K
- FEMA riskRelatively High
- Demand drivers within 50 mi2
- People within 300 mi16.0 million
- ClimateSki-plus-summer
Everything STR HUB holds on Minneapolis, MN in one place, in the order an investor needs it: whether you can operate, what the numbers are, why and when people come, who can reach it, and what could go wrong.
Every figure comes from a named dataset listed under Sources and method, dated September 21, 2026. Where we do not hold a figure, that part of the report is left out rather than estimated. The Opportunity Score here is partial: it was calculated without revenue data, with the cash-flow component assumed to be below average, so it can understate the market.
Can you operate in Minneapolis?
| Rule | What we hold on file |
|---|---|
| Jurisdiction | City of Minneapolis |
| Permit or licence | Owner-occupied homes need a Short-Term Rental registration; non-owner-occupied properties need a full Rental License (STR Packet available from the city). |
| Permit fee | Roughly $46-50/year for a homesteaded (owner-occupied) STR registration; non-homesteaded STR fees range roughly $70-175/year depending on tier; standard rental license fees are tiered by building size (e.g., a 1-3 unit Tier 1 building runs roughly $98 plus about $41/unit). |
| Owner occupancy | Not required to operate an STR in Minneapolis, but owner-occupied (homesteaded) properties get a lighter/cheaper registration than non-owner-occupied rental-licensed properties. |
| Lodging and sales taxes | 6.875% Minnesota state sales tax + Minneapolis local lodging/entertainment taxes (rate not confirmed). |
Rules for Minneapolis last verified September 20, 2026. Rules change, and a city rating does not cover HOA or deed restrictions. Confirm current requirements with the jurisdiction before you buy or list.
Which way the rules are moving
Stable. The rules we hold report no recent or pending change.
Minneapolis allows short-term rentals citywide as of 2026, splitting operators into two tracks: a lighter Short-Term Rental registration for owner-occupied (homesteaded) properties, and a full Rental License for non-owner-occupied investment properties.
Classified from the regulation text we publish; a direction is only kept when the sentence it rests on appears word for word in that text.
The numbers
We have not verified revenue figures for this market yet.
Home values in Hennepin County
Zillow Home Value Index: county-wide typical values for Hennepin County, not list prices. A specific property can sit well above or below them.
What it costs to own
Screening figures, not a bill or a quote. The tax rate is a county-wide median for owner-occupied homes (U.S. Census Bureau, ACS 2018-2022); second homes and rentals are often taxed more heavily, and a purchase usually resets the assessed value. Expected annual loss is from the FEMA National Risk Index.
Housing market momentum
County-level, for-sale housing market: it says nothing directly about STR bookings. A relative ranking among tracked markets, not a forecast. Sources: Realtor.com Economic Research, U.S. Census Bureau, Zillow Home Value Index.
Why people come
2 demand drivers sit within 50 miles of Minneapolis. Ordered by published attendance. Attendance appears only where a source publishes it.
Events
- Minnesota State Fair
- When
- 12 days from late August into early September, ending on Labor Day
- Attendance
- 1,940,869 (1,940,869 visitors (2025, per Wikipedia).)
- STR angle
- A 12-day, nearly-2-million-attendee event driving Twin Cities-area lodging demand through the entire Labor Day corridor.
Attractions
- Mall of America
- When
- Year-round
- Attendance
- 32,000,000 (Approximately 32 million visitors annually, per Wikipedia (as of Sept 2025))
- STR angle
- Massive year-round indoor draw supporting Twin Cities STR demand independent of weather/season.
When they come
Ski-plus-summer climate: at least three months bring six inches or more of snowfall, and May to September is comfortable. 5 of 12 months have an average high between 60°F and 88°F, and 4 months average six inches or more of snow. Warmest month: July (average high 84°F). Coldest: February (average low 3°F).
- Jan24°7°ColdSnow
- Feb24°3°ColdSnow
- Mar41°22°ColdSnow
- Apr53°33°Cool
- May68°47°Comfortable
- Jun82°61°Comfortable
- Jul84°64°Comfortable
- Aug82°62°ComfortableEvent
- Sep74°56°ComfortableEvent
- Oct57°41°Cool
- Nov42°27°Cold
- Dec31°15°ColdSnow
| Month | Jan | Feb | Mar | Apr | May | Jun | Jul | Aug | Sep | Oct | Nov | Dec |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Average high (°F) | 24 | 24 | 41 | 53 | 68 | 82 | 84 | 82 | 74 | 57 | 42 | 31 |
| Average low (°F) | 7 | 3 | 22 | 33 | 47 | 61 | 64 | 62 | 56 | 41 | 27 | 15 |
| Precipitation (in) | 1.2 | 1.6 | 2.6 | 3.6 | 5.0 | 3.2 | 4.0 | 4.5 | 3.3 | 3.6 | 2.0 | 2.1 |
| Snowfall (in) | 7.6 | 8.9 | 6.1 | 5.7 | 0.0 | 0.0 | 0.0 | 0.0 | 0.0 | 2.1 | 5.2 | 7.8 |
| Sunshine (hours a day) | 5.4 | 7.4 | 7.9 | 8.2 | 10.4 | 12.9 | 12.9 | 11.5 | 9.6 | 7.4 | 6.0 | 5.1 |
| Event month | No | No | No | No | No | No | No | Yes | Yes | No | No | No |
Event months within 50 miles
- August: Minnesota State Fair
- September: Minnesota State Fair
This is climate and events, not booking data. Monthly normals are 2019-2023 averages from the Open-Meteo Historical Weather API (ERA5 reanalysis) at the market pin. Event months come from the demand drivers listed above. We do not hold monthly occupancy or rate data for this market.
Who can reach it
Largest counties within 150 miles
| County | Population |
|---|---|
| Hennepin County, MN | 1,270,787 |
| Ramsey County, MN | 547,202 |
| Dakota County, MN | 439,179 |
County populations (U.S. Census Bureau, ACS 2018-2022) summed for every county whose centre lies within each straight-line radius. Straight lines are shorter than roads, so read these as generous upper bounds, not drive-time counts.
What could go wrong
| Hazard | FEMA rating | Score (0-100) |
|---|---|---|
| Hail | Very High | 99.6 |
| Tornado | Very High | 99.6 |
| River flooding | Relatively High | 98.0 |
| Winter weather | Very High | 97.4 |
| Wildfire | Relatively Low | 74.9 |
| Earthquake | Very Low | 49.8 |
This is a county-level index, not an insurance quote or a flood-zone determination. A coastal or wildfire-fringe rental can carry far more exposure than its county average suggests. FEMA does not model hurricane and coastal flooding for this county, which is not the same as zero risk. Get property-level flood, wind and wildfire quotes before you buy.
Market context
Housing and jobs in Hennepin County
U.S. Census Bureau, American Community Survey 2018-2022. Vacation-home share is housing units held for seasonal, recreational or occasional use. All three describe the whole county, not one town or neighbourhood.
What is within 15 km of the Minneapolis pin
Counts of features mapped in OpenStreetMap within 15 km of the market pin. A fixed radius favours dense metros, and map coverage varies by area.
Similar markets
The 4 tracked markets whose numbers sit closest to Minneapolis's. Each links to its own report.
Closest by normalised distance across the figures both markets hold (typical 4BR value, revenue, occupancy, regulation rating, vacation-home share, tourism job share, 4+ bedroom share, amenity score, population within 300 miles, comfortable months and FEMA risk score). At most 2 of the 4 come from Minnesota, so the list is not just the neighbours. Similar numbers do not mean similar rules: check each market's regulation section.
See Minneapolis on the map
Open Minneapolis on the National STR Map to see it against its neighbours, switch overlays and run the deal calculator on your own assumptions.
Minneapolis STR questions, answered from the data
Is Airbnb legal in Minneapolis?
STR HUB rates Minneapolis's short-term rental rules 2/5 (Light-touch) on a scale from 1 (relaxed) to 5 (very strict). That rating was derived from the regulation text we hold and has not yet been reviewed by a person. Permit rule on file: Owner-occupied homes need a Short-Term Rental registration; non-owner-occupied properties need a full Rental License (STR Packet available from the city). Rules change, so confirm current requirements with the local jurisdiction before you buy or list.
How much does a 4-bedroom home cost in Minneapolis?
The typical 4-bedroom home in Hennepin County is valued at $519,585 (Zillow Home Value Index), and the typical home of any size at $388,061, with all-home values up 1.5% over the past year. These are county-wide typical values, not list prices.
What brings visitors to Minneapolis?
2 demand drivers sit within 50 miles of Minneapolis: Mall of America (32,000,000 published attendance) and Minnesota State Fair (1,940,869 published attendance). Attendance is shown only where a source publishes it, and each driver's source is linked in the report.
What natural hazards affect Minneapolis?
FEMA's National Risk Index rates Hennepin County "Relatively High" overall, with a score of 98.3 out of 100 (a national percentile). The highest-scoring hazards we track there are tornado and hail. It is a county-wide index, not an insurance quote or a flood-zone determination.
When is the weather best in Minneapolis?
5 of 12 months have an average high between 60°F and 88°F (May, June, July, August and September). Ski-plus-summer climate: at least three months bring six inches or more of snowfall, and May to September is comfortable. These are 2019-2023 climate normals, not booking data.
Sources and method
- Regulation summary and strictness rating: STR Agent HUB regulation research (official source: www2.minneapolismn.gov).
- Home values: Zillow Home Value Index (ZHVI), county level. Data provided by Zillow Group.
- Housing, employment and population figures: U.S. Census Bureau, American Community Survey (ACS) 5-year estimates, 2018-2022.
- Natural hazard risk: FEMA National Risk Index, county level.
- Amenity counts: © OpenStreetMap contributors.
- Climate normals: Open-Meteo Historical Weather API (CC BY 4.0), 2019-2023 averages.
- Demand drivers: each entry links its own published source in the list above.
Figures come from the STR HUB national dataset dated September 21, 2026 and this page is regenerated whenever that dataset is rebuilt. County-level figures describe Hennepin County as a whole, not one street or neighbourhood. The Opportunity Score (0-100) is a screening heuristic that weighs revenue (35%), regulatory climate (25%), tourism employment (15%), nearby amenities (15%) and large-home supply (10%) relative to the other tracked markets.
Confirm before you act. Short-term rental rules change. Confirm current requirements with the jurisdiction, and work with a licensed local agent who knows which properties can legally operate. This report is screening data, not investment, legal or tax advice.
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