Short-Term Rentals in Bellingham, WA

Every city handles short-term rentals a little differently. In Bellingham, Washington, there are 10 distinct rules that residents and property owners should be aware of. Some are stricter than what neighboring cities enforce, and others are more relaxed. Here is what you need to know.

Short-Term Rental Permits

Every short-term rental operator in Bellingham must obtain a city permit, reviewed as a Type I or Type II land use decision under BMC 20.10.037(C) and Chapter 21.10 BMC.

Key details: Permit required: Yes, for every operator. Review type: Type I or Type II. Permits per operator: One maximum. Banned zones: Industrial, institutional, public, Basin One.

Operating a short-term rental without a permit, holding more than one STR permit per operator, or renting in a prohibited zone (industrial, Basin One watershed, subsidized housing) violates BMC 20.10.037 and can result in permit denial or revocation.

Compared to other cities, Bellingham takes a harder line on short-term rental permits. The enforcement and penalty structure reflects that.

Bellingham's larger "Primary Residence" short-term rental category, up to five bedrooms including an ADU, needs Type II administrative review with neighbor notice in residential zones, versus Type I for the smaller two-bedroom category.

Key details: Bedroom cap: up to 5, incl. ADU. Residential review: Type II. Commercial/urban village review: Type I. Residency & rental limits: same 270/95-day rules.

Renting more than five bedrooms under this category, or operating under Type I review in a residential zone where Type II is required, violates BMC 20.10.037(C) and can bring Chapter 20.52 BMC penalties and permit revocation under (D)(17).

This is not one of those rules that cities tend to ignore. Bellingham actively enforces its extended home share requirements.

Short-Term Rental Parking Rules

Bellingham requires short-term rental hosts to provide at least one off-street parking space for guests on-site during their stay, though the planning director can approve on-street or nearby parking instead.

Key details: Requirement: 1 off-street parking space per stay. Waiver option: On-street parking with director approval. Applies to: Residential general-use area STRs. Code section: BMC 20.10.037(D)(5).

Operating without the required off-street guest parking violates BMC 20.10.037(D)(5); STR standards violations are enforced under Chapter 20.52 BMC and can lead to permit revocation under BMC 20.10.037(D)(17).

Primary-Residence-Only Rule

Bellingham's Primary Residence short-term rental permits require the dwelling to be the applicant's actual residence at least 270 days a year, verified by a biennial affidavit to the planning department.

Key details: Residency minimum: 270 days per year. Affidavit due: Jan. 1, even years. Filed with: Planning & Community Development. Applies to: Primary Residence permits.

Failing to file the biennial residency affidavit, or holding a Primary Residence permit for a unit that is not actually the applicant's residence, violates BMC 20.10.037(D)(3) and can trigger permit revocation under (D)(17) and Chapter 20.52 BMC penalties.

Taxes & Fees

BMC 20.10.037(D)(13) requires every short-term rental operator to meet all local, state and federal license and tax requirements and to submit proof of a valid business license with the permit application. Bellingham layers that on top of a required $1,000,000 liability insurance minimum and a biennial renewal.

Key details: License requirement: Valid business license required at application. Tax compliance: Local, state and federal license/tax rules apply. Liability insurance minimum: $1,000,000 aggregate (D)(14). Renewal cycle: By Jan. 1 of every even-numbered year. Transferability: Not transferable to new owner or site (D)(16).

Operating without a current business license or without meeting applicable tax obligations violates BMC 20.10.037(D)(13) and exposes the operator to the penalties in Chapter 20.52 BMC and to permit revocation under (D)(17), following the planning director's attempt at voluntary compliance. A revoked operator cannot obtain a new short-term rental permit for two years under (D)(17)(c). Failing to renew by the biennial January 1st deadline under (D)(15) or letting insurance lapse under (D)(14) similarly puts the permit at risk of revocation.

Night Caps

In residential areas, a Bellingham primary-residence short-term rental can only be rented out as a whole unit up to 95 days a year, and the operator must live there at least 270 days a year, per the process table and Note 1 in BMC 20.10.037(C)(1). The 270/95-day split does not apply to rentals in commercial or urban village areas.

Key details: Whole-unit rental cap: 95 days/year, primary-residence rentals. Residency floor: 270 days/year owner or long-term tenant occupancy. Where caps do not apply: Commercial & urban village areas (Note 1). Nonprimary-residence category: No day limit, but not allowed in residential areas. Vacancy trigger: 4%+ citywide vacancy triggers council review.

Renting a primary-residence unit for more than 95 days a year, or falling below the 270-day residency floor, violates the standards in BMC 20.10.037(B) and (D) and is subject to the penalties in Chapter 20.52 BMC plus permit revocation under (D)(17). Subsection (D)(3) requires an annual-cycle residency affidavit filed with the planning and community development department to document compliance with the 270-day residency threshold; a false or unsupported affidavit is grounds for revocation, which under (D)(17)(c) bars a new permit for two years.

Insurance Requirements

Bellingham short-term rental operators must carry at least $1,000,000 in liability insurance covering the rental use, or book exclusively through a platform offering equal or greater coverage.

Key details: Minimum coverage: $1,000,000 aggregate liability. Alternative: Equivalent platform insurance coverage. Proof required: Submitted with permit application. Code section: BMC 20.10.037(D)(14).

Operating without the required $1,000,000 liability coverage (or equivalent platform insurance) violates BMC 20.10.037(D)(14), enforceable under Chapter 20.52 BMC and grounds for permit revocation.

Noise Rules

Bellingham short-term rental hosts must prevent unreasonable disturbances to neighbors and cannot host weddings, banquets, parties, or paid gatherings; small informal get-togethers among guests' family and friends are allowed if they don't disturb the neighborhood.

Key details: Noise standard: No unreasonable disturbance to neighbors. Banned events: Weddings, banquets, parties, paid gatherings. Allowed: Small informal noncommercial guest gatherings. Code section: BMC 20.10.037(D)(6),(D)(9).

Disturbing neighbors or hosting a banned event (wedding, banquet, party, paid gathering) violates BMC 20.10.037(D)(6) and (D)(9), punishable under Chapter 20.52 BMC and grounds for STR permit revocation.

Repeat Violator Strikes

Bellingham bars a revoked short-term rental or bed-and-breakfast operator from getting a new permit for two years, after the planning director first tries to secure voluntary compliance before revoking.

Key details: Revocation bar: Two years before new permit. First step: Voluntary compliance attempt required. Appeal: Hearing examiner under BMC 21.10.250. Abandonment: 1 year idle voids B&B use.

Applying for a new short-term rental or bed-and-breakfast permit before the two-year bar expires violates BMC 20.10.037(D)(17)(c); the application will be denied.

This is not one of those rules that cities tend to ignore. Bellingham actively enforces its repeat violator strikes requirements.

Occupancy Limits

Bellingham caps every short-term rental at two overnight guests per bedroom, not counting children five and under, under BMC 20.10.037(D)(4). The city's planning and community development department enforces the cap alongside a same-section, over-25 booking-age rule and inspected smoke and carbon monoxide alarms.

Key details: Guest cap: 2 guests per bedroom per stay. Exemption: Children age 5 and under not counted. Booking age minimum: Over 25 years old (D)(12). Enforcement agency: Planning & Community Development Dept.. Penalty chapter: Chapter 20.52 BMC.

Operating over the two-guests-per-bedroom cap violates BMC 20.10.037(D) standards and is subject to the penalties in Chapter 20.52 BMC plus permit revocation under (D)(17); the planning director must first work with the operator toward voluntary compliance before revoking, per (D)(17)(a). A revoked permit bars the operator from a new short-term rental permit for two years under (D)(17)(c). Operating entirely without a permit is a separate violation of subsection (C) under (E)(1).

The Bottom Line

Bellingham is tougher than many cities when it comes to short-term rentals. Out of the 10 rules covered here, 3 are rated strict. If you are a homeowner, renter, or business owner in Bellingham, take the time to understand these requirements before they become a problem. Most violations come with fines, and some repeat violations can escalate.

All of the above reflects Bellingham's municipal code as of our last review. If you need specifics on fines, exemptions, or filing requirements, the detailed ordinance pages linked above have the full breakdown.