Short-Term Rentals in Billings, MT

If you live in Billings or are thinking about moving there, short-term rentals are one of those things you probably won't think about until they affect you directly. Billings has 6 specific rules on the books covering different aspects of short-term rentals, and some of them might surprise you.

Noise Rules

Billings requires every short-term rental to stay compliant with the city's noise code, and the zoning coordinator can revoke a host's permit if noise complaints turn into substantiated code violations.

Key details: Permit condition: Comply with noise code, Ch. 17. Cure period: 30 days after written notice. During violation: No new reservations allowed. After revocation: Unit off market 30 days. Enforced by: Zoning coordinator.

Noise complaints that become substantiated code violations can trigger a written 30-day cure notice; violators can't take new bookings, and a revoked permit keeps the unit off the market for 30 days.

Occupancy Limits

Billings caps every permitted short-term rental at two guests per bedroom, whether the unit goes to a single renter or a group staying together.

Key details: Occupancy cap: 2 guests per bedroom. Permit required: STR permit plus business license. Governing section: Sec. 27-1008(O), Accessory Uses. Permit term: 1 year, renewed annually. Violation: Municipal infraction / permit revocation.

Exceeding the per-bedroom cap is grounds for the zoning coordinator to revoke the STR permit, giving the holder 30 days to cure; continued noncompliance is a municipal infraction with civil penalties, and each day counts as a separate offense.

Short-Term Rental Permits

Billings requires an annual short-term rental permit from the zoning coordinator for any dwelling rented under 30 days, with mandatory local contact and building code compliance.

Key details: Citation: Sec. 27-1621, Billings zoning code. Permit term: 1 year, renew 30 days ahead. Local contact: 24/7 phone contact required. Revocation penalty: 30-day rental freeze.

Renting without a valid permit, letting it lapse, or violating conditions can bring code enforcement action, permit denial or revocation, and a 30-day rental freeze.

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

Short-Term Rental Parking Rules

Billings' zoning table requires short-term rental parking to be assigned to the dwelling unit rather than meeting a fixed space count, and a noncompliant lot can cost the host their STR permit.

Key details: Standard: Parking assigned to dwelling unit. Governing table: Table 27-1300.1, Lodging uses. Permit cycle: Annual, renewed via Sec. 27-1621. Enforcement: Zoning coordinator can deny/revoke.

Under Sec. 27-1621.C and .E, the zoning coordinator may deny a new or renewal STR permit, or revoke an active one, if the property is not in compliance with applicable zoning code requirements, including the parking standard in Table 27-1300.1.

Host Presence Rule

Billings doesn't require the owner to live on-site, but during any guest stay the owner or a designated local contact must be reachable 24/7 to handle complaints about the rental.

Key details: On-site owner presence: Not required. Local contact availability: 24/7 during guest stays. Permit holder: Must be deed owner, trust, or MT corp. Max permits per lot: 2 in N1/N2/N3/RMH zones. Governing section: Sec. 27-1005.O.8 / Sec. 27-1621.

Operating a guest home or tourist home without a valid short-term rental permit is unlawful. A permit can be denied or revoked for unresolved code enforcement issues, and a revoked unit must stop taking reservations immediately.

Taxes & Fees

Billings treats a short-term rental as a "tourist home" and requires operators to hold a city business tax receipt under Article 13-400 before renting rooms to transient guests, in addition to any required state lodging license.

Key details: Governing section: Sec. 7-603, Billings City Code. Base tax, up to $100k revenue: $55 per year. Base tax, $100k-$2M revenue: $90 per year. Extra fee per employee over 5: $6 per employee. Also required: State lodging license when applicable.

Renting rooms as a tourist home, motel, hotel, or rooming house without a current city business tax receipt violates Sec. 7-603; the city can deny or pull the receipt and pursue collection, penalty, and interest remedies under Article 13-400.

The Bottom Line

Billings's short-term rentals rules are a mixed bag. Some areas are strict, others are relaxed, and the details matter. The best approach is to check the specific rule that applies to your situation rather than assuming Billings is broadly strict or permissive.

These rules come from Billings's publicly available municipal code. For complete penalty schedules, exemption details, and answers to common questions, see the individual ordinance pages throughout this guide.