Short-Term Rentals in Portland, ME

Every city handles short-term rentals a little differently. In Portland, Maine, there are 8 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.

Repeat Violator Strikes

Portland's short-term rental ordinance imposes an escalating two-strike penalty on properties designated a 'disorderly house.' Under Section 6-156(c) of the Code of Ordinances, a first disorderly-house designation that isn't remedied costs the property a 12-month STR registration revocation; a second designation triggers a permanent ban on operating that address as a short-term rental.

Key details: 1st strike: 12-month STR registration revocation. 2nd strike: Permanent STR operating prohibition. Trigger: Unremedied disorderly-house designation, Sec. 6-200. Decision-maker: City Manager or designee, discretionary. Re-registration status: Treated as new application, not renewal.

A first disorderly-house designation that goes unremedied costs the property its STR registration for a full 12 months, with any later registration treated as new rather than a renewal. A second designation lets the City Manager permanently bar the owner from operating that property as a short-term rental, or post it against occupancy under Section 6-201: decided case-by-case, not automatically.

This is one of the stricter rules in Portland's municipal code. If you are unsure whether your situation complies, it is worth checking with the city before proceeding.

Primary-Residence-Only Rule

Portland's short-term rental code defines 'Owner-Occupied' as a unit the registrant actually owns and occupies as their primary residence, and bars registering a short-term rental in any mainland single-family home unless it is owner-occupied or tenant-occupied with the owner's permission, per City Code §§ 6-150.1 and 6-153(f).

Key details: Owner-occupied definition: § 6-150.1: registrant's primary residence. Proof required: Notarized affidavit + ID + homestead exemption. Single-family home rule: § 6-153(f): owner/permitted-tenant occupied only on mainland. Non-owner-occupied cap: 1.5% of prior-year long-term units (400 in 2025). Fee differential: $100 vs $200 for a first unit (owner vs non-owner).

Registering a mainland single-family home as a short-term rental without owner-occupied or permitted-tenant-occupied status violates § 6-153(f); under § 6-155(a) and (e), failing to register truthfully or renting an unregistered or misclassified unit is a violation subject to the § 6-1 per-day penalty schedule, and providing false information on the primary-residence affidavit carries a flat $1,000 penalty under § 6-155(d), with registration subject to revocation or denial under § 6-156.

This is one of the stricter rules in Portland's municipal code. If you are unsure whether your situation complies, it is worth checking with the city before proceeding.

Host Platform Liability

Booking services such as Airbnb or Vrbo cannot take a fee for a Portland short-term rental unless the listing already displays the unit's city registration number. Platforms must also turn over registration and reservation data to the City on request within 48 hours.

Key details: Booking service duty: Post registration number before accepting any fee. Response deadline: 48 hours to answer a City data request. Data owed to City: Registration, rental history, reservation info. Definition trigger: Platform must charge a fee to be a "booking service". Extra penalty: Property management firms fined alongside owners.

Sec. 6-155(c) makes it a violation for a booking service to fail to display a unit's required registration number, and Sec. 6-155(f) separately violates a platform's or owner's failure to respond to a City inquiry under Sec. 6-152(e) within 48 hours. Sec. 6-156(d) allows fines against property management firms in addition to fines against owners for the same violation.

This is one of the stricter rules in Portland's municipal code. If you are unsure whether your situation complies, it is worth checking with the city before proceeding.

Taxes & Fees

Portland charges short-term rental registrants a tiered annual fee that climbs with the number of units one owner registers, from $100 for a first owner-occupied unit up to $4,000 for a fifth non-owner-occupied unit, plus late fees for missed deadlines.

Key details: Owner-occupied 1st unit fee: $100, rising to $2,000 for a 5th unit. Non-owner-occupied 1st unit fee: $200, rising to $4,000 for a 5th unit. Long-term rental fee: Flat $55 per year. Max stacked discount: $20 per unit. Late fee tiers: $50 after Jan. 15, $200 after Feb. 15.

Sec. 6-152(e) imposes a $50-per-unit late fee for registrations not received by January 15 (or 14 days after entering the market, whichever is later), rising to $200 per unit if not received by February 15 (or 45 days after market entry). Registrations cannot be renewed until any late fee is paid, though the Permitting and Inspections Director may waive a late fee for hardship and good cause.

Night Caps

Portland limits, not nightly stays, but the number of non-owner-occupied short-term rentals it will register. Sec. 6-153(b) capped mainland units at 400 in 2025 and now allows only 1.5% of prior-year long-term registrations annually, while Sec. 6-153(c) caps Peaks Island at 40 non-owner-occupied units.

Key details: 2025 mainland cap: 400 non-owner-occupied units citywide. 2026-onward cap: 1.5% of prior year's long-term registrations. Peaks Island cap: 40 non-owner-occupied units per year. Tenant-occupied freeze: No new tenant-occupied STRs after Jan. 1, 2026. Allocation method: First-come, first-registered, with a waitlist.

Registering a non-owner-occupied unit beyond the Sec. 6-153(b) or (c) cap, or a new tenant-occupied unit after the Sec. 6-153(d) freeze, means the application cannot be accepted as registered under Article VI, and renting an unregistered unit is a violation under Sec. 6-155(e), subject to the Sec. 6-1(a)(3) per-day penalties of $100 to $2,500.

Compared to other cities, Portland takes a harder line on night caps. The enforcement and penalty structure reflects that.

Occupancy Limits

Portland caps overnight guests at any short-term rental at two people per bedroom plus two additional guests. Sec. 6-153(a) sets the formula citywide, applying equally to owner-occupied, non-owner-occupied, and island short-term rentals once registered under Article VI.

Key details: Occupancy formula: 2 guests per bedroom, plus 2 more. 1-bedroom example: Capped at 4 overnight guests. Applies to: All registered short-term rentals citywide. Enforcement route: Sec. 6-156 plus Sec. 6-1(a)(3) penalties. Repeat problem risk: Disorderly-house designation can revoke registration.

Exceeding the Sec. 6-153(a) occupancy limit is a violation subject to the article's enforcement provisions in Sec. 6-156, and general per-day penalties of $100 to $2,500 apply under Sec. 6-1(a)(3); a property repeatedly over capacity can also be designated a disorderly house under Sec. 6-156(c), which puts the registration itself at risk of revocation for twelve months.

Noise Rules

Portland treats a short-term rental as a 'disorderly house', and enforces against it, once police respond to noise complaints like loud music, boisterous parties, or sounds audible outside the building a set number of times within 30 days, per Section 6-200 of the Code of Ordinances. The threshold scales with building size, from 3 visits in a 5-unit building up to 5 visits in an 11+-unit building.

Key details: Trigger, 5 units or fewer: 3 police visits in 30 days. Trigger, 6-10 units: 4 police visits in 30 days. Trigger, 11+ units: 5 police visits in 30 days. Qualifying noise: Loud music, boisterous parties, audible sounds. Governing section: Sec. 6-200, Ch. 6 Buildings.

A disorderly-house designation itself is not a fine on the STR; it is the trigger for enforcement. Under Section 6-202, an owner who fails to remedy a designated disorderly house risks having the property's short-term rental registration revoked at the discretion of the City Manager, in addition to any separate penalties the city pursues for the underlying noise or nuisance activity.

Short-Term Rental Permits

Portland requires every short-term rental to register annually with the Permitting and Inspections Department before renting begins. Registration is due by January 1st each year, or within 14 days of a unit entering the market, and isn't complete until fees are paid and the city allows an inspection. Owners, managers, and tenants operating an STR must each hold a valid, non-transferable registration.

Key details: Registration deadline: January 1 each year; 14 days for new units. First-unit fee: $100 owner-occupied / $200 non-owner-occupied mainland. Late fee: $50/unit after Jan 15, $200/unit after Feb 15. Mainland STR cap: 1.5% of prior year's long-term rental units. Per-owner cap: 5 STR units per individual or entity/year.

Failing to register a rental unit, failing to update a registration, or failing to acquire and display the required STR registration number is a violation under Section 6-155, enforced by the building authority through the city's corporation counsel. Renting an unregistered unit, or providing false registration information, carries a flat $1,000 penalty under Section 6-155(d); the city also withholds certificates of occupancy for units required to register under Section 6-156(b).

This is not one of those rules that cities tend to ignore. Portland actively enforces its short-term rental permits requirements.

The Bottom Line

Portland is tougher than many cities when it comes to short-term rentals. Out of the 8 rules covered here, 5 are rated strict. If you are a homeowner, renter, or business owner in Portland, take the time to understand these requirements before they become a problem. Most violations come with fines, and some repeat violations can escalate.

This guide is based on Portland's current municipal code. Local rules can and do change, so check the individual ordinance pages for the latest details, penalties, and FAQs.