Short-Term Rentals in Waukegan, IL (2026)
4 verified short-term rentals rules for Waukegan, Illinois, sourced directly from the municipal code and official government pages.
Verified from official government sources
Short-Term Rental Permits
Waukegan requires every short-term rental to first be registered as a rental property and then licensed specifically as a short-term rental before it can be advertised or rented. The annual license runs January 1 through December 31, requires a nonrefundable fee, and the application must name a Waukegan resident who serves as a 24-hour emergency contact for out-of-town owners.
Waukegan Short-Term Rental License Rules
Significant RestrictionsWaukegan City Code § 14-4(e)(1)-(3)
(1)Registration, license required. No property may be used for a short-term rental unit prior to first being registered as a rental property in accordance with section 14-4(a) of this Code and the issuance of a short-term rental unit license for the property or a dwelling unit therein.(2)Term of license. A short-term rental unit license will be valid for an annual period commencing on January 1...
Taxes & Fees
Every short-term rental transaction in Waukegan is subject to the hotel/motel-style occupancy tax imposed under Article IV of Chapter 20 of the city code. The owner must collect that tax from the renter and remit it to the city, and Section 14-4(e)(7) lets booking platforms handle collection and remittance on the owner's behalf.
Waukegan Short-Term Rental Occupancy Tax
Some RestrictionsWaukegan City Code § 14-4(e)(7)
(7)Taxes imposed. All transactions for short-term rentals will be subject to the tax imposed in article IV of chapter 20 of this Code and must comply with all requirements therein. The tax herein levied shall be paid in addition to any and all other taxes and charges. It shall be the duty of the owner of every short-term rental unit to secure such tax from the renter of the short-term rental un...
Occupancy Limits
Waukegan caps every licensed short-term rental at the maximum occupancy figure set under Chapter 6 of the city code, and that number must be posted where guests can see it near the unit's entrance. The limit applies at every hour of the stay, not just at check-in, and the licensing official enforces it under Section 14-4(e), the same division that issues the short-term rental license itself.
Waukegan Short-Term Rental Occupancy Limit
Some RestrictionsWaukegan City Code § 14-4(e)(5)
(5)Use limitation. No short-term rental unit may be occupied at any time by a number of persons in excess of the maximum permitted occupancy limit as set forth in chapter 6 of this Code. Occupancy limits for the dwelling unit must be posted near the entrance of all short-term rental properties.
Host Platform Liability
Waukegan's hotel-motel tax code treats booking platforms and online travel companies as "owners" of the rental, making them legally responsible alongside the host for collecting and remitting the 6 percent occupancy tax.
Waukegan Booking Platforms as Tax Owners
Some RestrictionsWaukegan City Code § 20-76
Facilitator means any person or entity that provides a means through which a person may book a hotel room and/or short-term rental unit, regardless of whether payment is transferred through or processed by the facilitator. Facilitators are considered owners, as defined in this section. ... Owner means any person having an ownership or sufficient proprietary interest in or conducting the operati...
Looking for Lake County county-wide rules?
County ordinances apply to unincorporated areas and may supplement Waukegan city rules.
Short-Term Rentals in Lake County →