Overview: Are Short-Term Rentals Allowed in Des Plaines, IL?

YES - Short-term rentals are explicitly allowed in Des Plaines, Illinois.

Des Plaines currently permits short-term rentals as a permitted use under its general residential rental property licensing framework. The city does not currently differentiate between short-term and long-term rentals in its zoning or licensing ordinances. However, this regulatory landscape is evolving, as the city council is actively considering implementing specific short-term rental regulations that could potentially restrict operations in the future.

Current Status: As of 2023, short-term rentals can operate legally in Des Plaines by obtaining the same rental property license required for all residential rental properties. The city estimates fewer than 10 short-term rental units are currently licensed under this framework.

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How to Start a Short-Term Rental Business in Des Plaines

Step 1: Property Qualification and Zoning Compliance

• Ensure your property is located within Des Plaines city limits
• Verify the property is zoned for residential rental use
• Confirm your property classification (single-family house, condo, townhouse, or apartment)
• Ensure you have legal ownership of the property

Step 2: Obtain Required Rental Property License

• Submit a completed rental property license application
• Pay the applicable licensing fee based on your property type
• Complete the Crime Free Multi-Housing Program requirement
• Submit all required documentation and affidavits

Step 3: Pass Required Inspections

• Undergo annual rental license inspection
• Address any code violations identified during inspection
• Ensure property meets all housing and safety standards

Step 4: Register for County Requirements

• Comply with Cook County Just Housing Amendment screening requirements
• Adhere to Cook County Residential Tenant Landlord Ordinance (RTLO) if applicable

Step 5: Operational Setup

• Create detailed house rules and guest policies
• Establish cleaning and maintenance protocols
• Set up proper insurance coverage
• Create guest communication systems

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Required Documents, Permits, Licenses, and Guidelines

Municipal Requirements

1. Rental Property License

Mandatory for all rental properties in Des Plaines

• Application Form: Application for Rental Property License
• Original Signed Affidavit: Attesting to zoning regulations and use restrictions
• Property Classification Documentation: Based on dwelling type
• License Fee: Varies by property type (see fee schedule below)

2. Crime Free Multi-Housing Program

Mandatory Phase 1 Class

• Must be completed by property owner or property manager
• 4-hour seminar with certification required
• Can be completed online or in-person
• Certificate must be attached to license application

3. Annual Rental License Inspection

Required before property can be marketed

• Comprehensive property safety and code compliance inspection
• Conducted by Code Enforcement
• Must be passed before any marketing or occupancy
• Annual renewal requirement

Fee Schedule (2023 Rates)

• Single Family House: $100.00
• Single Family Condo: $20.00
• Single Family Townhouse: $50.00
• Apartment: $20.00 per unit

Note: Fees are reduced by 50% for applications submitted after July 1st each year

County and State Requirements

Cook County Just Housing Amendment (2019)

• Mandatory screening criteria for all rental applications
• Limits criminal background check criteria
• Specifies income-to-rent ratio requirements
• Requires anti-discrimination compliance

Cook County Residential Tenant Landlord Ordinance (2021)

• Comprehensive tenant-landlord regulations
• Specific lease requirements and addendums
• Habitability standards
• Enforcement mechanisms and penalties

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Specific Regulations for Short-Term Rentals

Current Municipal Regulations (Des Plaines City Code Chapter 4-17)

Permitted Uses

• Short-term rentals are currently allowed as a permitted use
• No minimum rental period established
• Entire residential units may be rented

Prohibited Activities

• Room rentals: Individual rooms or portions of a residence cannot be rented separately
• Multi-family conversion: Properties cannot be converted to multi-family use
• Transient lodging: No hotel, motel, boarding house, or rooming house operations

Operational Requirements

• Annual license renewal required (expires December 31st)
• Mandatory participation in Crime Free Multi-Housing Program
• Subject to routine code enforcement inspections
• Compliance with all local housing codes and zoning requirements

Pending Regulatory Changes

Proposed 2017 Regulations (Under Consideration)

• $100 annual rental license fee
• Maximum 10 days per calendar year for short-term rental use
• No overlapping bookings allowed
• 24-hour minimum stay requirement
• These regulations were indefinitely deferred but may be reconsidered

Cook County Regulations

Just Housing Amendment

• Applies to all rental properties in Cook County
• Establishes specific screening criteria
• Limits landlords' ability to reject applicants based on criminal history
• Requires income verification standards

Residential Tenant Landlord Ordinance (RTLO)

• Comprehensive tenant protections
• Specific lease requirements and disclosures
• Habitability standards and repair obligations
• Security deposit regulations
• Notice requirements for lease changes or termination

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Contact Information for Local Authority

City of Des Plaines - Community and Economic Development Department

Primary Licensing Authority

• Address: 1420 Miner Street, Des Plaines, IL 60016
• Phone: 847.391.5366 (Licensing Division)
• Website: www.desplaines.org

Department-Specific Contacts

Licensing Division

• Phone: 847.391.5366
• Email: Available through website contact form
• Function: Rental property license applications, status inquiries, fee payments

Housing and Code Enforcement

• Phone: 847.391.6973
• Function: Housing requirements, code violations, inspection scheduling

Fire Prevention Bureau

• Phone: 847.391.5340
• Function: Fire safety requirements, safety inspections

Crime Free Multi-Housing Program Director

• Phone: 847.391.5410
• Function: Class registration, program requirements, certificate verification

Online Registration

• Website: www.desplaines.org
• Process: Hover over "I Want To..." → Under "Apply For" → Click "Crime Free Housing Seminar"

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Source Pages and References

Official City Documents

1. Des Plaines Rental Property Licensing Memorandum (August 10, 2023)

   • Current regulations and fee schedule
   • Application forms and requirements
   • Attachment: 2023 NWMC Survey on Short-Term Rentals
   • Source: Community and Economic Development Department

2. Des Plaines Rental Property License Application and Checklist

   • Complete application requirements
   • Affidavit template
   • Fee schedule
   • Contact information

Regulatory References

3. Northwest Municipal Conference (NWMC) Survey Results (June 2023)
   • Comprehensive survey of 20 municipalities
   • Comparative analysis of regional STR regulations
   • Shows 10 of 20 municipalities have adopted STR-specific ordinances

Market Analysis

4. RedAwning Market Overview (2024)

   • Local STR market performance
   • Neighborhood analysis
   • Revenue optimization strategies

5. GC Realty Property Management Guide (December 2022)

   • Local market insights
   • Licensing requirements summary
   • Cook County compliance requirements

Legal Context

6. Birchwood Law STR Overview
   • Illinois-wide legal framework
   • Municipal regulation comparison
   • Risk management considerations

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Important Considerations for STR Investors

Immediate Opportunities

• Current legal operation under existing rental property licensing
• Lower barrier to entry compared to municipalities with STR-specific bans
• Proximity to O'Hare International Airport creates strong demand
• Limited current competition (estimated fewer than 10 licensed STRs)

Risk Factors

• Potential regulatory changes under active city council discussion
• Prohibition proposals from 2017 may be revived
• Enforcement uncertainty due to lack of STR-specific guidelines
• County compliance requirements add complexity and cost

Investment Recommendations

1. Obtain proper licensing immediately before any regulatory changes
2. Maintain strict compliance with all current requirements
3. Monitor city council meetings for regulatory developments
4. Consider property management to ensure ongoing compliance
5. Budget for potential future changes in regulations or fees

Disclaimer: This guide reflects regulations and practices as of 2023. Short-term rental regulations are subject to change, and investors should verify current requirements with local authorities before making investment decisions.