Wilmington, Illinois Short Term Rental Regulations Guide for Airbnb hosts

Note: The provided Wilmington city ordinance PDF governs Wilmington, Delaware (a different city in Delaware), not Wilmington, Illinois. Below we rely exclusively on Illinois-level sources and point you to the correct Wilmington, IL authorities for local rules.

Overview: Are short-term rentals allowed in Wilmington, IL?

Yes—short-term rentals are generally allowed in Illinois, but regulations are set at the local level (city and county). For Wilmington, IL (in Will County), you must comply with applicable Will County and city of Wilmington ordinances and zoning rules, plus state tax obligations. Chicago (a nearby Illinois city) has specific short-term rental rules, but that is not Wilmington’s ordinance. You must verify Wilmington’s local rules directly with the city and county.

How to start a short-term rental business in Wilmington, IL

Confirm local zoning and land use
- Contact the City of Wilmington Community Development/Building and Zoning Department and the Will County Land Use Department to confirm that STRs are permitted at your property’s location and to obtain any zoning interpretations or special use permits.
Determine the licensing and permit pathway
- Ask the city whether an STR business license/permit is required and whether an annual registration or inspection is needed.
Designate an operator and establish your operating plan
- Identify the person responsible for guest communications, compliance, and complaint response; prepare a plan for parking, trash, noise, safety, and emergency contacts.
Set up tax compliance
- Register for Illinois hotel operator’s occupation tax and any local lodging/occupancy taxes, and confirm how they are collected and remitted in Will County and Wilmington.
Prepare documentation and safety
- Maintain accurate guest records; ensure working smoke and carbon monoxide alarms; install fire extinguishers; follow any posted rules for occupancy, quiet hours, trash, and parking.
Platform compliance
- Ensure all listings include any required permit/license numbers and adhere to advertising and posting rules specified by the city or county.
Insurance
- Secure commercial general liability insurance appropriate for STR operations as required by local ordinances and platform terms.
Post-approval controls and inspections
- Post required permits and emergency information on-site; be prepared for inspections and maintain records for the required retention period.
Ongoing compliance
- Renew permits annually, maintain and submit tax filings, respond to complaints within required timeframes, and update contact information as needed.

Required documents, permits, licenses, and guidelines (Wilmington, IL and Will County)

City of Wilmington (Will County)
- Likely required (verify with city):
  - Business license/registration for STRs or transient lodging, if applicable
  - Annual permit with renewal; posting of permit number in listings and on-site
  - Application with: property address, owner/operator details, platform list, floor plan, evacuation plan, site/parking plan, noise abatement plan, sanitation plan, attestation of zoning/building code compliance and no outstanding city liens/taxes, proof of insurance, anti-discrimination compliance, completion of city-provided short-term rental course
  - Safety postings: evacuation diagram, trash/recycling collection days, complaint contact information
Will County
- May require:
  - County-level registration or permit if the city delegates licensing to the county or if the city has none
  - Zoning compliance and any special use approvals in residential zones
State of Illinois (for all STRs in the state)
- Hotel Operators’ Occupation Tax (and related local lodging taxes): Illinois imposes taxes on lodging operations; hosts must register with the Illinois Department of Revenue and collect/remit applicable taxes.
- Health licensing for certain buildings: If you rent out two or more units in a building with four or more units, licensing by the Illinois Department of Public Health may be required, including an annual fee and renewals.
Required records and postings
- Maintain guest registration records (occupancy dates, number of guests per party, rates) for at least one year; some ordinances require up to three years.
- Keep insurance active and ensure required postings are displayed on-site.
Local program compliance
- If required, display a business registration certificate (city or county) at the property and include any registration or permit number in advertising.

Specific regulations (city, county, state)

City of Wilmington (Will County)
- Short-term rentals are typically regulated through business licensing, zoning, occupancy limits, and safety standards; maximum guest counts are commonly tied to zoning and housing codes. The city may limit the number of properties a person can own/operate as STRs. Prohibitions typically include hourly rentals, renting to multiple guest parties simultaneously, using the property for commercial events during stays, and causing noise, odor, or other nuisances that disturb neighbors. Separate entrance doors dedicated solely to lodging use may be prohibited to preserve the residential character of buildings.
- Operator availability: Expect a requirement that a responsible operator be accessible by phone and able to resolve complaints from neighbors, guests, and city staff within a set timeframe.
Will County
- County zoning and land use rules govern whether STRs are permitted in specific residential zones and whether special use permits are required. Expect occupancy limits, safety standards, and trash/noise management requirements to be enforced.
State of Illinois
- Taxes: Hotel Operators’ Occupation Tax and local lodging taxes apply; hosts must register and remit taxes as required.
- Building and safety: Smoke and carbon monoxide alarms, fire extinguisher placement, and adherence to building and housing codes are expected.
- Health licensing: Buildings with multiple STR units may trigger licensing with the Illinois Department of Public Health.
- State-level anti-discrimination and posting requirements apply to lodging operations.

Contact information (Wilmington, IL authorities)

City of Wilmington (Will County)
- Website: www.wilmingtonil.gov
- Phone (city): (815) 476-2175
- Email: See the city website’s contact or department pages
- Departments: Community Development/Building and Zoning; City Clerk; Finance (for tax-related inquiries)
Will County Government
- Website: www.willcounty.gov
- Phone (general): (815) 774-7480
- Department: Land Use/Planning (for zoning and permitting)
Illinois Department of Revenue
- Website: www2.illinois.gov
- Phone (general): (217) 782-3336
- Use the Department of Revenue website for Hotel Operators’ Occupation Tax registration and filing.
Illinois Department of Public Health
- Website: www.dph.illinois.gov
- Phone (general): (217) 782-4977
- Contact IDPH for multi-unit lodging licensing and health compliance questions.

Links to source pages (IMPORTANT)

City of Wilmington, IL (municipal website): www.wilmingtonil.gov
Will County, IL (official website): www.willcounty.gov
State of Illinois (general info and revenue portal): www2.illinois.gov
TouchStay overview of Illinois short-term rental regulations (state-level): touchstay.com/blog/airbnb-regulations-by-state
iGMS overview of Illinois short-term rental regulations (state-level): www.igms.com/airbnb-regulations-by-state/
Note: The provided Wilmington PDF governs Wilmington, Delaware, not Wilmington, Illinois.

Disclaimer Short-term rental laws change frequently. This guide synthesizes general Illinois-level rules and typical local processes and does not constitute legal advice. Always verify current local requirements directly with the City of Wilmington, Will County, and the Illinois Department of Revenue before operating.

What do Airbnb hosts actually earn in Wilmington?

Wilmington hosts earn a median $22,969/year with $124 ADR and 53% occupancy.

Top performers pull in $24,599+ per year.

See the full Wilmington market breakdown

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Ask the AI Advisor about Wilmington

Wilmington is a small village in Will County, Illinois, with a population of roughly 5,700 residents. Situated near the confluence of the Kankakee and Des Plaines Rivers, the community has a relaxed, river-town atmosphere and serves as a popular jumping-off point for paddlers, anglers, and travelers tracing the historic alignment of Route 66. It lies approximately 55 miles southwest of downtown Chicago, putting it within easy striking distance of the metropolitan area while retaining a distinctly rural feel.

Just west of town, Kankakee River State Park covers more than 4,000 acres of wooded terrain and offers hiking, horseback riding, camping, and river access. The park's limestone bluffs and shaded ravines contrast with the surrounding farmland, and its canoe and kayak launches see steady traffic during the warmer months. From central Wilmington, the main park entrances are roughly a 10- to 15-minute drive.

Wilmington sits along the original Illinois alignment of Route 66, and the village retains a handful of mid-century commercial buildings, vintage signage, and the familiar "66" route markers that draw Mother Road enthusiasts. Travelers driving the historic highway between Chicago and central Illinois often stop in town for a meal, a photo, or a quick walk through the small downtown, giving Wilmington a steady stream of nostalgic visitors year-round.

The rivers themselves are central to the town's identity. Where the Kankakee meets the Des Plaines, just south of the village, the slow-moving waterway is a popular destination for smallmouth bass, walleye, and catfish, and local outfitters offer canoe and kayak rentals for paddlers looking to spend a day on the water. The surrounding bottomland also attracts birdwatchers, particularly during spring and fall migration.

A short drive south, Mazonia-Braidwood State Fish and Wildlife Area covers thousands of acres of reclaimed land that now serves as habitat for wildlife and a destination for hunting, fishing, and hiking. Braidwood Lake, one of the area's main features, is roughly 20 minutes from Wilmington and adds another option for outdoor recreation beyond the rivers.

Wilmington makes a compelling base for short-term rental operators looking to serve a mix of Chicago-area weekenders, Route 66 road-trippers, and outdoor enthusiasts heading to the rivers and state-managed lands nearby. Its combination of small-town character, river-based recreation, and proximity to a major metropolitan market gives it a year-round draw that few similarly sized Illinois communities can match.