Executive Summary: Are Short-Term Rentals Allowed in Fall River, MA?

YES, short-term rentals are now legal in Fall River, MA as of Ordinance No. 2025-07, passed by the City Council on April 8, 2025, and approved by the Mayor on April 9, 2025. However, the operation of short-term rentals is subject to strict regulations designed to maintain neighborhood character while providing limited income opportunities for residents.

This represents a significant shift in policy, as short-term rentals were previously not recognized under city law, leading to enforcement actions and legal disputes with property owners operating listings on platforms like Airbnb and Vrbo.

How to Start a Short-Term Rental Business in Fall River

Step 1: Eligibility Assessment

Before proceeding with registration, confirm that your property meets the following basic criteria:

• The property must be your primary residence (you must reside there for at least 9 months per year)
• The property cannot be located in a single-family residence zoning district
• The property must have no outstanding building, sanitary, zoning, or fire code violations
• You must have no unpaid taxes, fines, or liens on the property
• The property must be legally allowed to be leased or sub-leased under federal, state, or local law
• If in a condominium, you must have written permission from the condominium association

Step 2: Prepare Required Documentation

Gather all required documents before beginning the registration process (see detailed document requirements below).

Step 3: State Registration

• Register with the Massachusetts Department of Revenue on MassTaxConnect
• This is mandatory for all short-term rental operators in Massachusetts

Step 4: City Registration

• Submit all required documents to the Fall River Inspectional Services Division
• Pay the $50 annual registration filing fee
• Complete and sign the Affidavit of Operator

Step 5: Post-Registration Requirements

• Provide notice to all abutters within 30 days of registration
• Post house rules inside the rental property
• Maintain compliance with all safety codes and ordinances

Required Documents, Permits, Licenses, and Guidelines

State Requirements

1. Massachusetts DOR Registration Certificate
   • Obtained through MassTaxConnect
   • Required for all short-term rental operators in Massachusetts

City Requirements

1. Proof of Ownership

   • Copy of the property deed

2. Proof of Primary Residence

   • Copy of driver's license or state-issued identification
   • Utility bill or voter registration

3. Fire Department Certificate of Compliance

   • Must indicate compliance with smoke detector and carbon monoxide requirements
   • Must comply with Massachusetts General Laws, Chapter 148, § 26E

4. Affidavit of Operator

   • Must include:
     • Name and contact information for operator and local contact
     • Description of the short-term rental (number of bedrooms/units available)
     • Sworn statement that operator owns and resides in the unit for at least 9 months per year
     • Sworn statement certifying full compliance with all applicable laws and codes

5. Annual Filing Fee

   • $50, payable to Inspectional Services

Ongoing Compliance Requirements

1. Annual Certification

   • File sworn certification attesting to continued compliance annually

2. Abutter Notification

   • Provide notice to all abutters within 30 days of registration
   • Must be provided annually thereafter
   • Must include operator contact information, local contact information, and registration number

3. House Rules Posting

   • Must post inside the rental property:
     • Contact information for operator and local contact
     • Waste disposal instructions per city's recycling and trash programs
     • Parking regulations information
     • Noise ordinance statement

Specific Regulations for Short-Term Rentals in Fall River

Operational Restrictions

• Maximum Occupancy: 8 guests total, or 2 guests per bedroom (whichever is fewer)
• Rental Duration: Maximum of 30 consecutive days to one party at a time
• Primary Residence Requirement: Operator must reside in the dwelling for at least 9 months per calendar year
• Single-Party Rule: No renting separate bedrooms, beds, or spaces to separate parties
• Quiet Hours: 10 p.m. to 7 a.m. on weekdays; 10 p.m. to 8 a.m. on Sundays

Prohibited Properties

• Properties in single-family residence zoning districts
• Non-primary residences
• Income-restricted residential units
• Properties subject to affordability covenants
• Properties receiving housing or rental assistance
• Properties where short-term rental is barred by federal, state, or local law
• Properties with condominium or HOA restrictions prohibiting short-term rentals

Safety and Compliance Requirements

• No outstanding building, sanitary, zoning, or fire code violations
• No unpaid taxes, fines, or liens
• Compliance with all smoke detector and carbon monoxide requirements
• Posting of house rules inside the rental property
• No signage associated with the short-term rental on the premises

Enforcement and Penalties

• Three or More Violations: Property becomes ineligible for short-term rental use for 6 months from the third or subsequent violation
• Outstanding Issues: Short-term rental use must be terminated until any violation, fine, tax, or order to take corrective action is resolved
• General Penalties: Subject to general penalties set forth in § 1-15 of the City Code or the non-criminal procedure set forth in §§ 2-1021 through 2-1025
• Separate Offenses: Each violation constitutes a separate offense; each day a violation continues constitutes a separate offense
• Liens: Failure to pay any fine constitutes a debt in favor of the city, which may place a lien on the property if not paid within 60 days

Taxes and Fees

• State Tax: 5.7% excise tax on short-term accommodations
• Local Tax: 4% room occupancy tax (mirrors hotel tax rate)
• Community Fee: Potential 3% "community fee" to mitigate neighborhood impacts
• Registration Fee: $50 annual filing fee to Inspectional Services

Contact Information

Primary Contact

Fall River Inspectional Services Division

• Address: 1 Government Center, Fall River, MA 02722
• Phone: (508) 324-2500
• Website: fallriverma.gov

Additional Contacts

Massachusetts Department of Revenue (MassTaxConnect)

• Website: mass.gov/service-center/masstaxconnect

Fall River Fire Department

• Address: 1400 Bay Street, Fall River, MA 02721
• Phone: (508) 324-2700

Fall River City Council

• Website: fallriverma.gov/government/city_council/index.php

Links to Source Pages

• Herald News: Airbnb, Vrbo may soon be legal in Fall River
• Ordinance No. 2025-07 (Full Text)
• Citizen Portal: Committee advances short-term rental ordinance
• The Host Report: Fall River STR Ordinance Proposal
• Goldman & Pease: Airbnb Legislative Update - Massachusetts

Investment Considerations for Fall River STR Market

Fall River's new short-term rental ordinance presents both opportunities and challenges for investors. The strict primary residence requirement significantly limits investment potential, as only owner-occupied properties qualify. The eight-guest maximum and single-party rule further restrict revenue potential compared to other markets.

The prohibition on properties in single-family zoning districts is particularly impactful, as it excludes many of the city's residential properties from short-term rental use. This has implications for the overall supply of available short-term rentals and may concentrate activity in specific zoning districts.

The enforcement mechanism, which includes a six-month ineligibility period after three or more violations within a twelve-month period, provides a strong incentive for operators to maintain high standards and good neighbor relations.

From a financial perspective, investors should account for the 4% local tax rate, potential 3% community fee, and $50 annual registration fee when calculating potential returns. The state 5.7% excise tax further reduces net revenue.

Given the strict regulatory framework and primary residence requirement, Fall River's short-term rental market will likely remain limited compared to other cities, which may protect neighborhood character but also limits investment opportunities.

Source: Content based on Fall River Ordinance No. 2025-07 and related news reports and analyses.