Overview: Are Short-Term Rentals Allowed in Clinton, MS?

Yes, short-term rentals are currently allowed in Clinton, MS, but only within the Olde Towne Historic District. As of 2025, Clinton operates under a restricted short-term rental framework where STRs are permitted exclusively in this designated historic area, representing a deliberate pilot approach to test the viability and community impact of such operations before potential citywide expansion.

How to Start a Short-Term Rental Business in Clinton, MS

Step 1: Location Selection

• Primary Requirement: Your property must be located within the Olde Towne Historic District to legally operate an STR
• Research property availability within this limited geographic area
• Consider proximity to local attractions, restaurants, and parking availability
• Verify property is not subject to HOA restrictions that might prohibit STR operations

Step 2: Understanding Current Limitations

• Clinton's current STR ordinance represents a limited pilot program
• The Board of Aldermen has been considering citywide expansion since 2022
• As of 2025, discussions continue regarding expanding STRs beyond Olde Towne
• Ward 6 Alderman James Lott has specifically pushed for re-examination of citywide expansion

Step 3: Property Preparation

• Ensure your property meets all existing rental housing standards outlined in Clinton's Rental Housing Code ( Ordinance from 2013)
• Properties must comply with the International Property Maintenance Code (IPMC)
• All utilities must be operational and in the owner's name for inspections
• Property must have adequate kitchen facilities, refrigeration, and sanitation standards

Required Documents, Permits, Licenses, and Guidelines

Required Registration and Licensing

1. Rental Housing Registration

• Annual Registration Fee: $25.00 per dwelling unit
• Registration must be renewed annually
• Late Penalty: $10 per unit multiplied by months past due
• Failure to Register Penalty: $350 if not registered within 90 days of expiration
• Transfer Fee: $25.00 when property ownership changes

2. Privilege License

• Required if operating an office within Clinton city limits
• Obtained per Mississippi State Statute 27-17-9
• Contact City Clerk for current requirements and fees

3. Certificate of Occupancy

• Valid for 24 months
• Required before any tenant (including STR guests) takes possession
• Must be obtained from the Building Official
• Temporary certificates may be issued for properties under renovation

Required Documentation for Registration

1. Owner Information: Name and address of applicant
2. Proof of Ownership: Documentation if different from Hinds County records
3. Property Details: Location and parcel number
4. Site Plans: For new construction showing compliance with rental housing code
5. Construction Plans: For new buildings, improvements, and facilities

Inspection Requirements

Pre-Registration Inspection:

• Mandatory before initial registration is issued
• All utilities must be turned on during inspection
• Inspector may examine entire property or representative samples

Annual Inspection Requirements:

• Required once per year for landlords who retain all utilities in their name
• Also required with each tenant change
• Utility companies will not provide service without valid Certificate of Occupancy

Specific Regulations for Short-Term Rentals

Current STR Definition

Under Clinton's ordinance, short-term rentals are defined as "any building or portion thereof that is available for use or is used for accommodations or lodging of (guests) paying a fee or other compensation for a period of between two (2) and twenty-nine (29) consecutive days."

Geographic Limitations

• STRs are currently permitted ONLY in Olde Towne Historic District
• This represents a controlled pilot program established by the Board of Aldermen
• The district limitation was intentional to assess STR impacts before citywide implementation

Existing Rental Housing Standards Apply

All STR properties must comply with:

Safety and Maintenance Standards:

• International Property Maintenance Code compliance
• Working smoke detectors and fire safety equipment
• Structural soundness and weather protection
• Adequate heating and cooling systems

Kitchen and Sanitation Requirements:

• Functional cooking oven and range or stove
• Refrigerator maintaining 40-45°F with frozen food capacity
• Sanitary food preparation surfaces
• Proper waste disposal facilities

Property Standards:

• Landscaping maintained in all yard areas visible from public streets
• Exterior areas free from tripping hazards
• Floor coverings in safe condition
• No deteriorated or unsafe conditions

Tax Implications

• Traditional motels pay 7% sales tax plus 3% additional motel tax
• 2% of motel tax dedicated to tourism; 1% to park maintenance
• STRs cannot collect the 3% motel tax, creating potential revenue concerns
• Some STR booking agents collect 7% sales tax; others rely on owners to remit

Enforcement and Compliance

Violation Penalties

• Misdemeanor charges for knowing violations with fines up to $100
• Continuing violations: Each day constitutes a separate offense
• Re-inspection fees: $100 (3rd), $200 (4th), $400 (5th), citation to court (6th without compliance)

Property Transfer Restrictions

• Properties with outstanding citations cannot be transferred without written assumption of responsibility by new owner
• Failure to obtain written acceptance makes transferrer guilty of Class 1 misdemeanor

Contact Information for Local Authority

Primary Contact: Community Development Department

Administrator: Director of the Community Development Department

• Physical Address: Community Development Department, City of Clinton
• Phone: Contact City Hall at (601) 924-5474 for Community Development Department
• Email: Contact through city website at clintonms.org

Additional Contacts

Building Official: Designated by Mayor and Board of Aldermen

• Handles Certificate of Occupancy issuance and inspections

City Clerk:

• Handles Privilege License applications
• Phone: (601) 924-5474
• Physical Address: City Hall, Clinton, MS

Planning and Zoning Commission:

• Made recommendations on STR ordinance in 2022
• Unanimously recommended against allowing STRs in Olde Towne district

State-Level Regulations (Mississippi)

Short-Term Rental Exemption

• Mississippi State Statute 27-17-9 referenced for business licensing requirements
• No additional state-level STR-specific regulations identified
• Standard business tax and sales tax obligations apply

Links to Source Pages

1. Clinton Rental Housing Ordinance (2013): clintonms.org/wp-content/uploads/2023/06/ordinance-rental-property.pdf
2. City of Clinton Official Website: clintonms.org/
3. The Clinton Courier - STR Expansion Discussion (2025): www.theclintoncourier.net/2025/02/24/short-term-rental-expansion-may-be-discussed-by-board/
4. The Clinton Courier - STR Ordinance Discussion (2022): www.theclintoncourier.net/2022/09/04/short-term-rental-ordinance-input-sought-by-aldermen/

Investment Considerations

Advantages

• Limited geographic competition (only Olde Towne district)
• Established regulatory framework
• Historic district appeal for tourism
• Potential for future citywide expansion

Challenges

• Extremely limited market (only one district)
• Ongoing political debate about expansion
• Existing rental property regulations still apply
• Revenue concerns due to motel tax limitations
• Strong neighborhood opposition in some areas

Future Outlook

The Board of Aldermen continues discussing potential citywide expansion of STRs beyond Olde Towne, with public input sessions and possible policy changes under consideration as of 2025. Investors should monitor Board meeting agendas and public hearings for updates on expansion discussions.