Big Timber, Montana Short Term Rental Regulations Guide for Airbnb hosts

Executive Summary

Short-term rentals ARE allowed in Big Timber, MT, but with significant restrictions. Big Timber regulates short-term rentals primarily through the "Bed & Breakfast Inn" classification, which requires owner occupancy and operates only in specific zoning districts as either permitted or conditional uses. Traditional commercial vacation rentals (like Airbnb) would likely fall under "Hotels and Motels" classification, which is permitted in commercial districts (HB, ICC, CBD) but prohibited in residential zones.

What do Airbnb hosts actually earn in Big Timber?

Big Timber hosts earn a median $25,379/year with $196 ADR and 48% occupancy.

Top performers pull in $28,347+ per year.

See the full Big Timber market breakdown

How to Start a Short-Term Rental Business in Big Timber

Option 1: Bed & Breakfast Operation (Primary Residential Option)

Property Requirements: Must be owner-occupied dwelling unit
Zoning Compliance: Verify your property is in an appropriate district
Conditional Use Permit: Required in R-1, R-2, and R-3 districts
Permitted Districts: R-S (permitted), R-1/R-2/R-3 (conditional use)
Services Required: Must provide morning meal to guests

Option 2: Commercial STR Operation

Property Requirements: Commercial property in HB, ICC, or CBD districts
Zoning Compliance: Hotels and motels are permitted uses in commercial districts
No Conditional Use Permit Required: Direct permitted use in commercial zones
Property Restrictions: Cannot operate in residential zones

Required Documents, Permits, and Licenses

For Bed & Breakfast Inns (Residential STR)

R-S District (Permitted Use):

Zoning compliance verification
Building permits (if modifications needed)
Health department permits for food service
Business license from City of Big Timber
Fire safety inspections

R-1, R-2, R-3 Districts (Conditional Use):

Conditional Use Permit application
Public hearing before Planning Board
All documents listed above for R-S district
Neighbor notification and comment period

For Commercial STR Operations (Hotels/Motels)

Business license
Building permits for any modifications
Fire safety inspections
Health department permits (if applicable)
Zoning compliance verification

Specific Regulations by Jurisdiction

City of Big Timber Zoning Regulations

Bed & Breakfast Inn Requirements:

Must be owner-occupied
Must provide morning meal to guests
Subject to district-specific requirements
Limited to overnight accommodations

Permitted Zoning Districts for Bed & Breakfast:

R-S Rural Suburban: Permitted use (no conditional use permit required)
R-1 Low Density Residential: Conditional use permit required
R-2 Medium Density Residential: Conditional use permit required
R-3 High Density Residential: Conditional use permit required

Commercial STR (Hotel/Motel) Districts:

HB Highway Business: Permitted use
ICC Interchange Commercial: Permitted use
CBD Central Business District: Permitted use

Prohibited Locations:

All residential districts for commercial STR operations
M-I Manufacturing and Industrial District
PLI Public Lands and Institutions District

State of Montana Requirements

Montana state business licensing requirements
Sales tax registration and collection
Lodging facility regulations (if applicable)
Health and safety standards compliance

County-Level Regulations

Sweet Grass County may have additional requirements:

County business licenses
Health department permits
Fire safety inspections
Property tax implications

Detailed Zoning Compliance Requirements

R-S Rural Suburban District

Minimum lot size: 1 acre
Maximum building coverage: 15%
Minimum dwelling size: 1,000 sq ft
Setbacks: 25' front, 20' rear, 8' sides
Maximum height: 28 feet
Off-street parking: 2 spaces per dwelling unit

R-1 Low Density Residential District

Minimum lot size: 8,400 sq ft
Maximum building coverage: 30%
Minimum dwelling size: 700 sq ft
Setbacks: 20' front, 20' rear (principal), 8' sides
Maximum height: 28 feet
Off-street parking: 2 spaces per dwelling unit

R-2 Medium Density Residential District

Minimum lot size: 6,300 sq ft (single-family)
Maximum building coverage: 40%
Minimum dwelling size: 700 sq ft
Setbacks: 20' front, 20' rear (principal), 8' sides
Maximum height: 28 feet
Off-street parking: 2 spaces per dwelling unit

R-3 High Density Residential District

Minimum lot size: 6,300 sq ft (single-family)
Maximum building coverage: 50%
Minimum dwelling size: 500 sq ft
Setbacks: 20' front with parking, 15' without parking
Maximum height: 30 feet
Off-street parking: Per Chapter 20 requirements

Commercial Districts (HB, ICC, CBD)

Various lot size and setback requirements
Commercial building codes apply
Higher density allowances
Parking requirements per Chapter 20

Contact Information for Local Authorities

City of Big Timber Planning and Zoning:

City-County Planning Board
Zoning Officer (designated by City Council)
Location: City Hall
Address: Big Timber, MT

Sweet Grass County:

County Planning Department
County Health Department
County Building Department

Permit Applications and Processes:

Building permits and land use permits filed with Zoning Officer
Conditional use permits processed through Planning Board
Final approvals through City Council

Important Regulatory Notes

Residential STR Limitations

Owner Occupancy Required: For bed & breakfast operations
Meal Service Mandatory: Must provide morning meal
Size Restrictions: Limited to dwelling unit size and lot coverage
Parking Requirements: Must provide adequate off-street parking
Neighbor Impact: Conditional use permits require public input

Commercial STR Considerations

No Size Limitations: Can operate larger facilities
Higher Density Allowed: Commercial zoning permits more intensive use
No Owner Occupancy: Commercial properties don't require owner presence
No Meal Service: Not required for hotel/motel operations
Location Critical: Must be in designated commercial districts

Enforcement and Compliance

Zoning violations subject to Chapter 27 enforcement
Stop orders possible for non-compliance
Conditional use permits can be revoked for violations
Regular inspections may be required

Source Materials

City of Big Timber Zoning Ordinance (Title 11): sgcountymt.gov/wp-content/uploads/2014/03/City-of-Big-Timber-Zoning-Ordinance.pdf

Disclaimer: This guide is based on the provided zoning ordinance content. Investors should verify current regulations and consult with local authorities before proceeding with any short-term rental operation. Zoning laws and requirements may have been updated since the ordinance was adopted.

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Ask the AI Advisor about Big Timber

Big Timber is a small, scenic town in south-central Montana that serves as the county seat of Sweet Grass County. With a population of roughly 1,700 residents, it sits along the Boulder River where the river crosses Interstate 90, roughly halfway between the larger cities of Bozeman (about 90 miles to the west) and Billings (about 90 miles to the east). The town has the feel of a classic Western ranching community, with a quiet, walkable downtown and wide-open views of the prairie giving way to forested hills. Big Timber is best known as a gateway to the Absaroka and Beartooth mountain country that rises to the south, drawing travelers headed into some of the most rugged wilderness in the lower 48.

Just south of town, the Absaroka-Beartooth Wilderness sprawls across more than 900,000 acres of alpine terrain straddling the Montana-Wyoming border. The wilderness offers hiking, horseback riding, fishing, and backcountry camping, with access via forest roads that typically take around one to two hours to reach from Big Timber depending on the trailhead. Its high-elevation plateaus, glacial lakes, and abundant wildlife make it a major draw for visitors seeking a more remote alternative to nearby Yellowstone.

North of Big Timber, the Crazy Mountains rise abruptly from the surrounding plains, reaching nearly 12,000 feet and forming one of the most distinctive skylines in Montana. The range is largely contained within the Crazy Mountains Wilderness, where visitors can hike, hunt, and observe elk, bighorn sheep, and grizzly bears in a setting that feels far removed from the busy national parks. The southern front of the range is generally within an hour's drive of town.

A short drive west of Big Timber, Natural Bridge State Park showcases a striking natural arch carved through limestone by the Boulder River. The park has picnic areas and short trails that allow visitors to view the arch and the river canyon, and it is one of the more photographed local landmarks. Meanwhile, the Boulder River corridor itself, which winds through town, is popular for fly fishing, river floating, and roadside camping during the warmer months.

Big Timber appeals to short-term rental owners because it sits at the intersection of two very different Montana experiences: the high-alpine wilderness of the Beartooths and the rolling ranch country of the Yellowstone River valley. Its central location between Bozeman and Billings, combined with steady traffic from travelers exploring the northern Rockies, gives the town a reliable, season-spanning visitor base in a setting that still feels distinctly small-town and unspoiled.