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

Short-term rentals are allowed in Joliet, IL, but they are subject to comprehensive rental property regulations. The City of Joliet has implemented a Systematic Rental Inspection Program that affects ALL landlords, including those operating short-term rentals. This means that if you own any property you do not reside in and someone else occupies it (regardless of whether rent is paid), this is considered a rental property subject to city oversight.

Key Point: Joliet requires registration, licensing, and inspection of rental properties, including short-term rentals. The city does not distinguish between short-term and long-term rental properties for licensing purposes—any rental property must comply with the city's rental inspection program.

How to Start a Short-Term Rental Business in Joliet

Starting a short-term rental business in Joliet requires following these essential steps:

Step 1: Property Analysis and Compliance Verification

Before purchasing or converting a property for short-term rental use, verify:

• The property's zoning allows for rental use
• Compliance with building and safety codes
• Any homeowners association (HOA) or condo board restrictions
• Suitability for short-term rental operations

Step 2: Registration with City of Joliet

Complete the mandatory registration process:

• Download and fill out the rental property registration form from the city website
• Submit the form with the required $100 license fee
• Registration covers all rental properties regardless of rental duration

Step 3: Inspection Preparation

Prepare your property for inspection:

• Ensure all safety systems are functional (smoke detectors, carbon monoxide detectors, fire extinguishers)
• Verify structural integrity and habitability standards
• Address any code violations before inspection
• Maintain the property to meet city housing standards

Step 4: Ongoing Compliance

After receiving your license:

• Display the license number in all advertising materials
• Maintain property standards throughout operation
• Keep records of rental activities
• Renew your license annually
• Cooperate with scheduled inspections

Required Documents, Permits, Licenses, and Guidelines

Required Documents and Licenses:

Rental Property Registration:

• Completed rental owner registration form
• $100 license fee payment
• Proof of property ownership
• Contact information for property owner and local contact person

Business Considerations:

• Consider obtaining general liability insurance (recommended for protection)
• Business registration may be required depending on rental structure
• Tax registration for applicable state and local taxes

Guidelines and Standards:

Property Standards:

• Compliance with city housing codes
• Functional safety systems (smoke detectors, carbon monoxide detectors)
• Proper egress and emergency access
• Adequate heating, plumbing, and electrical systems
• Property maintenance standards

Operational Guidelines:

• Must maintain rental property registration and license
• Properties subject to inspection at city discretion
• Compliance with all applicable building and fire codes

Specific Regulations for Short-Term Rentals

City-Level Regulations (Joliet):

Rental Inspection Program Requirements:

• All landlords must register with the City of Joliet
• License fee of $100 per property
• All rental units subject to inspection (previously exempt properties now included)
• Registration covers single-family rental homes, two-unit homes, and condo units
• Even properties with no rent paid or occupied by relatives are subject to program

Inspection Program Details:

• City schedules inspections starting in January 2023 (ongoing program)
• Properties receive notification of inspection date and time
• Properties can continue operating while awaiting inspection
• Inspections cover safety, habitability, and code compliance

County-Level Regulations:

No specific county-level short-term rental regulations were identified in the provided content for Will County. City regulations generally supersede county rules for properties within municipal boundaries.

State-Level Regulations (Illinois):

General Illinois Requirements:

• Short-term rental operators subject to Hotel Operators' Occupation Tax
• Additional local lodging taxes may apply
• Compliance with state health and safety standards required
• If renting 2+ units in buildings with 4+ units, Illinois Department of Public Health licensing required

Municipal Flexibility:

• Illinois allows municipalities significant latitude in regulating short-term rentals
• Cities can implement their own licensing, zoning, and operational requirements
• Joliet has chosen to regulate through its comprehensive rental inspection program

Zoning Considerations:

Joliet enforces zoning compliance for rental properties. Short-term rental operators should verify that their intended use complies with local zoning ordinances, which may restrict certain types of rentals in specific residential areas.

Contact Information

Primary Contact - Neighborhood Services Division:

Phone: (815) 724-4090 Department: Community Development - Neighborhood Services Division Responsibility: Rental property registration, licensing, and inspection program

City of Joliet Main Contact:

Phone: (815) 724-4000 Address: 150 W. Jefferson Street, Joliet, IL 60432 Hours: Monday - Friday, 8:00 AM - 4:30 PM

Additional Resources:

Rental Inspection Program Information: joliet.gov/rentalinspectionprogram Registration Form: www.joliet.gov/RentalOwnerRegistration

Source Links

1. Joliet City News - New Requirements for Rental Properties (January 9, 2023): www.joliet.gov/Home/Components/News/News/4189/

2. Joliet Rental Inspection Program Page: www.joliet.gov/government/departments/community-development/neighborhood-services-division/rental-inspection-program

3. Illinois Short-Term Rental Laws - O'Flaherty Law: www.oflaherty-law.com/learn-about-law/illinois-short-term-rental-laws

4. Airbnb Regulations by State - iGMS Guide: www.igms.com/airbnb-regulations-by-state/

Important Note: Short-term rental regulations are subject to change. Investors should verify current requirements with the City of Joliet Neighborhood Services Division before proceeding with property acquisition or operation. The comprehensive rental inspection program represents Joliet's approach to ensuring rental property standards, and short-term rentals must comply with these requirements alongside traditional long-term rentals.