Cedar Springs, Michigan Short Term Rental Regulations Guide for Airbnb hosts

Executive Overview

Yes, short-term rentals are explicitly allowed in Cedar Springs, Michigan. The City Council has established a comprehensive regulatory framework for STRs through Ordinance 252 (effective July 23, 2025) and Ordinance 253 (effective July 30, 2025). However, the market is highly limited by design: only five permits will be issued city-wide at any given time through a competitive lottery system.

What do Airbnb hosts actually earn in Cedar Springs?

Cedar Springs hosts earn a median $37,324/year with $240 ADR and 58% occupancy.

Top performers pull in $59,764+ per year.

See the full Cedar Springs market breakdown

How to Start a Short-Term Rental Business in Cedar Springs

Step 1: Confirm Zoning Compliance

Before pursuing any permits, verify your property is located in an approved zoning district. STRs are permitted by right in:

R-2 Single-Family and Two-Family Residential District
B-2 Central Business District
MU Mixed Use District

Step 2: Apply During the Application Window

The City Manager will establish specific application windows for STR permits. Applications must be submitted on city-manager-approved forms during these designated periods.

Step 3: Participate in the Lottery System

If more than five qualified applications are received in any year, permits will be allocated through a random public drawing conducted at a City Council meeting. This creates a competitive, transparent allocation process.

Step 4: Complete Required Inspections

All prospective STR properties must pass safety and compliance inspections before receiving permits.

Required Documents, Permits, Licenses, and Guidelines

Primary Requirements

STR Permit - Mandatory for operation and advertising
Safety Inspection - Required before permit issuance
Application Forms - City manager-approved forms only
Fee Payment - City Council will establish appropriate fees by resolution

Permit Specifications

Validity: Calendar-year basis
Transferability: Not transferable between properties or owners
Eligibility: Must be issued to property owner only
Revocable Privilege: Permits are revocable privileges, not property rights

Required Disclosures and Documentation

Current operator information on file with the City
Maximum permitted occupancy documentation
Emergency contact procedures
Trash pickup schedule and requirements
Parking limitations and property boundary information

Specific Regulations for Short-Term Rentals

Permitting Limitations

Hard Cap: Maximum of 5 permits city-wide
Allocation Method: Random public drawing if demand exceeds supply
Application Period: Limited to designated windows established by City Manager

Property Requirements

Address and Visibility

Street number marker must be visible from the road
Address must be posted in at least two prominent interior locations (near kitchen and telephone/pool areas)

Occupancy Restrictions

Maximum occupancy limited by International Property Maintenance Code standards
Cannot advertise occupancy exceeding permitted maximum
Prohibited: Using campers, tents, or similar arrangements for additional occupancy

Operator Requirements

Availability: Must be available by phone 24/7 during rental periods
Response Time: Must be physically present within 30 minutes when contacted by City or law enforcement
Licensing: May be property owner or state-licensed real estate broker

Property Standards

Adequate trash receptacles with closed containers required
Weekly trash disposal by licensed waste hauler mandatory
Compliance with International Property Maintenance Code required
Safe, adequate sleeping arrangements with proper egress required

Zoning Compliance

STRs are specifically permitted in:

R-2 District: Single-family and two-family residential
B-2 District: Central business district
MU District: Mixed-use areas

Prohibited Activities

Renting without a valid permit
Advertising STR services without a permit
Exceeding maximum occupancy limits
Using the property for purposes beyond residential accommodation

Penalty Structure

Municipal Civil Infraction: Violations of permit requirements or operational regulations
Fine: Up to $500 per violation plus allowable costs
Daily Violations: Each day of continued violation constitutes a separate offense

Revocation Procedures

Trigger: Two or more municipal civil infraction determinations
Process: Written notice from City Manager stating revocation basis and effective date
Effective Date: 30 calendar days following notice issuance
Appeal Period: 20 calendar days to appeal to City Council
Reapplication Restriction: One-year waiting period after revocation

State-Level Considerations for Michigan

Residential Use Restrictions

Michigan courts have consistently held that residential-use covenants can prohibit short-term rentals even without explicit commercial use restrictions. The Michigan Supreme Court affirmed in Melvin R. Berlin Revocable Trust v. Rubin (September 2025) that:

Covenants restricting property to "single family residence purposes" are sufficient to prohibit STRs
STRs are considered commercial enterprises despite residential use during stays
"Residence" requires permanence and continuity, which excludes transient rental activity
Residential-use restrictions broadly cover STR prohibitions

Legal Implications for Investors

Investors must verify:

HOA/Condo Restrictions: Check association governing documents for residential-use limitations
Neighborhood Covenants: Review deed restrictions that may prohibit commercial activity
Municipal Compliance: Ensure local STR compliance while respecting state contract law

Contact Information

City of Cedar Springs

Address:

PO Box 310, Cedar Springs, MI 49319-0310
66 S. Main Street, Cedar Springs, MI 49319-0310

Phone: (616) 696-1330

Hours: 7:30 AM - 5:30 PM, Monday - Thursday

Key Departments:

City Manager: Administers STR permit program
City Clerk: Handles permit applications and appeals
Code Enforcement: Monitors compliance and issues violations

Online Resources

City Website: cityofcedarsprings.org/
Ordinances Library: library.municode.com/mi/cedar_springs/codes/code_of_ordinances
Meeting Calendar: cityofcedarsprings.org/meetings/
Forms and Applications: cityofcedarsprings.org/forms/

Source Documentation and Links

Primary Ordinance Sources

Ordinance 252 (STR Regulatory Framework): Municode Library - Cedar Springs
Ordinance 253 (Zoning Amendments): Available through City Clerk office and Municode library
City Ordinance Archive: https://cityofcedarsprings.org/ordinances/
Direct Ordinance PDF: https://mcclibraryfunctions.azurewebsites.us/api/ordinanceDownload/14671/1368118/pdf

City Information and Resources

Official City Website: https://cityofcedarsprings.org/
Business and Zoning Information: https://cityofcedarsprings.org/business-information/
Meeting Minutes Archive: https://cityofcedarsprings.org/meetings/meetings-minutes-library/

State Legal Precedent

Michigan STR Legal Analysis: https://maglawpllc.com/restrictions-affirmed-short-term-rentals/
City Facebook Notice: https://www.facebook.com/OfficialCityofCedarSprings/posts/public-notice-of-the-city-of-cedar-springsthe-city-council-has-approved-ordinanc/1205879568243523/

Investment Recommendation: Cedar Springs presents a highly regulated but legally viable STR market with strong municipal support. The five-permit limitation creates significant scarcity value for successful applicants, but investors should prepare for competitive application processes and maintain meticulous compliance with operational requirements. The recent legal clarity around residential-use restrictions makes property due diligence essential to avoid covenant conflicts.

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Ask the AI Advisor about Cedar Springs

Cedar Springs is a small city tucked into the northern part of Kent County in Michigan's Lower Peninsula, home to roughly 3,500 residents. It carries the unhurried feel of a classic western Michigan small town, with a walkable downtown, tree-lined streets, and a strong sense of local tradition. The city is best known as the home of the long-running Red Flannel Festival, a fall celebration that draws visitors from across the region each October. Cedar Springs sits about twenty miles north of Grand Rapids, the nearest major city, which makes it a convenient base for travelers who want a quieter place to stay while remaining within easy reach of West Michigan's largest metropolitan area.

The Red Flannel Festival is the city's signature event and the single biggest reason visitors book stays in Cedar Springs. Held annually since 1939, the late-October weekend features a large parade, carnival rides, craft vendors, and community events tied to the region's historic red flannel hunting attire. For much of the year the town is calm, but the festival weekend reliably fills nearby lodging and makes short-term rentals especially attractive to owners in the area.

Just west of town, the White Pine Trail State Park runs for nearly 100 miles through the region, following an old rail corridor from Comstock Park up toward Cadillac. The trail passes directly through or very near Cedar Springs and offers hiking, biking, and in winter months, snowmobiling and cross-country skiing, giving visitors a free and accessible outdoor draw year-round.

About twenty minutes south, Grand Rapids expands the list of nearby attractions significantly. Frederik Meijer Gardens & Sculpture Park is one of the most visited cultural destinations in the Midwest, blending botanical gardens with a major outdoor sculpture collection and a tropical conservatory. The city also offers the Gerald R. Ford Presidential Museum along the Grand River, a dense brewery scene along what locals call "Beer City USA," and the John Ball Zoo, all reachable on a day trip from a Cedar Springs rental.

Cedar Springs appeals to short-term rental owners because it occupies a sweet spot between small-town charm and metropolitan access. The Red Flannel Festival provides predictable peak-season demand, the White Pine Trail draws outdoor enthusiasts throughout the warmer months, and Grand Rapids' museums, gardens, and dining are close enough for a quick day trip, giving the town year-round appeal for a wide range of travelers.