Overview: Are Short-Term Rentals Allowed in Holland, MI?

Yes, short-term rentals are allowed in the City of Holland, Michigan, but with significant restrictions and regulations. However, it is critical to understand that there are two separate jurisdictions: the City of Holland and Holland Charter Township. The City of Holland permits STRs under specific conditions, while Holland Charter Township explicitly prohibits short-term rentals such as VRBO, Airbnb, and Homestay.

How to Start a Short-Term Rental Business in This Market

City of Holland (STRs Allowed)

Starting an STR business in the City of Holland requires navigating a two-tier system based on ownership structure:

Owner-Occupied STRs (Primary Residence)

• Properties where the owner lives as their primary residence
• Can rent one room while living there, or the entire home when away
• Allowed in any zone district
• Simpler approval process with fewer restrictions

Investor-Owned STRs (Non-Owner Occupied)

• Properties where the owner does not live
• Currently subject to a cap of 25 properties citywide
• Must meet zoning requirements and separation distances
• More complex approval process with stricter requirements

Critical Limitation: The City of Holland has reached its maximum of 25 investor-owned STR properties. According to the city, openings in this program are rare, and this webpage will only be updated when openings become available.

Holland Charter Township (STRs Prohibited)

Short-term rentals are explicitly prohibited in Holland Charter Township. Properties offering stays of 14 consecutive days or less may only operate as Bed & Breakfast establishments with an approved Special Land Use Permit, and the owner/operator must live on the premises.

Required Documents, Permits, Licenses, and Guidelines

City of Holland STR Requirements

For All STRs:

• Short Term Rental Certificate of Compliance (required)
• Rental inspection (required before operation)
• Property registration
• Liability insurance covering STR use
• Crime Free Lease addendum
• Neighbor notification requirements

Owner-Occupied STRs:

• Owner Occupied Short Term Rental Worksheet
• Primary residence verification

Investor-Owned STRs:

• Investor Owned Short Term Rental Worksheet
• Proof of liability insurance meeting city requirements
• Local agent designation (within 35 miles, available 24/7)
• Zoning compliance verification

Special Provisions:

• Tulip Time STRs: No inspection or certificate required for properties offered for not more than 10 days during the designated festival in May

Holland Charter Township Requirements

For Extended Stays (15+ consecutive days):

• Rental Registration (no fee)
• Annual Rental Registration (due by February 15th)
• Rental inspection and Certificate of Compliance
• Heat system inspection by licensed contractor

For Bed & Breakfast (14 days or less):

• Special Land Use Permit (owner must live on premises)
• Public Lodging License
• Annual inspection

Specific Regulations for Short-Term Rentals

City of Holland STR Regulations

Zoning Requirements:

• Owner-Occupied: Allowed in all zone districts
• Investor-Owned: Permitted in:
  • Commercial zones: NMU, CMU, RMU, GMU
  • Industrial zones: I
  • Planned Unit Development: PUD
  • Farming: F (where residential uses permitted)
  • Residential zones: LDR, CNR, MDR, TNR (subject to 25-property cap and 500-foot separation)

Operational Requirements:

• Maximum occupancy as stated on rental certificate
• Rent entire dwelling unit to one family at a time
• Ownership limit: One STR dwelling unit per owner
• 24/7 local agent availability (within 35 miles)
• Include STR certificate number in all advertisements
• Maintain compliance with City Ordinance Code

Violation Consequences:

• Certificate revocation for:
  • Multiple police calls or code violations
  • Failure to obtain inspections or pay fees
  • Failure to maintain liability insurance
  • Failure to maintain property compliance

Holland Charter Township STR Regulations

Prohibited Activities:

• Short-term rentals (14 days or less) except Bed & Breakfast
• Individual room rentals within a dwelling
• VRBO, Airbnb, Homestay operations

Permitted Accommodations:

• Bed & Breakfast with Special Land Use Permit (owner-occupied)
• Traditional rentals (15+ consecutive days)
• Care facilities (exempt)

Contact Information for Local Authorities

City of Holland - Community & Neighborhood Services

Physical Address: 270 S River Avenue, 3rd Floor Holland, MI 49423

Contact Information:

• Phone: 616-355-1330
• Fax: 616-546-7058
• Email: cns@cityofholland.com
• Website: www.cityofholland.com

Online Resources:

• City Hall Main Line: 616-355-1300
• Pay Online
• Online Property Information

Holland Charter Township - Community Development

Physical Address: 353 North 120th Avenue Holland, MI 49424

Contact Information:

• Phone: 616-396-2345
• Email: info@hct.holland.mi.us

Rental Housing Contacts:

• Jenny Hamzik, Code Enforcement Officer/Rental Housing: [Contact via township website]
• Kate White, Assistant Planner/Zoning Administrator: This email address is being protected from spambots. You need JavaScript enabled to view it.
• Rental Housing Phone: 616-395-0196

Links to Source Pages

City of Holland Sources

• Rental Certification & Licensing Guide
• Owner Occupied Short Term Rental Worksheet
• Investor Owned Short Term Rental Worksheet
• Short Term Rental Registration Form
• City Ordinances

Holland Charter Township Sources

• Rental Housing Program
• Rental Registration Form
• Special Land Use Permit Application
• Property and Housing Maintenance Ordinance
• Holland Charter Township Code of Ordinances

Investment Considerations and Market Reality

For City of Holland Investors:

• The 25-property cap creates a scarcity market for investor-owned STRs
• High barrier to entry due to limited availability
• Owner-occupied STRs may provide more accessible entry points
• Consider the seasonal nature of Michigan tourism and events like Tulip Time

For Holland Charter Township Investors:

• No viable STR investment opportunities due to explicit prohibition
• Focus on traditional long-term rentals (15+ days)
• Consider Bed & Breakfast conversions with proper permitting

Key Takeaway: The Holland market presents a challenging but potentially rewarding environment for STR investors, primarily constrained by the City of Holland's 25-property cap. Success requires careful navigation of dual jurisdictions and compliance with evolving regulations.