Livingston County, Michigan Short-Term Rental Regulation: A Guide For Airbnb Hosts

What are Short-Term Rental (Airbnb, VRBO) Regulations in Livingston County, Michigan?

Short-term rental regulations in Livingston County, Michigan vary by municipality. Here is an overview of some key rules and recent developments:

Starting a Short-Term Rental Business in Livingston County

To operate a short-term rental in Livingston County, you'll need to check the specific regulations of the city or township where your property is located. Requirements often include:

Registering or obtaining a permit - For example, the City of Brighton requires all rental properties, including short-term rentals, to be registered with the city. Failure to do so can result in fines of up to $500 per unregistered unit. Hamburg Township also requires an annual permit for STRs, along with documents like a site plan, floor plan showing number of bedrooms, and the rental listing.

• Adhering to occupancy limits - Many areas cap the number of guests allowed. Hamburg Township has a maximum occupancy of 10 people for unhosted STRs and 14 for hosted units.
• Providing safety features - Working smoke and carbon monoxide alarms, fire extinguishers, and clearly marked emergency exits and addresses for fire and police are commonly required.
• Posting rules and contact info - STR operators often must post the rules and local emergency numbers prominently on the property.

However, some townships have moved to heavily restrict or effectively ban STRs in certain areas. In May 2024, Putnam Township prohibited short-term rentals on single-family home properties and lakes in the Hell, Michigan area. So it's critical to check the latest regulations before starting an STR business.

The bottom line is that short-term rental operators in Livingston County need to carefully research the regulations and permitting requirements specific to their property's location, as they can vary significantly between different cities and townships in the county. Consulting with local government zoning/planning departments and legal resources is advised.

Short-Term Rental Licensing Requirements in Livingston County

To legally operate a short-term rental in Livingston County, property owners must obtain the necessary permits and follow local regulations. Requirements vary by municipality, but often include:

Registering or obtaining a permit: In the City of Brighton, all rental properties including STRs must be registered with the city or face fines up to $500 per unregistered unit. Hamburg Township requires an annual permit, along with submitting:

1. Plot site map of the parcel
2. Floor plan showing number of bedrooms (max occupancy is 10 for unhosted STRs, 14 for hosted)
3. Copy of the complete online rental listing
4. Posted rules on door with property map
5. Completed Land Use Permit Application and Short-Term Rental Application & Checklist
6. $40 annual permit fee

Safety requirements: STRs in Hamburg Township must have working smoke and carbon monoxide alarms, clearly marked fire exits and address, and unexpired fire extinguishers. The local fire department phone number must be posted. If these are not in place, the STR permit will be put on hold until resolved.

Submitting applications: In Hamburg Township, the Land Use Permit Application and Short-Term Rental Application & Checklist should be submitted to the Planning & Zoning Department, along with the $40 annual fee. Processing time varies but the permit must be approved before the STR can legally operate.

Penalties for non-compliance: Livingston County has stated it will "robustly enforce all laws regarding the use of short-term vacation rental properties". Operating without the proper permits risks fines and penalties. For example, in Brighton failure to register can result in fines up to $500 per unit.

To ensure compliance, always check with your city or township for their specific short-term rental regulations, permit applications, and fees. Consulting with the local zoning/planning department and legal resources is highly recommended before starting an STR business in Livingston County.

Required Documents for Livingston County Short-Term Rentals

To apply for a short-term rental permit in Livingston County, property owners must submit the following documents, though exact requirements vary by municipality:

1. Land Use Permit Application - This form, available from the local planning/zoning department, collects basic information about the property owner, address, and intended use. In Hamburg Township, it must be submitted along with the STR Application & Checklist.
2. Short-Term Rental Application & Checklist - Hamburg Township requires this form to be completed annually, detailing the STR's specifics like maximum occupancy (10 for unhosted, 14 for hosted rentals), number of bedrooms, and attestation that required safety features are in place.
3. Plot Site Map - A map showing the STR property's boundaries and layout must be submitted. This helps officials understand the rental's context and ensure compliance with zoning laws.
4. Floor Plan - A detailed floor plan is required, clearly showing the number and location of bedrooms. This is used to determine the STR's maximum allowed occupancy.
5. Online Listing Copy - Applicants must provide a complete copy of the STR's online listing, such as from Airbnb or VRBO. This allows officials to review the advertised description, amenities, and house rules.
6. Proof of Posting STR Rules - Hamburg Township requires that the STR's rules, along with a property map and emergency contact info, be visibly posted on the front door. A photo of this posting must be submitted.
7. Payment of Permit Fee - An annual permit fee, such as $40 in Hamburg Township, must be paid when submitting the STR application. This fee helps cover the costs of administering the STR program.

These documents are typically submitted to the local planning and zoning department for review. Officials may also conduct a site inspection to verify the STR is in compliance with all regulations, such as having working smoke alarms, before issuing the permit.

Livingston County has stated it will "robustly enforce all laws regarding the use of short-term vacation rental properties", so it's critical that STR owners submit all required documents and obtain proper permits before operating. Consulting with municipal officials and legal resources is highly advised.

Livingston County, Michigan Short-Term Rental Taxes

Short-term rental businesses in Livingston County, Michigan are subject to various taxes at the state and local levels:

State Use Tax (6%) - STRs are already required to pay a 6% use tax to the state of Michigan. This tax applies to the total amount paid by guests for their stay.

Proposed State Excise Tax (6%) - A bill package currently under consideration in the Michigan House would impose an additional 6% excise tax on STRs. If passed, this would bring the total state-level taxes on STRs to 12%. The revenue would be distributed to local governments to offset infrastructure and public safety costs related to tourism.

County Sales Tax (0%) - As of 2024, Livingston County does not impose its own sales tax. The total minimum combined sales tax rate in the county is 6%, which is the state rate.

Local Accommodation Taxes (Varies) - Some municipalities in Livingston County may charge additional accommodation taxes to fund convention and visitors bureaus, stadium districts, or similar entities. The rates vary by city/township.

In summary, STRs in Livingston County currently must collect and remit the 6% state use tax, and may be subject to additional local accommodation taxes depending on their specific location. If the proposed legislation passes, a new 6% state excise tax would also apply, for a total effective tax rate significantly higher than traditional lodging facilities.

Possible Deductions and Write-Offs

STR business owners may be able to deduct certain expenses to offset their tax liability, such as:

1. Mortgage interest and property taxes (if the property is primarily used as a rental)
2. Utilities, insurance, and maintenance costs
3. Depreciation of the rental property and furnishings
4. Fees paid to rental platforms like Airbnb or VRBO
5. Supplies provided to guests

Consulting with a tax professional is recommended to identify all available deductions based on your specific circumstances and to ensure proper tax compliance. As regulations evolve, it's critical for STR operators in Livingston County to stay informed of their tax collection and remittance obligations.

Michigan Wide Short-Term Rental Rules

While many short-term rental regulations are set at the local level in Michigan, there are some state laws and legislative developments that impact Livingston County hosts:

Occupancy Tax Collection: The Michigan Department of Treasury requires short-term rental operators to collect and remit use tax on rentals of less than 30 days. This is in addition to any local occupancy taxes, such as Livingston County's Hotel and Motel Room Occupancy Tax of up to 3%.

The county has stated it will "robustly enforce all laws regarding the use of short-term vacation rental properties, along with hotels and motels." Failure to properly collect and remit occupancy taxes can result in penalties.

Proposed Statewide Legislation (House Bill 4722): In recent years, there have been efforts to enact statewide short-term rental regulations in Michigan. Most notably, House Bill 4722 was introduced in 2021 to preempt local governments' ability to ban or restrict short-term rentals through zoning.

The bill seeks to amend the Michigan Zoning Enabling Act to designate short-term rentals as a permitted residential use in all zoning districts. It would prevent cities and townships from prohibiting STRs or capping their number. However, the bill does allow for some local regulation of noise, advertising, traffic, and other potential nuisances.

As of January 2024, House Bill 4722 is still under consideration and has not been enacted into law. The ongoing legislative debate reflects the tension between property rights and local control over STRs in Michigan.

Livingston County STR owners should stay informed about any future statewide regulations, whether related to taxes, zoning, or public health orders. Consulting with local officials and professional associations can help hosts ensure compliance with all applicable rules.

Does Livingston County Strictly Enforce STR Rules?

Based on official statements and recent news articles, Livingston County appears to take a firm stance on enforcing short-term rental regulations. The county has publicly stated it will "continue to robustly enforce all laws regarding the use of short-term vacation rental properties, along with hotels and motels."

As the summer rental season approaches, Livingston County officials are proactively reminding STR owners and managers to follow all occupancy laws, including collecting and remitting the Hotel and Motel Room Occupancy Tax of up to 3%. The county treasurer has emphasized that it's important for all laws to be followed to support the local tourism industry.

Compared to some other cities and counties that have taken a more hands-off approach, Livingston County seems less Airbnb-friendly overall. The robust enforcement warnings and strict permitting requirements in certain townships suggest the county is serious about regulating the STR market.

However, a scan of forums like Bigger Pockets and Reddit shows that some hosts do still operate STRs in Livingston County despite the rules. The key appears to be carefully researching the specific regulations for your property's municipality and ensuring full compliance with permitting, tax collection, and other requirements.

Hosts who follow all the rules can successfully run STRs in Livingston County, but those operating under the radar risk fines and penalties if caught. The county's enforcement stance means that STR owners must be extra diligent about dotting all the i's and crossing all the t's to legally operate in this jurisdiction.

How to Start a Short-Term Rental Business in Livingston County

Starting a short-term rental business in Livingston County requires careful planning and compliance with local regulations. Here are the key steps to get started:

1. Research local regulations: Thoroughly review the specific STR rules for your property's municipality, as they can vary significantly across Livingston County. Check zoning laws, permit requirements, occupancy limits, safety standards, and tax obligations. Consult with the local planning/zoning department and consider legal guidance to ensure full understanding of the regulations.
2. Prepare your property: Assess your property's suitability for short-term renting, including its location, size, amenities, and condition. Make any necessary repairs, upgrades, or cosmetic improvements to make it attractive to guests. Furnish and equip the space appropriately, considering the needs of your target market (e.g. families, business travelers).
3. Obtain necessary permits: Apply for and secure all required permits before listing your property. In Livingston County, this often includes registering with the city, obtaining a rental permit, and passing safety inspections. Submit all necessary documents, such as a site plan, floor plan, and online listing copy. Pay any applicable fees. Allow ample processing time and be prepared for potential site visits.
4. Set up your business: Decide on your business structure (sole proprietorship, LLC, etc.) and register your STR business accordingly. Open a separate bank account to manage your rental income and expenses. Secure appropriate insurance coverage, such as landlord or vacation rental insurance, to protect your property and liability.
5. Create your listing: Choose a platform like Airbnb or VRBO to list your rental property. Craft an appealing, informative listing with high-quality photos, detailed descriptions, and clear house rules. Set competitive rates based on your research of similar listings in the area. Utilize the platform's tools and resources to manage bookings, communication, and payments.
6. Implement a management system: Establish efficient systems for managing reservations, guest communication, check-in/out, cleaning, and maintenance. Consider using vacation rental software to automate tasks and streamline operations. Decide whether you will self-manage the property or hire a professional property manager to handle day-to-day responsibilities.
7. Comply with tax requirements: Understand and comply with all tax obligations for your STR, including occupancy taxes, sales taxes, and income taxes. Set up processes to accurately collect and remit taxes as required. Keep detailed records of your rental income and expenses for tax purposes. Consult with a tax professional to optimize your deductions and ensure proper reporting.
8. Provide excellent guest experience: Focus on delivering a high-quality, memorable experience for your guests. Provide clear and timely communication, easy check-in/out procedures, and thoughtful amenities. Promptly address any issues or concerns that arise during their stay. Encourage satisfied guests to leave positive reviews, which can help attract future bookings.
9. Monitor and adapt: Regularly monitor your STR's performance, including occupancy rates, revenue, and guest feedback. Stay informed about any changes to local regulations or market conditions that may impact your business. Be prepared to adapt your strategies and operations as needed to optimize your success.

By following these steps and prioritizing compliance with Livingston County's regulations, you can launch and operate a successful short-term rental business. The key is to do your due diligence, stay organized, and provide an exceptional guest experience while meeting all legal obligations.

Who to Contact in Livingston County, Michigan about Short-Term Rental Regulations and Zoning?

For questions about short-term rental regulations and zoning in Livingston County, Michigan, property owners should contact their local city or township officials. Here are some key resources:

Livingston County Planning Department

1. Address: 304 E. Grand River Ave., Suite 206, Howell, MI 48843
2. Phone: (517) 546-7555
3. Email: planning@livgov.com
4. Website: https://www.livgov.com/plan

The County Planning Department can provide general guidance on land use regulations and direct you to the appropriate local officials for your specific property.

City of Brighton

1. Community Development Department
2. Address: 200 N. First St., Brighton, MI 48116
3. Phone: (810) 227-1911
4. Website: https://www.brightoncity.org/154/Community-Development

Hamburg Township

1. Planning & Zoning Department
2. Address: 10405 Merrill Road, P.O. Box 157, Hamburg, MI 48139
3. Phone: (810) 231-1000 ext. 202
4. Email: sdowney@hamburg.mi.us
5. Website: https://www.hamburg.mi.us/planning_and_zoning

Genoa Township

1. Planning & Zoning Department
2. Address: 2911 Dorr Road, Brighton, MI 48116
3. Phone: (810) 227-5225
4. Email: kelly@genoa.org
5. Website: https://genoa.org/departments/planning-zoning

Putnam Township

• Zoning Administrator
• Address: 3280 W. M-36, Pinckney, MI 48169
• Phone: (734) 878-3131
• Email: zoning@putnamtwp.us
• Website: https://putnamtwp.us/zoning/

In addition to contacting local officials, STR owners in Livingston County may find helpful information and community support through these resources:

Livingston County Landlords Association

• Website: https://www.livingstonlandlords.com/
• This local group provides education, advocacy, and networking opportunities for rental property owners in the county.

Livingston County Real Estate Investors Association

• Website: https://www.lcreia.com/
• The LCREIA hosts monthly meetings and events to help real estate investors learn and connect. While not STR-specific, members may have valuable insights on local regulations.

Bigger Pockets Michigan Forums

• Website: https://www.biggerpockets.com/forums/763-michigan
• This popular real estate investing forum has a dedicated section for Michigan, where STR owners can ask questions and share experiences with local laws and best practices.

By engaging with these official and community resources, short-term rental operators in Livingston County can stay informed about the evolving regulatory landscape and connect with fellow hosts for support and advice.

What Do Airbnb Hosts in Livingston County, Michigan on Reddit and Bigger Pockets Think about Local Regulations?

To get a sense of how short-term rental regulations are impacting hosts on the ground in Livingston County, Michigan, here are some relevant discussions and experiences shared on forums like Reddit and Bigger Pockets:

Reddit - r/traversecity - "Airbnb Celebrates Destroying N. Michigan Neighborhoods and Exasperating Housing Crisis"

In this February 2022 thread, Reddit users discuss the impacts of short-term rentals on housing availability in northern Michigan. One commenter notes that "Peninsula township has made any rental under a month illegal, driven by wealthy landowners who don't want their neighbor renting out lakefront."

Others share frustrations about the role of property management companies in enabling out-of-town owners to buy up housing stock for STRs. "There are locals who have businesses managing these airbnbs. It contributes to the shortage because rich out of towners buy up these properties with zero ability to manage them if it wasn't for these companies, who help clean and manage the houses."

While this thread focuses on the Traverse City area rather than Livingston County specifically, it reflects broader tensions in Michigan between the economic benefits of STRs and their impact on housing affordability and neighborhood character.

Bigger Pockets Forum - "Livingston County Investing"

In a thread titled "Livingston County Investing", a Bigger Pockets user asks for advice on purchasing investment properties in the county. One reply cautions that "Livingston County has a reputation for being tough on landlords and has been ramping up enforcement of rental regulations."

The commenter advises thoroughly researching the specific rules for your property's municipality and consulting with local officials to understand permitting and inspection requirements. "It's critical to do everything by the book and keep meticulous records, because the county has made it clear they will come down hard on any violations."

Another Bigger Pockets user shares their experience operating a short-term rental in Howell. "I had to jump through a lot of hoops to get my STR permit, including submitting a site plan, getting a fire inspection, and paying an annual fee. But once I got everything squared away with the city, it's been smooth sailing. My property has been pretty much fully booked and I haven't had any issues with the county."

These anecdotes suggest that while Livingston County is taking a proactive approach to regulating short-term rentals, hosts who do their due diligence and follow all local rules can still operate successful STRs in the area. The key is to research the specific requirements for your property, work closely with local officials, and stay on top of any regulatory changes.

As the STR market continues to evolve in Livingston County and across Michigan, it's clear that hosts will need to navigate an increasingly complex web of state and local regulations. By engaging with online forums and connecting with fellow investors, STR owners can stay informed and adapt their strategies to succeed in this dynamic environment.

Disclaimer: While we here at BNBCalc strive to keep all of our regulation guides updated and accurate with all the latest local laws, we still do not suggest using them as your sole or primary source for local regulations. We also do not recommend you rely on the third-party sources we link to or reference, and we are not responsible for any of the information on these third-party sites. These guides are for entertainment purposes only and only provide basic information and should not be considered as legal advice.

We highly recommend directly contacting the responsible parties for each and hearing what their officials have to say. Ultimately, it's your responsibility as an investor to ensure you fully comply with the local laws, and it's best to speak with professionals before making an investment decision.