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Short-Term Rental Regulations
in Birmingham, AL

Last verified: 2026-05-14 · Report an update

Zoning & Conditions

The City defines a short-term rental as the transient use of a dwelling for overnight occupancy for less than 30 consecutive days. STRs are permitted in many multi-family, mixed-use, commercial, and agricultural districts subject to permit approval and compliance with City Code Title 12, Chapter 23; in certain single-family and estate districts, they are subject to special exception review by the Zoning Board.

How to Obtain a Permit

1) Submit a short-term rental permit application via the City of Birmingham Online Permit Center. 2) If the property is in a district requiring a special exception (e.g., certain single-family districts), obtain Zoning Board approval. 3) Ensure compliance with Title 12, Chapter 23 of the City Code and obtain any required business licenses or tax registrations.

Regulatory Updates — Birmingham

Proposed and recent legislation

PassedMarch 2023

Birmingham STR Business License Requirement

City requires annual business license for all STR operators; fire safety compliance (smoke/CO detectors, fire extinguisher) and noise ordinance adherence required.

PassedJune 2024

Jefferson County Lodging Tax STR Compliance

County updated STR lodging tax collection requirements; all operators must register with the county and remit taxes from rental income monthly.

ProposedAugust 2025

Alabama STR Economic Impact Study

Alabama Tourism Department commissioned a study on the STR industry's economic contribution; findings may inform future discussion of a voluntary statewide registration framework.

Official Resources

Official Birmingham STR regulation source

Local Resources & Advocacy

Local economic development organization supporting Birmingham's business community including vacation rental operators serving medical, corporate, and event visitors.

Statewide hospitality trade group monitoring Alabama STR legislation and providing compliance resources for lodging operators.

National trade association offering education, advocacy, and resources for professional vacation rental managers.

Frequently Asked Questions

Are Airbnbs legal in Birmingham, AL?
Airbnb listings are allowed in Birmingham, AL, but with restrictions. The City defines a short-term rental as the transient use of a dwelling for overnight occupancy for less than 30 consecutive days. STRs are permitted in many multi-family, mixed-use, commercial, and agricultural districts subject to permit approval and compliance with City Code Title 12, Chapter 23; in certain single-family and estate districts, they are subject to special exception review by the Zoning Board. A permit is required before you can host. These rules apply to all short-term rental platforms (Airbnb, Vrbo, Booking.com, etc.) — not just Airbnb specifically. See the official source linked on this page for full requirements. Last verified 2026-05-14.
Are short-term rentals allowed in Birmingham, AL?
The City defines a short-term rental as the transient use of a dwelling for overnight occupancy for less than 30 consecutive days. STRs are permitted in many multi-family, mixed-use, commercial, and agricultural districts subject to permit approval and compliance with City Code Title 12, Chapter 23; in certain single-family and estate districts, they are subject to special exception review by the Zoning Board.
Is a permit required to operate a short-term rental in Birmingham?
Yes, a permit is required to operate a short-term rental in Birmingham. 1) Submit a short-term rental permit application via the City of Birmingham Online Permit Center. 2) If the property is in a district requiring a special exception (e.g., certain single-family districts), obtain Zoning Board approval. 3) Ensure compliance with Title 12, Chapter 23 of the City Code and obtain any required business licenses or tax registrations.
How do I get a short-term rental permit in Birmingham?
1) Submit a short-term rental permit application via the City of Birmingham Online Permit Center. 2) If the property is in a district requiring a special exception (e.g., certain single-family districts), obtain Zoning Board approval. 3) Ensure compliance with Title 12, Chapter 23 of the City Code and obtain any required business licenses or tax registrations.
Is Vrbo legal in Birmingham, AL?
Vrbo is permitted in Birmingham, AL under the same restrictions that apply to Airbnb — local rules govern the rental itself, not the specific platform. You must hold a valid permit before hosting on Vrbo. Last verified 2026-05-14.
What taxes do short-term rental hosts pay in Birmingham?
Short-term rental hosts in Birmingham are typically responsible for lodging, occupancy, and applicable sales taxes — these usually apply even where hosting is allowed without a permit. Rates and remittance rules vary by jurisdiction (state, county, and city can each levy a share); confirm the current rates with the official source linked on this page. Platforms such as Airbnb and Vrbo collect some taxes automatically, but the host remains liable for any not collected on their behalf.
What is the latest short-term rental ordinance change in Birmingham?
The most recent tracked change in Birmingham is "Birmingham STR Business License Requirement" (2023-03-01, status: passed). City requires annual business license for all STR operators; fire safety compliance (smoke/CO detectors, fire extinguisher) and noise ordinance adherence required. See the regulatory updates section on this page for the full history.
What does Birmingham require for STR operation?
An annual City of Birmingham business license with fire safety compliance (smoke/CO detectors, fire extinguisher) and noise ordinance adherence. Jefferson County lodging tax registration and monthly remittance is also required.
What taxes apply to Birmingham STRs?
Alabama state lodging tax (4%), Jefferson County lodging tax, and Birmingham city lodging tax all apply. Register with the Alabama Department of Revenue and Jefferson County. Total lodging tax burden is approximately 15–17% depending on specific rates.
Does Alabama have state preemption for STRs?
No. Alabama has no statewide STR preemption law. Birmingham and other Alabama municipalities set their own requirements independently. A state economic impact study may lead to a voluntary registration framework, but no preemption legislation is currently proposed.
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Disclaimer

This information is for general reference only and may not reflect the most current regulations. STR regulations change frequently. Always verify requirements with official local government sources before operating a short-term rental.

Last verified: 2026-05-14 · Suggest a correction