Baltimore Rental License Cost Calculator
Calculate your total cost to obtain a Baltimore City Rental License based on your specific rental situation.
Total Cost Estimate
Base License Fee
Certificate of Occupancy
Additional Fees
Total Estimated Cost
$50.00
$30.00
$0.00
$80.00
Important Notes:
• Short-term rentals require $250k liability insurance
• Business license required for >3 units
• Fees subject to change
• Inspection fees may apply
Quick Takeaways
- Both short‑term (Airbnb‑style) and long‑term rentals usually require a Baltimore City Rental License.
- Short‑term rentals need an additional Short‑Term Rental Permit and must meet stricter safety inspections.
- The application process is online, costs between $50 and $150, and takes 10‑14 business days once all documents are uploaded.
- Homeowners in historic districts or under HOA rules may face extra approvals.
- Failure to obtain the proper license can lead to fines of up to $1,000 per day and possible eviction of tenants.
What Is a Baltimore City Rental License?
When you hear the term Baltimore City Rental License, think of a city‑issued permission that tells the municipality you’re allowed to rent out a residential unit. Baltimore City Rental License is a city‑level authorization required for most residential properties that are leased to paying tenants, whether for a month, a year, or just a weekend stay. The license ensures the property meets health, safety, and zoning standards set by the city.
When Do You Actually Need a License?
Not every lease triggers a licensing requirement, but most do. Below is a quick decision matrix:
- Long‑term rentals (30 days or more): A standard Baltimore City Rental License is mandatory.
- Short‑term rentals (less than 30 days): You need both the standard Rental License and a Short‑Term Rental Permit (often called an Airbnb Permit in casual conversation).
- Owner‑occupied homes: If you rent out a spare room while living on the premises, a license is still required unless the lease is informal and under the city’s “roommate exemption” - a narrow exception that only applies to rooms rented to a single tenant.
In short, if you’re putting any part of your house on the market for money, you probably need the license.
Key Regulations Behind the License
Understanding the legal backdrop helps you avoid surprises. The most relevant statutes are:
- Maryland Short‑Term Rental Ordinance - Adopted in 2023, it defines short‑term rentals, sets safety inspection standards, and caps the number of units in certain neighborhoods.
- Baltimore City Department of Housing - The agency that processes applications, conducts inspections, and enforces compliance.
- Certificate of Occupancy - Verifies that a building is legally habitable for the intended use (residential vs. commercial).
- Zoning Regulations - Determines whether a property’s zone (R‑1, R‑2, etc.) permits rental activity.
- Business License - Required if you operate multiple rental units as a business entity.
- Homeowner Association (HOA) Rules - Private covenants that can forbid rentals altogether or demand additional approvals.
- Maryland Rental Tax - A 6% state tax on rental income that must be reported and remitted.
Step‑by‑Step Guide to Getting Your License
Here’s the exact workflow most homeowners follow. Skipping any step may delay approval or lead to a rejection.
- Verify zoning compliance. Log into the Baltimore City GIS portal, enter your address, and confirm the property is zoned for residential use (R‑1, R‑2, or mixed‑use). If it’s commercial, you’ll need a variance.
- Obtain a current Certificate of Occupancy. If you don’t have one, request it from the Department of Housing. The fee is $30, and processing takes 3‑5 business days.
- Gather required documents. You’ll need:
- Proof of ownership (deed or mortgage statement).
- A recent utility bill (to confirm address).
- Floor‑plan diagram showing exits, smoke detectors, and carbon‑monoxide alarms.
- If short‑term: Proof of liability insurance with a minimum $250,000 coverage.
- Create an online account on the Baltimore City Rental License portal. The portal URL is housing.baltimorecity.gov/rentallicense. Registration is free.
- Complete the application. Fill in property details, attach the documents, and answer a short questionnaire about occupancy limits (maximum 4 unrelated tenants for long‑term, 2 for short‑term).
- Pay the fee. Fees are:
- $50 for a standard Rental License.
- +$75 for a Short‑Term Rental Permit.
- +$25 for a supplemental Business License if you have more than three active rental units.
- Schedule the inspection. The Department of Housing will send a certified inspector to verify smoke detectors, egress windows, and maximum occupancy. Inspections are free for first‑time applicants.
- Receive your license. Once the inspector signs off, the system generates a digital license valid for one year. Print a copy and display it near the main entrance as required by the housing code.
Most homeowners receive approval within 10‑14 business days after the inspection, assuming all paperwork is correct.
Cost Summary and Renewal Cycle
| License Type | Base Fee | Additional Fees | Typical Total Cost |
|---|---|---|---|
| Long‑Term Rental License | $50 | Certificate of Occupancy ($30) + optional Business License ($25) | $80‑$105 |
| Short‑Term Rental Permit | $50 | Short‑Term Permit ($75) + Insurance ($100‑$200 annual) + CO/Smoke Detector Upgrade ($50) | $275‑$375 |
Both licenses are valid for one calendar year. Renewal requires a simple online form and a 20% fee increase (e.g., $60 for long‑term, $90 for short‑term) plus any updated inspection fees.
Common Pitfalls and How to Avoid Them
- Ignoring HOA rules. Even if the city approves your rental, a restrictive covenant can force you to stop renting. Review HOA bylaws before you apply.
- Out‑of‑date Certificate of Occupancy. A CO that predates recent renovations may be invalid. Request an updated CO whenever you finish a remodel.
- Insufficient safety equipment. Baltimore’s housing code mandates functional smoke detectors on every floor and a carbon‑monoxide alarm in any unit with fuel‑burning appliances. Install and test them before the inspector arrives.
- Misclassifying short‑term rentals as room‑shares. The city treats any rental of less than 30 days as a short‑term rental, regardless of whether you live on‑site. Apply for the proper permit.
- Failing to collect and remit Maryland Rental Tax. The state imposes a 6% tax on gross rental income. Register with the Maryland Comptroller’s office and file quarterly returns.
FAQs About Baltimore City Rental Licensing
Do I need a license if I rent a room in my house while I live there?
Yes, but you may qualify for the city’s “roommate exemption” if you rent only one bedroom to a single tenant and you remain the primary resident. You still need to register the arrangement with the Department of Housing, though the fee is reduced to $25.
Can I operate multiple short‑term rentals under one license?
No. Each rental unit requires its own Short‑Term Rental Permit. If you own three apartments and want to list them all on Airbnb, you’ll need three separate permits and three separate inspections.
What happens if I rent without a license?
The city can issue a stop‑work order, levy daily fines up to $1,000, and place a lien on the property. Tenants may also be entitled to a refund or to break the lease without penalty.
How long does the inspection take?
A typical inspection lasts 30‑45 minutes. The inspector checks fire safety devices, egress routes, and verifies that the unit matches the floor‑plan you submitted.
Do I need a separate business license for renting?
Only if you rent out more than three units or operate the rentals as a formal business entity (LLC, corporation). For a single‑family home, the standard Rental License suffices.
Next Steps If You’re Ready to Apply
Grab a copy of your deed, fire‑detector certificates, and the latest CO. Then head to the Baltimore City Rental License portal and start the wizard. Most owners finish the whole process in a single afternoon if they have everything on hand.
Need help with the paperwork or want a quick compliance check? Local real‑estate attorneys or licensed property managers in Baltimore often offer a free 30‑minute consultation. It can save you weeks of back‑and‑forth with the city.
Bottom Line
If you plan to rent out any part of your house in Baltimore City, you almost certainly need a rental license. The city’s rules are clear: protect tenants, keep buildings safe, and ensure the tax base is funded. By following the steps above, you’ll stay legal, avoid costly penalties, and focus on making your rental property a source of steady income.
