Written by: Sanjin Hadziomerovic
Comprehensive FAQs for Short-Term Rental (STR) Regulations in New Orleans, LA
Investing in short-term rental (STR) properties requires an in-depth understanding of local regulations. Below is a comprehensive list of frequently asked questions (FAQs) for STR operators and investors to help you navigate the rules in New Orleans, LA and stay compliant while maximizing profitability.
1. What is considered a short-term rental in New Orleans, LA?
STRs are defined in the Comprehensive Zoning Ordinance (CZO) as “the use and enjoyment of a Dwelling Unit or any part thereof, by guests for a period of less than thirty consecutive days, in exchange for money, commodities, fruits, services, or other performances.” Any stay of less than 30 consecutive days requires an STR permit. Rentals longer than 30 days (60 days in the Vieux Carré) are considered long-term and do not require an STR permit (Overview of Short Term Rentals in New Orleans)
2. Do I need a permit to operate a short-term rental in New Orleans, LA?
There are two permit categories administered by the Department of Safety & Permits:
- Non-Commercial Short Term Rental (NSTR): Available to owner-occupied properties where no more than two units are rented, and no structural changes or commercial activity occurs. NSTR licenses must be renewed annually and are subject to a lottery in oversubscribed areas.
- Commercial Short Term Rental (CSTR): Historically available to investor-owned buildings, subject to zoning approval, floorplan review, evacuation plans, and noise, sanitation, and security operation plans. New CSTR applications have been closed since June 8, 2023 under CZO 19.4.A.20; only existing CSTR licenses may renew (STR Administration Home)
All STRs must hold a current permit (NSTR or, if pre-June 2023, CSTR) before listing.
3. What are the zoning laws for STRs in New Orleans, LA?
STRs must comply with both the CZO and the Municipal Code. Key zoning principles include:
- Legal Dwelling Unit: STRs must take place in a lawful Dwelling Unit, which the CZO defines as “a room, or group of rooms, providing complete, independent living facilities, including permanent provisions for living, sleeping, eating, cooking and sanitation for one or more persons.”
- Historic District Considerations: Certain historic neighborhoods (e.g., the Vieux Carré) have unique rules; in the Vieux Carré, rentals of fewer than 60 days were initially prohibited until 2017 but now require specific CZO compliance.
- CSTR-Specific Zoning: CSTRs could only operate in zoning districts approved under CZO 19.4.A.20; no new CSTRs are permitted after June 8, 2023.
- Owner-Occupied NSTR: Allowed in any residential zoning district so long as the permit holder resides on site and does not create new unit separations.
Operators should verify their property’s zoning designation against the CZO and obtain any necessary Zoning Interpretation Memos before applying for an STR permit (Overview of Short Term Rentals in New Orleans)
4. Are there occupancy limits for short-term rentals in New Orleans, LA?
Maximum occupancy is not explicitly capped in the STR ordinance; however, every STR permit application requires a floorplan and evacuation plan review to ensure the unit meets building and fire-safety codes for the intended number of guests. Best practice is to adhere to local fire code occupancy limits—typically based on square footage and means of egress—and to specify the maximum number of guests on your permit.
5. What taxes are short-term rental hosts required to pay in New Orleans, LA?
STR operators must collect and remit applicable state and local lodging taxes:
- State Sales Tax and State Hotel Occupancy Tax: Collected through the Louisiana Department of Revenue.
- City Hotel Occupancy and Sales Tax: Administered by the City of New Orleans Revenue Department.
- Parish Tourist Tax: As required by Orleans Parish regulations.
Platforms like Airbnb or VRBO do not remit STR taxes on behalf of hosts; it is the operator’s responsibility to register with the Louisiana Department of Revenue and the City’s Revenue Department to properly collect and report all taxes due.
6. What are the safety and health requirements for STR properties in New Orleans, LA?
Permit applications must include:
- Floorplan and Evacuation Plan: Showing all exits, smoke detectors, fire extinguishers, and egress routes.
- Noise Abatement Plan: Procedures to mitigate noise impacts on the neighborhood.
- Sanitation Plan: Detailing trash handling, pest control, and housekeeping.
- Security Plan: Including emergency contact information and protocols for guest behavior.
No separate routine health inspection is required, but STR properties must comply with all applicable building, fire prevention, plumbing, mechanical, and health codes enforced by the Department of Safety & Permits.
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7. How are noise and nuisance complaints handled in New Orleans, LA?
Noise and nuisance enforcement follows the City’s general code-enforcement framework. If the STR office receives complaints—especially about CSTRs—a noise monitoring device is required for all CSTRs effective July 1, 2023. NSTRs should follow the noise protocols specified in the permit application’s noise abatement plan. Violations may lead to enforcement actions, including fines or permit revocation.
8. Can I manage multiple short-term rental properties in New Orleans, LA?
Each property must hold its own NSTR or CSTR permit (as applicable) and pay the associated fees (NSTR renewal, CSTR renewal for pre-2023 licenses). If you manage multiple properties, submit a separate application, floorplan, and operation plans for each address.
9. What are the penalties for non-compliance with STR regulations in New Orleans, LA?
Non-compliance is addressed through an administrative enforcement process:
- Notice of Violation: Property operators are informed of specific regulation breaches.
- Abatement Period: An opportunity to correct or abate violations.
- Adjudication Hearing: If violations remain unaddressed, an Administrative Adjudication Hearing may impose monetary fines, suspend or revoke the STR permit, or assess other penalties.
Owners operating without a valid permit risk immediate summons and potential revocation of future STR privileges.
10. Are there any updates or changes to STR regulations I should be aware of in New Orleans, LA?
Key regulatory milestones include:
- October 2016: Initial STR regulations adopted by City Council; effective April 1, 2017.
- December 1, 2019: Major overhaul under Ordinances 029381 MCS and 029382 MCS, updating permit structures, enforcement protocols, and operation standards.
- June 8, 2023: New CSTR applications were suspended per CZO 19.4.A.20; existing CSTR licensees can continue renewals but no new CSTRs are accepted.
Owners should consult the Municipal Code of New Orleans (CCNO) and the CZO for any subsequent amendments and verify current requirements on the STR Administration website.
11. Can I self-manage my short-term rental in New Orleans, LA?
Property owners may self-manage without engaging a third-party management company. Each application requires owner contact information and a designated local emergency contact who can respond to complaints or emergencies.
12. What are the insurance requirements for short-term rentals in New Orleans, LA?
The STR ordinance does not specify minimum insurance coverage. Best practice is to maintain at least $1 million of liability insurance covering short-term rental activity, plus property insurance for structural damage. These policies should list the City of New Orleans as an additional insured to align with common code requirements.
13. Are there any local rules regarding hosting platforms (e.g., Airbnb, Vrbo) in New Orleans, LA?
The City does not directly regulate third-party platforms. Regardless of platform, operators must hold a valid STR permit and clearly display the permit number in all advertisements. Platforms do not substitute for a City permit, and failure to hold a permit may result in removal of listings or enforcement actions.
14. What are the inspection requirements for STRs in New Orleans, LA?
- Floorplan and Evacuation Plan Review: Required for both NSTR and CSTR applications.
- No Routine Physical Inspection: The Department may inspect any STR that raises code-compliance concerns (noise, building safety, occupancy, etc.).
- CSTR-Specific Plans: CSTR applicants must submit detailed noise, sanitation, and security operation plans; NSTR applicants need only a shorter attestation and checklist.
Failure to pass any required review delays or denies permit issuance.
15. Are there any neighborhood-specific restrictions for STRs in New Orleans, LA?
- Vieux Carré (French Quarter): Rentals of under 60 days were initially prohibited before 2017. Now, any STR in the Vieux Carré must comply with CZO requirements and obtain either an NSTR permit (if owner-occupied) or a pre-existing CSTR license.
- Historic Districts: STRs must respect landmark commission rules; façade changes, signage, or structural modifications may require additional historic-preservation approval.
Owners should consult the Zoning Department for district-specific restrictions, especially in historic neighborhoods.
16. Is there a cap on the number of STR permits issued in New Orleans, LA?
Yes, but only for Non-Commercial licenses in certain areas. The NSTR permit process uses a lottery system in oversubscribed neighborhoods (e.g., parts of the French Quarter and Marigny). Details on lottery schedules and submission windows are posted annually on the STR Administration site. There is no cap on CSTR renewals—only on new CSTR applications (which have been closed since June 8, 2023).
17. What parking requirements exist for STRs in New Orleans, LA?
The STR ordinance does not establish STR-specific parking mandates. STR operators must comply with the off-street parking and historic-district parking standards in the CZO. In many dense neighborhoods (e.g., the French Quarter), on-site parking is scarce, so owners often provide recommended public parking options and advise guests on street-parking rules.