On October 15, 2026, the New Orleans City Council adopted Ordinance No. 35,574. It raises the fee the city charges for each night a home is used as a short-term rental to $20. According to the council, the new rate applies to both commercial and non-commercial (residential) rentals. The council expects about $3.5 million in additional revenue for the city; Hoodline puts the figure at around $3 million a year.
How big is the jump?
The council's summary lists the previous rate as $12 a night. Hoodline reports that the rates in place since 2019 were $5 a night for residential and $12 for commercial rentals – so for residential hosts the increase could be much steeper. The higher fee is part of Mayor Helena Moreno's revenue package for the 2027 budget, which according to Hoodline faces a projected shortfall of $100 million. The council's summary does not name a start date for the new rate.
Rules for company-owned rentals updated, too
At the same meeting, the council adopted Ordinance No. 35,597. It updates the city's short-term rental rules to match a decision of the U.S. Court of Appeals for the Fifth Circuit, particularly on corporate ownership of residential short-term rentals. In a separate case decided in August 2026, Bodin v. City of New Orleans, the same court upheld the city's rule that allows only one short-term rental license per residential block, assigned by lottery, and a rule that requires platforms to check for a valid city permit.
What does this mean for you?
If you host in New Orleans: check with the city when the $20 rate starts and how it is collected for your listing. Then update your pricing – on a three-night stay, the fee alone is now $60. Make sure your license is valid, too: Hoodline reports fines of $1,000 per day for unlicensed operators.
Hosting somewhere else? Nightly fees and tourist taxes are an easy lever for cities with budget gaps. Always include every local fee and tax in your numbers before you buy, and have a local tax professional or attorney check the details for your property.
Sources
- New Orleans City Council: Regular meeting summary, October 15, 2026
- City of New Orleans: Council bulletin on the October 15 meeting
- Hoodline: New Orleans raises short-term rental fees to $20 a night
- U.S. Court of Appeals for the Fifth Circuit: Bodin v. City of New Orleans, No. 25-30524 (PDF)
- HomeExchange: One rental per block – Airbnb loses its federal appeal in New Orleans
