Two weeks after its Oct. 1 deadline, Madison has issued 11 short-term rental permits and sent violation notices to 42 operators of 57 active listings, the city said.

The city of Madison has found 57 short-term rentals still advertising in the city after its Oct. 1 permit deadline. It has sent violation notices to 42 operators.

Only 11 rentals had a permit as of Oct. 10. The figures come from a city update on short-term rentals posted Thursday.

Where the permits stand

The city said it had received 27 applications by Oct. 10. Of those:

  • 11 permits were issued after a successful inspection
  • 15 applications are pending, and five of those failed their inspection
  • one application was denied

The program has brought in $2,460 in business license revenue so far. The city has also collected $5,506.20 in past-due lodging taxes.

Bar chart of short-term rentals in Madison as of Oct. 10, 2026: 57 active listings found, 42 violation notices sent, 27 permit applications and 11 permits issued.
Short-term rentals in Madison as of Oct. 10, 2026, from the city's update. Chart by Madison News Today
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What happens to the unpermitted rentals

The city said it uses specialty software to track listings that break the ordinance. Operators get a series of three notices to comply. After that, the city said, they will be issued a citation “for further prosecution.”

Every short-term rental operating in the city needed a permit and a business license by Oct. 1. New operators can still apply under the same rules.

What the ordinance requires

The City Council passed the rules on June 23 as Ordinance No. 2026-201. A short-term rental is a space, usually furnished, rented for short stays through sites such as Airbnb and VRBO.

To operate, an owner needs:

  • a business license and a short-term rental permit
  • a $350 fee and $1 million in liability insurance
  • a passed inspection by the city Building Department
  • written notice to the neighboring residential properties

The notice to neighbors must list the rental’s address and permit number. It must also give the names and contact details of the owner or operator and the local contact person, the maximum number of renters, and a link to the city’s rules and its complaint route.

Operators also collect a 10% lodging tax plus a $2 fee per room, per night. Payments are due by the 20th of each month.

Other rules under the ordinance, according to the city:

  • The city will issue no more than 190 permits, first come, first served.
  • Each unit needs its own permit; each operator needs one business license.
  • No events, no signs and no overnight street parking, unless the street is the unit’s designated parking.
  • Every listing must show the permit number.
  • Permits are renewed each year, with an inspection and a review of complaints.
  • The local contact must respond to a call within 30 minutes, at any hour.
  • Operators get three strikes before a permit is suspended or revoked.

What it means for you

If you live next to a short-term rental, its operator should have sent you written notice with a permit number and a local contact. If you got no notice, or the rental has no permit number on its listing, you can report it.

The city lists these routes:

If an address does not come up in the online form, the city said the property may be a long-term rental. In that case, call or email the city instead.

If you run a short-term rental in Madison and do not have a permit, the city’s notices are the first step toward a citation. The ordinance and the application route are on the city’s website. Plenty of the 190 permits remain available.

For other city services, see our guide to who to call at City Hall, and our page on building permits and zoning.