Short-term rental rules · Hudson, Wisconsin
Short-term rentals in Hudson, explained properly.
The City of Hudson, Wisconsin allows short-term home rentals with a City license from the Common Council: licenses are capped at 25, new licenses need 300 feet between rentals, and new applications must be owner occupied. We haven't reviewed the zoning use tables, the City room tax rate or the fee schedule yet, so confirm those with the City before you buy.
At a glance
What you need to know before you buy or list
| Question | Answer |
|---|---|
| Are short-term rentals allowed? | Conditional: allowed with a City license, up to 25 licenses at a time, and for new applications only in an owner-occupied home; we haven't reviewed the zoning use tables yet, so confirm zoning before you buy [1] ClauseConfirming |
| City short-term home rental license required? | Yes: a City license is required to use a property as a short-term home rental for more than 10 nights each year; apply to the City Clerk, license issued by the Common Council, valid one year [1] Clause |
| Must the owner live on the property? | Conditional: new license applications: the property must be owner occupied, meaning the owner resides there at least 183 days per calendar year, unless it is exclusively rented for seven consecutive days or more; licenses validly issued before September 2, 2025 are exempt while the owner, use and compliance stay the same [1] Clause |
| City room tax and state sales tax | Room tax: the owner must pay the City room tax quarterly, in addition to state sales tax; a booking service that coordinates the rental is responsible for collecting and paying the City room tax; we haven't reviewed the City rate yet [1] ClauseConfirming |
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Detailed rules
The full picture, section by section
Licensing
| Is there a cap on the number of licenses? | Yes: no more than 25 short-term home rental licenses at any one time; no more than 15 in Planning Districts 1 and 2 together, and no more than 15 within any other individual planning district [1] Clause Sec. 141-7G caps the total number of licenses issued by the City at 25 at any one time. Of the 25, no more than 15 may be issued for properties in Planning Districts 1 and 2, considered together as a single district, and no more than 15 may be issued within any other individual planning district identified in the City's most recently adopted comprehensive plan. Applications are processed in the order received, subject to the number of available licenses. We haven't reviewed the comprehensive plan's planning district map yet. |
|---|---|
| Is there a minimum distance between licensed short-term home rentals? | Yes: for license applications made after September 2, 2025, the property line must be at least 300 feet from the property line of any other licensed short-term home rental [1] Clause Sec. 141-4O sets the 300-foot spacing for license applications made after September 2, 2025, measured property line to property line. |
| Can a license be transferred to a new owner? | No: licenses are nontransferable and automatically expire on change of ownership of the property [1] Clause Sec. 141-7A. A new owner must apply for a license of their own, subject to the license cap, the spacing rule and the owner-occupancy rule. |
| License term and renewal | A license is valid for one year; a renewal license must be applied for 90 days before expiration every calendar year [1] Clause Sec. 141-7C. The City publishes on its website the license holder's name, phone number and address, the rental address and the license expiration date. Renewal applications must also include a copy of the guest disclosure posting (Sec. 141-4K). |
| Application contents | Site plan and floor plan drawn to scale, notarized affidavit that adjacent owners know of the application, proof of owner occupancy, a copy of the St. Croix County tourist rooming house or bed-and-breakfast license, insurance proof, and an inspection request [1] Clause Sec. 141-5 lists a scaled site plan showing parking, driveways, structures and outdoor recreational areas guests may use; a scaled floor plan marking the transient guest bedrooms; a notarized affidavit that owners of all adjacent properties know of the application; a request for a property inspection before the application is complete; proof of owner occupancy in a form acceptable to the City; and a copy of the St. Croix County tourist rooming house or bed-and-breakfast license. Sec. 141-3B also requires proof of commercial liability insurance and the booking services used. Incomplete applications are rejected. |
| City license application fee | Paid in full with the application; the amount is set by the Common Council in the City fee schedule, which hasn't been reviewed yet [1] ClauseConfirming Sec. 141-6 requires payment in full of the license application fee with the application and leaves the amount to the City fee schedule. We haven't reviewed the fee schedule or its effective date yet, so no dollar amount is stated. |
Operating rules
| Maximum occupancy | Two transient guests per legal guest bedroom at any time; up to four additional daytime guests between 8:00 a.m. and 10:00 p.m. [1] Clause A guest bedroom must have at least 80 square feet for one occupant or 120 square feet for two, no more than two occupants regardless of size, seven feet of ceiling height over half the floor area and two code-compliant means of egress, one of them a window meeting Wisconsin Uniform Dwelling Code egress rules. A bedroom cannot be in an RV, camper, tent or similar arrangement. Sec. 141-4M adds that no more than four total additional guests are permitted at the property at one time between 8:00 a.m. and 10:00 p.m., and they must follow property rules and City ordinances. RVs, campers and tents may not be used for extra paying guests or invitees. |
|---|---|
| Owner or manager nearby, and contact notices | The owner or property manager must be within 30 miles whenever transient guests are using the property; give the City Clerk and all owners within 300 feet the contact details and report changes within 10 days [1] Clause Sec. 141-4C and 141-4D. The owner or manager's name, address and phone number must be given to all property owners within 300 feet of the property boundary, the City Clerk's Department must be notified within 10 days of a change in contact information, and neighbors must be notified within 10 days of a change. The property manager is the person responsible for the rental, who responds to complaints or addresses guests' needs in the owner's absence. |
| Guest parking | In residential zoning districts, guest parking must be on a concrete or asphalt surface on the property with no on-street parking, at two spaces for a one- to two-bedroom unit or one space per guest bedroom for three or more; in B-3 and B-4, on the property or under a staff-approved parking mitigation plan [1] Clause Sec. 141-4E. The residential-district parking requirement is stated for residential zoning districts. In the B-3 and B-4 Zoning Districts, transient guest parking must be on the property or a parking mitigation plan, covering existing and proposed parking within 300 feet, must be approved by City staff. No vehicular traffic or parking use may exceed what is normally expected in the neighborhood for the district. |
| Noise and outdoor areas | No amplified outdoor sound after 10:00 p.m. or before 8:00 a.m.; outdoor recreation areas used by three or more people must sit at least 1 1/2 times the side yard setback from the property boundaries [1] Clause Sec. 141-4H and 141-4I. Outdoor spaces must comply with the City noise and nuisance ordinances (Secs. 175-5, 175-5.1 and 187-4). For example, if the side yard setback is 10 feet, outdoor recreation areas used by three or more people at a time must be at least 15 feet from the side yard property line. |
| Health and safety equipment | Smoke and carbon monoxide detectors on each floor level and sleeping area, fire extinguishers in the kitchen, furnace area and hallways next to bedrooms, and an evacuation plan inside each bedroom door [1] Clause Sec. 141-4J. Detectors must meet Wisconsin statutes. The evacuation plan shows a diagram of escape routes and emergency telephone numbers. |
| Annual inspection | Every short-term home rental is inspected annually by the City of Hudson Fire Department [1] Clause Sec. 141-4L. On prior notice to the owner or manager, Police, Fire and Building Inspections may also inspect the premises to investigate complaints or possible violations. |
| Guest disclosure posting and signage | Post rules in writing within two feet of the main entrance and send a copy to the City with each application and renewal; one sign up to six square feet is allowed [1] Clause Sec. 141-4K and 141-4F. The posting lists the owner or manager's name, phone and address, the maximum guests and vehicles and where to park, the outdoor-area rules, and that nuisance ordinances are enforced by the Hudson Police Department including reduced noise between 10:00 p.m. and 8:00 a.m. Beyond one sign identifying the rental and added parking, there may be no change in the exterior appearance of the home or other visible evidence of the rental. |
Penalties & enforcement
| Penalties for violations | A forfeiture of $250 to $750 per offense for violating the chapter; $500 to $1,000 per offense for operating without a license; each day is a separate offense [1] Clause Sec. 141-10. Penalties are imposed on conviction, together with costs of prosecution, and are in addition to injunction, abatement or other remedies under the chapter or Wisconsin or federal law. |
|---|---|
| Modification, suspension and revocation | The Common Council may modify, suspend or revoke a license after a hearing, for example for unpaid City debts, loss of required licenses, harmful violations, or two sworn written complaints to the Hudson Police Compliance Officer [1] Clause Sec. 141-9. After a complaint, the Council may dismiss it or hold a hearing, with notice by certified mail 10 to 30 days ahead, and issues a written decision within 30 days after the hearing. No part of the fee for a revoked license is refunded. A denial of an initial or renewal license must be in writing with reasons. The Council's action may be reviewed by certiorari in St. Croix County Circuit Court. |
State law that also applies
| Wisconsin state sales tax on lodging | 5% Wisconsin sales tax on the furnishing of rooms or lodging to transients, meaning guests staying less than one month, by hotelkeepers, motel operators and other persons furnishing accommodations available to the public [2] Clause Section 77.52(2) of the Wisconsin Statutes imposes a 5% tax on the sales price of the services listed in paragraph (a), and paragraph (a)1. lists the furnishing of rooms or lodging to transients by hotelkeepers, motel operators and other persons furnishing accommodations that are available to the public, whether or not membership is required. A transient is a person residing for a continuous period of less than one month in a hotel, motel or other furnished accommodations available to the public, and the statute defines "one month" as a calendar month or 30 days, whichever is less, counting the first day of the rental and not counting the last day. Accommodations rented for a continuous period of more than one month are excluded from the definition of hotel or motel. County sales taxes and local room taxes are separate; the local room tax authority is described in the municipal room tax field, and we haven't reviewed county sales tax rates yet. |
|---|---|
| Wisconsin municipal room tax authority | A city, village or town may impose a local room tax by ordinance on lodging for transients, including lodging furnished by owners of short-term rentals and marketplace providers; the statute caps it at 8% of the sales price except in listed cases, and each municipality sets its own rate [3] Clause Section 66.0615(1m)(a) lets the governing body of a municipality (a city, village or town) enact an ordinance imposing a tax on the sales price of rooms or lodging furnished to transients by hotelkeepers, motel operators, marketplace providers, owners of short-term rentals and other persons furnishing accommodations available to the public. The tax may be collected from the guest. A tax imposed by a municipality may not exceed 8% of the sales price, except in the cases listed in paragraph (am), which concern convention center construction, renovation or debt in certain counties. The statute defines a short-term rental as a residential dwelling offered for rent for a fee and for fewer than 30 consecutive days. Section 66.0615(1r)(c) requires the Department of Revenue to keep a website listing each municipality that imposes a room tax and its rate. Section 66.0615(2) lets a municipality audit the records of a person subject to the tax and set forfeitures for failing to comply with an audit request or to pay. The rate in a given municipality is shown on that place's page when reviewed. |
| Do booking platforms collect the state and local lodging taxes? | Yes: a marketplace provider is liable for the 5% state sales tax on the entire sales price of lodging it facilitates, and must collect any municipal room tax for the marketplace seller and forward it to the municipality, unless the Department of Revenue has granted it a waiver [4] [3] Clause 1 Clause 2 Section 77.52(3m)(a) makes a marketplace provider liable for the tax imposed under that section on the entire sales price charged to the purchaser, including any amount the provider charges for facilitating the sale, for services under sub. (2), which include lodging furnished to transients. Waivers under paragraph (b) are for providers that facilitate sales only for sellers operating under a hotel, motel or restaurant brand name shared with the provider, and the Department of Revenue may grant waivers for other providers under paragraph (c) if sellers have a history of reliably collecting and remitting the tax. Under section 66.0615(1r)(a), a marketplace provider must collect the municipal room tax for a marketplace seller (unless it holds a waiver) and forward it to the municipality quarterly, or more often if the provider and the municipality agree in writing; a municipality may not collect the room tax from the marketplace seller if it collects it from the provider this way. Check with the platform and the Department of Revenue which taxes the platform collects for your listing. |
| Does state law limit local short-term rental rules? | Yes: Wis. Stat. 66.1014 bars a city, village, town or county from prohibiting the rental of a residential dwelling for 7 consecutive days or longer, lets it cap rentals of 7 to 29 days at no fewer than 180 days a year, and allows a local license; a rental of more than 10 nights a year also needs a state tourist rooming house license [5] Clause Under section 66.1014(2)(a), a political subdivision (any city, village, town or county) may not enact or enforce an ordinance that prohibits the rental of a residential dwelling for 7 consecutive days or longer, and under (2)(b) an inconsistent ordinance in effect on September 23, 2017 does not apply and may not be enforced. Under (2)(d)1., if a dwelling is rented for periods of more than 6 but fewer than 30 consecutive days, the political subdivision may limit the total rental days in any consecutive 365-day period to no fewer than 180 days; it may not choose which period the dwelling may be rented, but it may require the allowable days to run consecutively, and a person renting out a residential dwelling must notify the clerk in writing when the first rental in a 365-day period begins. Under (2)(d)2., a person who maintains, manages or operates a short-term rental, as defined in section 66.0615(1)(dk), for more than 10 nights each year must hold a DATCP tourist rooming house license and must also obtain a local license if the political subdivision enacts an ordinance requiring one. Paragraph (2)(c) preserves local authority to regulate rentals in ways that do not conflict with these limits. The statute's annotation reports that, in Wisconsin Realtors Association v. City of Neenah (2025 WI App 49), the Court of Appeals held an ordinance that prohibits short-term rentals of at least some residential dwellings preempted by this section. Whether a particular local rule is consistent with section 66.1014 is a legal question; this page records what the statute says. |
| Does Wisconsin require a state tourist rooming house license? | Yes: a person who maintains, manages or operates a short-term rental for more than 10 nights each year must hold a tourist rooming house license from the Department of Agriculture, Trade and Consumer Protection (DATCP) [5] [6] Clause 1 Clause 2 Section 66.1014(2)(d)2.a. requires a tourist rooming house license from DATCP for anyone who maintains, manages or operates a short-term rental (a residential dwelling offered for rent for fewer than 30 consecutive days) for more than 10 nights each year. DATCP describes a tourist rooming house as any lodging place where sleeping accommodations are offered for pay to tourists or transients, including a lodging place with four or fewer individually keyed units and a one- or two-family dwelling or condominium unit; it does not include a hotel or motel, a bed and breakfast establishment, or a private boarding or rooming house. DATCP says the updated rules in Wis. Admin. Code ch. ATCP 72 (hotels, motels and tourist rooming houses) took effect on January 25, 2026 and affect operational and compliance requirements for all tourist rooming house establishments. A city, village, town or county may also require its own license (see the state law field). We haven't reviewed ch. ATCP 72 itself yet. |
| DATCP tourist rooming house license fee | $296 a year for one tourist rooming house, plus a one-time $592 pre-inspection fee; the fees rise with the number of units, and DATCP says they are subject to a 5% increase on April 1, 2028 [6] ClauseConfirming DATCP's tourist rooming house page lists an annual license fee and a one-time pre-inspection fee by number of tourist rooming houses: $296 and $592 for 1; $450 and $900 for 2 to 4; $550 and $1,100 for 5 to 9; $600 and $1,200 for 10 to 19. Larger tiers run up to $1,100 and $2,200 for 600 or more. The page shows no effective date for the schedule other than the April 1, 2028 increase, so the fee is marked for review. |
Changes
Recent and pending changes
We read Chapter 141 (Short-Term Home Rentals) of the City of Hudson Municipal Code as published on eCode360, which includes legislation through March 16, 2026. We haven't reviewed the Zoning Code (Chapter 255), the City fee schedule, the room tax ordinance or the council agendas yet.
Hudson amended its short-term home rental chapter in its entirety on September 2, 2025, adding owner occupancy for new applications, the 25-license cap with planning district limits and 300-foot spacing for new applications; licenses validly issued before September 2, 2025 are exempt from owner occupancy in listed cases.
Sources
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This page is general information compiled from public sources, not legal or tax advice. HOA rules, deed restrictions and zoning for a specific property can be stricter. Confirm with the local permitting office and a qualified professional before buying or listing a property.