Rhode Island's Newport mansions, Block Island, Providence arts scene, and Narragansett Bay beaches make it one of New England's most concentrated STR markets by volume. Whether you already own a vacation rental in Rhode Island or are evaluating your first investment, understanding the regulatory landscape is essential. STR laws in Rhode Island vary significantly by city and county — and getting compliance wrong can mean fines, forced delistings, or lost income.
This guide covers Rhode Island's approach to short-term rental regulation at the state level, then breaks down the rules in key markets investors and hosts need to know. Regulations as of 2026 — always verify current rules directly with your local municipality before listing.
If you'd like help navigating STR compliance in Rhode Island, Awning's property management team operates in Newport, Block Island, and Narragansett and helps hosts stay compliant while maximizing revenue.
How Rhode Island Defines a Short-Term Rental
For regulatory and tax purposes, a short-term rental in Rhode Island is generally defined as a residential property rented for 30 consecutive days or fewer. Any rental longer than this threshold is typically treated as a long-term rental and subject to different rules.
Does Rhode Island Require a Statewide STR License?
Rhode Island passed statewide STR legislation in 2021 requiring all STR operators to register with the state through the Division of Taxation and collect lodging taxes.
Rhode Island Short-Term Rental Taxes
Rhode Island imposes a 7% state hotel tax on STR income, plus local hotel taxes typically ranging from 1–5%. Newport adds a 1.5% city lodging tax. Airbnb collects and remits Rhode Island state hotel tax automatically.
Regardless of which booking platform you use, it is your responsibility as a host to ensure all applicable taxes are collected and remitted correctly. Failure to comply can result in penalties, back taxes, and potential loss of your ability to operate.
STR Regulations by City in Rhode Island
Below are the key STR markets in Rhode Island and their current regulatory requirements. City regulations change frequently — check with your local planning or licensing department for the most current rules before investing.
Newport
Newport requires STR operators to obtain a Short-Term Rental Registration from the city in addition to state registration. The city enforces strict occupancy, parking, and noise rules — particularly during Newport's famous summer festivals and sailing events.
Block Island
Block Island (New Shoreham) has a long history of vacation rentals and requires town registration. The island's limited housing stock and ferry-only access mean strict rules are enforced to protect year-round residents.
Providence
Providence requires STR registration through the city's Planning Department. Owner-occupied STRs are permitted in most zones; non-owner-occupied STRs face additional zoning review and restrictions in residential neighborhoods.
Key Questions to Ask Before Listing an STR in Rhode Island
- Does your city or county require an STR permit or license?
- Are there caps on the number of STR permits in your neighborhood or zone?
- Is your property owner-occupied or non-owner-occupied — and does that distinction affect your eligibility?
- What occupancy, noise, and parking rules apply to your specific property?
- Which taxes are you responsible for collecting and remitting vs. what the platform handles?
- Does your HOA or condo association allow short-term rentals?
The Bottom Line
Rhode Island's STR regulatory environment ranges from investor-friendly rural counties to tightly regulated resort towns and urban cores. Understanding the specific rules in your target market — not just at the state level — is what determines whether your rental operates smoothly or faces costly disruptions.
Staying on top of changing regulations is one of the most valuable things a professional property manager brings to your operation. Awning manages short-term rentals in Newport, Block Island, and Narragansett and monitors local regulatory changes so you don't have to. Reach out to learn how we can help you operate compliantly and profitably in Rhode Island.


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