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Short-term rental (Airbnb) rules in Reading, Massachusetts

Reading, Middlesex County · Bylaws checked 2026-10-20 · Reviewed · 7 cited sections

Not specifically regulated

Reading's bylaws we reviewed have no short-term rental bylaw, registration or license, and the zoning bylaw doesn't directly address renting out a whole house on Airbnb or VRBO. The closest rules: a resident may rent rooms to up to 3 people who aren't transient guests, and an owner-occupied bed and breakfast needs a special permit from the CPDC. A pending proposal would bar ADUs from being used as short-term rentals.

STR registration or licenseNone found in the General Bylaw or Zoning Bylaw [1]
Renting rooms in your homeBy right, up to 3 people who are not merely casual or transient customers [1]
Bed and breakfast (owner-occupied, transient guests)Special permit (SPP, CPDC) in residence districts [3]
PROPOSED (not adopted): ADUs as short-term rentalsNot allowed under the Oct 5, 2026 draft [4]

No short-term rental rules today

We found no short-term rental bylaw, registration, license or fee in Reading's General Bylaw (April 2026) or Zoning Bylaw (April 2025). Neither one uses the term "short-term rental." Two zoning rules come close:

  • Renting rooms: a resident may rent rooms, or offer room and board, by right to up to 3 people who are "not merely casual or transient customers" [1]. That's aimed at long-term lodgers, not nightly guests.
  • Bed and breakfast: an owner-occupied single-family home with rooming units rented for transient occupancy, sharing the home's entrance [2]. The residence-district use table marks Bed and Breakfast "SPP" in every residence district [3], which means a special permit from the Community Planning and Development Commission (CPDC) [6].

The bylaw doesn't say how it treats renting a whole house, or a whole unit, for short stays. Ask the Building Commissioner (the zoning enforcement officer) before you list.

Pending: no short-term rentals in ADUs

The CPDC's proposed ADU amendments for the November 9, 2026 Subsequent Town Meeting would add a short-term rental definition tied to the state rental excise (M.G.L. c. 64G) [7]. They would also say ADUs "shall not be used as Short Term Rentals" [4]. The CPDC presentation describes this as prohibiting short-term rentals of ADUs, meaning rentals under 31 days [5]. This is a proposal only. It isn't law unless Town Meeting adopts it.

State rules still apply

Massachusetts requires short-term rental operators to register with the Department of Revenue and collect state room-occupancy excise. We didn't check whether Reading has adopted the optional local excise. Building and fire codes for sleeping rooms also apply.

See how Reading compares with 8+ other Massachusetts towns on short-term rentals (airbnb / vrbo) →

Next steps

  1. Call the Building Division (781-942-6613) and ask whether renting your home or rooms for stays under 31 days is allowed in your district.
  2. If you want to host transient guests in an owner-occupied home, ask the Planning Division (781-942-6670) about a CPDC special permit for a bed and breakfast.
  3. If the rental is in an ADU, check whether Town Meeting adopted the ADU short-term rental ban in November 2026.
  4. Register with the Massachusetts Department of Revenue as a short-term rental operator and collect the room-occupancy excise.

Common questions

Does Reading, MA have a short term rental ordinance?
No. Reading's bylaws we reviewed have no short-term rental bylaw, registration or license, and the zoning bylaw doesn't directly address renting out a whole house on Airbnb or VRBO. Ask the Building Commissioner before you list.
Can I rent rooms in my house in Reading, Massachusetts?
Yes, by right, to up to 3 people who are not merely casual or transient customers. That rule is aimed at long-term lodgers, not nightly guests.
Do I need a permit for a bed and breakfast in Reading, MA?
Yes. An owner-occupied bed and breakfast with rooms rented to transient guests needs a special permit from the Community Planning and Development Commission (CPDC) in the residence districts.
Can an ADU be used as an Airbnb in Reading, Massachusetts?
Not if a pending proposal passes. The CPDC's ADU amendments for the November 9, 2026 Subsequent Town Meeting would say ADUs shall not be used as short-term rentals (rentals under 31 days). It's a proposal only until Town Meeting adopts it.
What state rules apply to Airbnb rentals in Reading, Massachusetts?
Massachusetts requires short-term rental operators to register with the Department of Revenue and collect the state room-occupancy excise. Whether Reading has adopted the optional local excise wasn't checked. Building and fire codes for sleeping rooms also apply.

Massachusetts' short-term rental law

Since July 1, 2019, M.G.L. c. 64G has taxed and regulated short-term rentals: stays of 31 days or less in a home, apartment, condo or room booked in advance.

State requirements:

  • Register with the Department of Revenue (DOR) on MassTaxConnect and get a Certificate of Registration for each property. Post it in the unit.
  • 14-day exemption: if you rent a property 14 days or fewer in a calendar year, no tax is due. You still have to register and file DOR's declaration by January 15 each year. Go over 14 days and you owe tax on every day, including the first 14.
  • State room occupancy excise: 5.7% of rent (including cleaning and booking fees).
  • Local taxes on top, if your town has adopted them: a local excise of up to 6% (6.5% in Boston), and a community impact fee of up to 3%. The fee applies to "professionally managed" units (an operator with 2 or more units in a town, other than units in the owner's own 1 to 3 family home) and, by separate vote, to units in an owner-occupied 2 or 3 family house. Barnstable County towns add 2.75% for a regional water fund.
  • Insurance: at least $1 million liability coverage per unit, unless the booking platform provides equal coverage (c. 175, §4F).

Towns may go further (c. 64G, §14). They can require local licenses and inspections, cap the number of days or units, limit where rentals are allowed, or ban them entirely.

State sources: M.G.L. c. 64G, §1 (definitions) · M.G.L. c. 64G, §3 (state excise; 14-day exemption) · M.G.L. c. 64G, §3A (local excise) · M.G.L. c. 64G, §3D (community impact fees) · M.G.L. c. 64G, §14 (local regulation) · M.G.L. c. 175, §4F (STR liability insurance) · DOR, Room Occupancy Excise Tax (updated Apr 8, 2026)

What the bylaw says

Exact text from Reading's published bylaws. Section numbers are as printed in the source.

  1. §5.4.4, Town of Reading Zoning Bylaw ('Zoning Bylaw - April 2025', last amended by the April 28, 2025 ATM Art. 16), p. 37
    5.4.4 A resident of a dwelling shall be permitted by right to rent rooms in the dwelling, or to furnish room and board in the dwelling, to up to three (3) persons who are not merely casual or transient customers.
  2. §2.0 Definitions, Bed and Breakfast, Town of Reading Zoning Bylaw ('Zoning Bylaw - April 2025', last amended by the April 28, 2025 ATM Art. 16), p. 7
    Bed and Breakfast: An accessory use within an owner-occupied single family dwelling that contains rooming units available for rent for transient occupancy (without individual kitchen facilities and with an individual or shared bath/toilet facility, separate from those required for the single family dwelling), and that shares a common entrance with the single family dwelling.
  3. §5.3.2 Table of Uses for Residence Districts (accessory uses), Town of Reading Zoning Bylaw ('Zoning Bylaw - April 2025', last amended by the April 28, 2025 ATM Art. 16), p. 36
    Home Occupation Yes Yes Yes Yes Yes Special Home Occupation SPP SPP SPP SPP SPP Bed and Breakfast SPP SPP SPP SPP SPP
  4. PROPOSED §5.4.7.2.c (Oct 5, 2026 draft), PROPOSED Zoning Bylaw ADU amendments - CPDC public hearing draft with track changes, October 5, 2026 (for the November 2026 Subsequent Town Meeting), p. 17
    c. Accessory Dwelling Units shall not be used as Short Term Rentals.
  5. CPDC presentation, Sept 14, 2026, slide 8 (Local Decisions), CPDC ADU Zoning Bylaw Public Hearing presentation, September 14, 2026 (proposed amendments), p. 8
    Prohibiting short-term rentals of ADUs (rentals <31 days)
  6. §5.2.1 (use table legend), Town of Reading Zoning Bylaw ('Zoning Bylaw - April 2025', last amended by the April 28, 2025 ATM Art. 16), p. 31
    the letters "SPP" denote a use permitted in a particular district only by Special Permit from the Community Planning and Development Commission (CPDC);
  7. PROPOSED §2.0 Definitions, Short Term Rental (Oct 5, 2026 draft, inserted text), PROPOSED Zoning Bylaw ADU amendments - CPDC public hearing draft with track changes, October 5, 2026 (for the November 2026 Subsequent Town Meeting), p. 11
    Short Term Rental: The operation of a short-term rental, as defined in M.G.L. c. 64G, § 1 that is subject to the excise imposed pursuant to M.G.L. c. 64G, § 3.
This page summarizes Reading's posted bylaws as of 2026-10-20. Bylaws are amended, and individual lots can have overlays, subdivision covenants, or HOA rules that are stricter. Confirm with Building Division / Inspectional Services, Public Services Department (Building Inspector/Commissioner is the Zoning Bylaw enforcement officer, Zoning Bylaw s.4.2), Town Hall, 16 Lowell Street, Reading MA 01867 (Mon-Thu 7:00 AM-5:30 PM, closed Fridays); Permits Coordinator 781-942-6620; Conservation 781-942-6616; Public Health 781-942-9061; Planning/CPDC 781-942-6670 (781-942-6613) before you build. Spot an error?