Coeur d'Alene Officials Evaluate Tiny Home Zoning Codes

The city is exploring new tiny home ordinances to help address rising housing market costs for local households.

Updated on Oct. 25, 2026 in Apartments

Coeur d'Alene Officials Evaluate Tiny Home Zoning Codes

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Coeur d'Alene city officials are currently evaluating potential code changes to allow tiny homes as a strategy to mitigate rising housing market costs. This review, discussed in October 2026, looks to cities like Boise and Moscow that already allow tiny home neighborhoods.

Why it matters

As Coeur d'Alene faces housing affordability challenges, officials are exploring new density options to expand the local supply. This follows a broader trend of Idaho municipalities adjusting land-use policies to better accommodate diverse housing types.

Current regulations allow 8 units per gross acre in MH-8 zones, while accessory dwelling units must be 800 to 1,000 square feet or 75% of the primary home's size. Additionally, 60% to 75% of existing short-term rentals in the city are owned by out-of-state investors.

The players

Coeur d'Alene City Council

The local legislative body responsible for municipal zoning codes and property development regulations.

The details

Tiny homes remain prohibited in the city unless they are connected to a permanent foundation and comply with established building codes. City officials are reviewing height restrictions similar to those currently governing accessory dwelling units, which include 32 feet for units within principal structures, 18 feet for detached units, and 24 feet for units located above garages.

Timeline

  1. July 1: State short-term-rental permit regulations took effect.

  2. October 2026: City officials discussed potential tiny home zoning requirements.

The Home Front

This policy review follows the July 1 state short-term-rental permit regulations, marking an effort to manage local housing availability. Officials are balancing these new measures against an market where 60% to 75% of short-term rentals are already held by out-of-state investors.

Homeowners interested in future development options should track upcoming city council agendas for public hearings on zoning amendments. If you are currently considering an accessory dwelling unit, ensure your project meets the existing 800 to 1,000 square foot requirement and current height limits.

The takeaway

Tiny homes may soon become a viable housing option in the city if proposed code changes move forward. Residents should monitor city council meetings to see how these potential density increases might influence local neighborhood zoning regulations.

Further reading

For more information on local housing trends, visit Apartments.

Source note: This article includes information reported by Coeur d'Alene Press.

Live Poll

Do you believe local zoning changes are the best way to make housing affordable in your area?