Visitors to Charleston have no shortage of options for their accommodations: boutique downtown hotels, oceanfront beach houses, scenic marshfront townhomes, among many others.
For those seeking an authentic immersion in the rich history and culture of the Lowcountry, an historic home in Downtown Charleston deployed as a short term rental can provide an unforgettable experience.
Charleston is also bejeweled with five beach communities – all within minutes of everywhere – as well as several other unique locales to experience all the Lowcountry has to offer.
Property owners that wish to operate a short term rental must be knowledgeable of all the various ordinances imposed by municipalities and homeowners associations, in addition to the desirability of the property on the rental market.
This guide serves as a high-level overview of the many ordinances and covenants that govern the permitting of short term rentals in and around Charleston.
As a licensed real estate broker I consult with prospective homebuyers to determine the feasibility for individual properties to perform on the short term rental market, as well as guidance for the administration of the rental – whether by a local property management company or self-management with services such as Airbnb and VRBO.
First determine whether whether your target property will be a primary residence for you, or a full-time investment property.
For municipal regulations this is the most limiting factor.
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In this guide I refer to Residential as a property that also serves as a primary residence for the owner.
We often see these rentals as accessory structures to the home: an apartment adjacent to the main home, a room above the garage, or a mother-in-law suite.
In some areas it is permitted to rent out the entire property as short term, though in most cases this is heavily restricted or not permitted.
In this guide I refer to Investment as a property whose purpose is solely for the production of rental income.
These dedicated short term rental properties may be a beach house, a downtown pied-à-terre, or a number of other options.
The municipal regulations for investment short term rentals tend to be MUCH more strict than those for residential properties, and while due diligence is required to determine permit eligibility, a properly researched short term rental can be very lucrative for the investor.
Next consider the type of property and experience you wish to provide.
Finally let’s explore the different municipalities of Charleston with details for permitting both residential and investment short term rental properties.
- 1 Charleston – Downtown
- 2 Charleston – Suburban
- 3 Mount Pleasant
- 4 James Island
- 5 North Charleston
- 6 Hanahan
- 7 Summerville
- B1 Isle of Palms
- B2 Sullivans Island
- B3 Folly Beach
- B4 Kiawah/Seabrook Islands
City of Charleston - Downtown
There are several districts and zoning categories for short term rental permits on the peninsula, requiring an in-depth review:
City of Charleston - Suburban
In residential areas short term renting an entire property would not be permitted.
To obtain a short term rental permit for a residential property on the Charleston peninsula, the owner must first pass the following criteria:
– there may be only one short term rental unit on any residential property
– the short term rental must be an accessory unit – the main house cannot be rented short term
– the owner must declare the property as their primary residence
– the owner must be physically present near the property when tenants are present
– there must be at least one off-street parking space exclusively designated for the rental tenant
A short term rental permit for an accessory structures is generally doable – within the City of Charleston (Daniel Island and parts of West Ashley and James Island) the five general caveats below still apply, however the historic requirements do not.
In residential areas short term renting an entire property would not be permitted.
A short term rental permit and business license are required to operate an STR in Mount Pleasant, as well as a certificate of occupancy (CO) for each separate structure on the permit.
The number of STR permits is capped at 400, and there is a waiting list we would be adding your property to.
For properties with separate units, an owner may STR either the primary or secondary residence on the property, but only if the owner resides in one of them. STRs are not allowed in multifamily dwellings, or anywhere in the Old Village.
If you are looking into the purchase process of residential property with the intent of performing at least some short term rental income, reach out to Bryan to discuss your plans in further detail:
While the Town of James Island does not currently allow short term rentals, there are a number of properties on the island that are not within that jurisdiction.
Reach out for inquiries:
Contact Bryan
North Charleston allows short term rentals in many neighborhoods with a permit, which requires a fire code inspection.
Hanahan allows short term rentals in many neighborhoods with a business permit.
Summerville allows short term rentals in many neighborhoods with a business permit.
Isle of Palms allows short term rentals in many neighborhoods with a permit.
There may be an ordinance in the works that limits the number of permits.
Sullivan’s Island does not grant any short term rental permits.
A handful of properties were grandfathered prior to the 2002 ordinance, however these are not transferable to a new owner.
Folly Beach allows short term rentals in many neighborhoods with a permit.
As of 2024 there is now a cap on the number of permits issued, with a substantial waiting list.
The legality of this ordinance is currently being legislated.
Kiawah Island and Seabrook Island allow short term rentals in many neighborhoods with a business permit.