Change pending or in fluxLast verified 2026-10-25

Folly Beach short-term rental rules

A judge struck down the 800-license cap and the registration fee on Aug 14, 2026; a moratorium on new licenses runs to Feb 19, 2027 while the city appeals.

Not legal advice. This is a plain-language summary of public sources, last checked 2026-10-25. Rules change, and some items are pending. Always verify with the municipality or county before you buy, list, or renew. Each fact links to its official source.

The rules at a glance

TopicWhat the official sources say
Allowed and whereResidential dwellings citywide with a rental license; zone-level restrictions: unknown.
Permit or licenseCity rental business license by type: Owner Occupied STR (OSTR, 4% assessed, 72 rental days per year), Investor STR (ISTR, 6% assessed, no night limit), Provisional STR (PSTR, 90 days, for buyers under the SC Vacation Rental Act), Long Term (30+ days). Licenses are not transferable and are issued for specific structures.
FeesOSTR and ISTR business license $245 for the first $2,000 of income plus $2.75 per additional $1,000. The rental registration permit fee ($17.50 per $1,000 of income) was ruled an unlawful tax on Aug 14, 2026 and the city moved to eliminate it in September 2026; the city web page still lists it as of Oct 25, 2026.
Caps or wait listISTR cap of 800 licenses (2023 referendum) was struck down by a circuit judge on Aug 14, 2026; the city is appealing and a moratorium on new licenses is in effect until Feb 19, 2027 (exceptions: renewals, inheritance, medical hardship, provisional, waitlist offers below 800, 72-day legal residence licenses, applications filed before Aug 19, 2026). City page: no new ISTR licenses projected for the next license year.
Owner-occupancyOSTR requires the 4% legal residence rate and is limited to 72 rental days per year. ISTR (investor) has no owner-occupancy rule.
Occupancy limitunknown (not stated on the city STR page).
ParkingAdding bedrooms requires updating the license with proof of parking; specific ratio unknown.
Taxes on stays14% total: state sales 5%, state accommodations 2%, local option 1%, transportation 1%, education capital improvement 1% (10%, remitted to SCDOR per ST-575); Charleston County accommodations 2% and City 2% (both remitted to Charleston County). The County lists the City rate as 2%; Airbnb itemizes it as a 1% municipal accommodations fee plus a 1% beach preservation fee. City Code 113.03 (2% fee) and 151.39 (1% beach preservation fee) read together could suggest 3%; confirm with the City. Airbnb and Vrbo collect and remit here; the host still reports monthly gross receipts to the County. Proof of prior-year accommodations tax payments is required at renewal. Mandatory cleaning and other required fees are part of the taxable rental charge; optional services the guest can decline are not (SCDOR Sales Tax Manual Ch. 11, Q6 to Q9).
Registration and renewalBusiness license renewals Mar 10 to Apr 30 (2026 cycle); registration renewal online by Jun 1. Must rent at least 28 nights per year to keep a license. Renewal needs proof of ownership, bedroom count, last septic inspection, and prior-year gross revenue.
Gross receipts for license and tax filings. The $19 Airbnb Host Tracker totals your gross rental income by month, for each property or all properties together: rent, cleaning and other guest fees from Airbnb, Vrbo and direct stays, before platform fees. Stays are counted in the month they check in. Take a look
Recent changes (dated)Aug 14, 2026: circuit judge ruled the cap improperly enacted by referendum and the registration fee an unlawful tax. Aug 26, 2026: Ord. 27-26 moratorium adopted (4-1), expires Feb 19, 2027. Sep 8, 2026: first reading to repeal and reinstate the STR law without the registration fee. Sep 22, 2026: council voted 4-3 to consent to moving the appeal to the SC Supreme Court.

Printable checklist. Folly Beach short-term rental host checklist: the rules above as step by step boxes to tick, with sources.

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Pick your area and the permit type, renewal rule, tax stack and official link fill in. Type your expiry dates and each renewal turns red at 30 days or less, gold at 31 to 60. A Tax Filing Log and a Renewal Calendar with 17 published deadlines. Excel, works in Google Sheets.

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Income tracker, turnover schedule, house rules and Wi-Fi signs in one download.

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STR Cleaning and Turnover Schedule

Turnaround windows, cleaner status and pay, and a supplies reorder list.

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