As of January 2023, a new short-term rental ordinance has gone into effect on Hilton Head Island that applies to any privately owned properties used as vacation homes and short-term rentals that are rented for less than 30 days.
WHAT YOU NEED TO KNOW:
1. Short Term Rental Property owners are required to have a permit
– This includes all residential properties rented for less than 30 days.
– The Town is accepting applications through its online portal.
– The short term rental permit fee for 2023 is $250/property.
2. Short term rental property owners must also have a business license
– You must have a short-term rental permit before you can register for a business license.
– If you own and rent residential property within the town, you are required to obtain a business license. This applies to both short term and long term rentals.
– The business license fee is $10 but business license tax is calculated on gross revenue
3. Short-term rental property owners are required to collect 10% state and local rental taxes
– This is for anyone renting residential property to the same person for less than 90 days.
– You may choose to collect and remit the taxes yourself or have a SC Licensed Property Manager collect and remit the rental taxes for you.
– The state and local taxes are collected on gross rental income.
Need help calculating potential rental income?
Contact Us for our Rental Proforma Excel Spreadsheet
Short-Term Rental Permit Requirements for Owners
- Owner or Short-Term Rental Agent must be available by phone at all times.
- Owner or Short-Term Rental Agent must be available on site or taking responsible action within one hour of complaint and is required to prominently display contact information in the rental property.
- Owner shall display any town-provided outreach materials.
- Owner must properly maintain and regularly inspect property to ensure continued compliance.
- Owner will notify guests in writing the maximum number of vehicles permitted at the rental property prior to making any agreement.
- Parking space must be at least 9 feet by 18 feet and an improved surface.
- Owner must ensure that guests are not parking off-site in street or on grass or pine straw.
- Owner shall prominently display trash removal instructions including designated pick-up times and, if applicable, relevant property owner association requirements.
- Owner shall maintain a designated trash storage area that is fenced or screened so that trash containers are not visible from street. In addition, the owner must ensure that trash containers are not placed curbside more than 24 hours in advance and that they are removed from curbside within 24 hours of pick-up.
The owner shall notify guests in writing of the Town’s noise regulations prior to making any agreement.
The owner shall display the following noise regulations in a prominent location in the short-term rental property:
- In the Town of Hilton Head Island, South Carolina, it is unlawful to unreasonably disturb the peace and quiet of those in their homes and public places.
- Quiet hours are between 10 pm and 7 am, though town noise regulations are in force twenty-four 24 hours each day.
- Owner shall maintain fully operational fire code compliant smoke and carbon monoxide detectors.
- Owner shall maintain at least one fully operable and charged fire extinguisher.
- Owner shall maintain unobstructed escape routes in the event of fire.
- Owner will notify guests in writing of the existence of a pool or hot tub and any safety equipment related to the swimming pool or hot tub prior to making any agreement.
Owners of single-family dwellings will be required to upload a site plan of their property to show the parking and trash areas which will be reviewed by town staff for approval.