What are South Carolina short-term rentals?

South Carolina short-term rentals explained

South Carolina short-term rentals are residential properties rented for periods typically less than 30 days, often used for vacation, business, or temporary housing. These properties may include single-family homes, condos, apartments, and even individual rooms. While rental periods under 30 days are standard, the exact timeframe that qualifies as "short-term" may vary slightly depending on local ordinances or regulations for your homeowners association (HOA) or condominium association (COA).

These rentals have surged in popularity due to the rise of platforms like Airbnb. Visitors often prefer these properties for their home-like amenities, flexible stay durations, and neighborhood feel. In areas across South Carolina — especially coastal towns like Charleston, Myrtle Beach, and Hilton Head Island — short-term rentals have become an important part of the tourism ecosystem. While some South Carolina short-term rentals operate year-round, others may only be available seasonally, depending on owner preference and local market demand.

This article is not intended to and does not constitute legal advice or create an attorney-client relationship. Board members should consult their association’s attorney to discuss the legal implications of their decisions or actions prior to proceeding.
 

Does South Carolina allow short-term rentals?

Yes, South Carolina allows short-term rentals, but local regulations and zoning laws vary by municipality. Statewide legislation does not prohibit short-term rentals, but individual cities and counties may establish rules regarding where and how they can operate. Additionally, HOAs and condo boards can also set their own policies regarding rentals, regardless of city regulations.

For instance, Charleston has implemented zoning restrictions, permit requirements, and licensing fees for short-term rental operators. In contrast, some beach communities may have seasonal limitations or noise ordinances that apply specifically to rental properties. Certain municipalities also differentiate between owner-occupied and non-owner-occupied short-term rentals, with different standards for each.
 

HOA short-term rental rules

Homeowners associations and condo associations in South Carolina can regulate short-term rentals through their governing documents. Even if local laws allow short-term rentals, an association may impose its own policies that are more specific or restrictive.

Many associations permit long-term leasing but restrict or prohibit rentals shorter than 30 days. Some allow short-term rentals but require registration, guest screening, or minimum stay durations. Common HOA and COA rules related to South Carolina short-term rentals might include:

• Requiring owners to notify the association of each booking
   
• Limiting the number of guests or vehicles
   
• Restricting access to shared amenities
   
• Limits on the number of rentals per year
   
• Prohibiting subletting without board approval

Restrictions should be clearly outlined in the association's governing documents. In some cases, boards may amend existing rules to address community concerns like parking, noise, or increased wear and tear on facilities. These updates must typically follow the amendment process outlined in the governing documents and may require a vote by homeowners.
 

What is the difference between Airbnb and short-term rental?

Airbnb is a platform that connects hosts with guests, offering a centralized marketplace for short-term stays. Hosts create listings, set rules and pricing, and manage bookings through the site or app.

In contrast, a traditional South Carolina short-term rental might be managed independently or booked through direct channels, personal websites, or local brokers. The biggest differences come down to platform use, fee structure, and how the guest experience is managed. Regardless of how a short-term rental is booked, local laws and HOA rules still apply.
 

What is the purpose of SC short-term rentals?

The purpose of South Carolina short-term rentals is to provide flexible, home-style accommodations for those who need temporary lodging. This may include vacationers, business travelers, temporary workers, or families relocating.

For travelers, short-term rentals offer an alternative to traditional hotels. Guests often choose these rentals for privacy, kitchen access, extra space, and location within residential neighborhoods rather than commercial hotel zones.

For property owners, short-term rentals may offer an opportunity for extra income. Investors and homeowners sometimes use these rentals to offset mortgage costs, generate passive income, or make use of homes that are not occupied full-time. When professionally managed, short-term rentals can generate returns while supporting local economies through tourism dollars spent at restaurants, shops, and attractions.

Local governments may also view short-term rentals as a way to boost tourism tax revenues, though they may impose specific rules to address concerns about housing availability and quality of life for full-time residents.
 

Considerations for renters and owners

For owners:

• Local regulations: Before listing a property, confirm that short-term rentals are allowed in your city or town, and review any permitting, licensing, or inspection requirements. Failing to comply might lead to penalties or the loss of rental privileges.
   
• Licensing and taxation: Many jurisdictions require a business license to operate a short-term rental. Owners are also typically responsible for collecting and remitting hospitality taxes, which might include:
   
  • South Carolina state sales tax (6%)
     
  • Local accommodation taxes
     
  • Municipal or county-specific fees


• Insurance: Standard homeowners insurance may not cover short-term rental activity. Owners should consider policies specifically designed for vacation rentals, which may include coverage for guest injuries, property damage, and liability.
   
• Operations: Managing guest check-ins, cleanings, repairs, and communication requires time and coordination. Some owners choose to partner with property management companies that specialize in short-term rentals to streamline operations and improve guest satisfaction.
   
• Financial planning: While South Carolina’s short-term rentals can offer strong returns, income can be seasonal and fluctuate. Consider setting aside funds for property upkeep, insurance premiums, slow booking periods, and tax payments.

For renters:

• Amenities: Short-term rentals may offer amenities not found in hotels, such as kitchens, laundry machines, and outdoor areas. Review listings carefully to understand what is included.
   
• Rules and restrictions: Guests must follow community rules, such as noise ordinances, parking regulations, or limits on occupancy. Failure to comply can result in fines or early termination of the stay.
   
• Safety: Verify that the rental includes basic safety features like functioning locks, fire alarms, and emergency exits. Reputable platforms typically require hosts to meet specific standards.
   
• Cancellation policies: Read the payment and cancellation policies before booking. Terms can vary widely between hosts and platforms. Also, be aware of additional fees for cleaning, pets, or extra guests.
   
• Respect for property: As with any lodging, guests should treat the property with care. Damages may lead to fees or claims through the booking platform.

Need guidance on managing short-term rentals in your South Carolina community association?

FirstService Residential property management experts work with boards and owners to support smart rental strategies that align with legal guidelines and community goals. Contact us today to learn more.