Short-term Rental Information

• Long Term (LTR): These licenses are issued to any homeowner for homes that are rented for 30+ days at a time. An LTR license does not allow any rentals of less than 30+ days.
•  Owner Occupied Short Term (OSTR): These licenses are issued for properties that have a 4% property tax rate and are rented for 29 days or less at a time. An OSTR license also allows for a mix of 30+ day rentals and rentals of 29 days or less.  Per State law, Owner-Occupied properties rented for more than 72 days in a calendar year may no longer be eligible for the 4% property tax rate.
•  Investor Short-Term Rental (ISTR): These licenses are issued for properties that have a 6% property tax rate and are rented for 29 days or less at a time. An ISTR license also allows for a mix of 30+ day rentals and rentals of 29 days or less. There is no limit on the total nights an ISTR property can be rented.
• Provisional Short Term Rental License (PSTR). A license issued for a dwelling unit to be used as a short-term rental for no more than ninety (90) days to allow compliance with the requirements of the South Carolina Vacation Rental Act, specifically South Carolina Code § 27-50-250. A PSTR shall only be issued to the purchaser of an existing Short-Term Rental with ISTR or OSTR license in good standing, is valid only for rental contracts disclosed under the terms of the Act, and shall expire at the end of the last authorized rental period.​ All rental nights allowed by a PSTR shall count towards the seventy (72) rental nights allowed by an LSTR license should the dwelling become the legal residence of the owner.

SC Vacation Rental ActThe city will issue a temporary license to cover rentals related to the SC Vacation Rental Act. Applicants will need to provide the closing date (with either a closing statement or signed contract), the list of qualified rentals provided by the seller, the rental management agreement, and proof the bookings were made prior to closing. Please send an email to licenses@follybeach.gov  with the subject line “Temporary License for SC Vacation Rental Act Compliance.” Stacee will send details on the temporary license. Note that it will be valid only for the 90-day period after closing and the new owner will be responsible for reporting and paying all applicable sales and accommodations taxes to the County/State.

• Long Term: Any property owner (or the owner’s agent) can apply for an LTR license as long as the property is always rented for 30+ days at a time. Licenses will only be issued in the name of the property owner.
•  Owner Occupied Short Term (OSTR): Any property owner (or the owner’s agent) with a 4% tax rate can apply for an ISTR license. Licenses will only be issued in the name of the property owner.
• Investor Short-Term Rental (ISTR): Only owners (owner’s agents) with a valid prior year license can apply to renew an existing ISTR license. New ISTR licenses can be obtained by heirs and for medical hardships. Email licenses@follybeach.gov  with questions about ISTRs based on inheritance or medical. Licenses will only be issued in the name of the property owner.
• Provisional Short-Term Rental License (PSTR). Any owner or owner’s agent can apply for a provisional license.

• Long Term: An LTR license begins at $45 which covers $2,000 of income. After that, the charge is $2.75 for each additional $1,000 of income.
• Owner Occupied Short Term (OSTR): An OSTR license begins at $245 which covers $2,000 of income. After that, the charge is $2.75 for each additional $1,000 of income.
• Investor Short-Term Rental (ISTR): An ISTR license begins at $245 which covers $2,000 of income. After that, the charge is $2.75 for each additional $1,000 of income.

• Long Term: There are no additional fees.
• Owner Occupied Short Term (OSTR): An OSTR license holder must also obtain a rental registration permit. The fee is $17.50 per $1,000 of income reported on the license.
• Investor Short-Term Rental (ISTR): An ISTR license holder must also obtain a rental registration permit. The fee is $17.50 per $1,000 of income reported on the license.
• Both OSTR and ISTR license holders must also pay sales and accommodations taxes. Please contact the state Department of Revenue at (844) 898-8542 Option 6 (toll-free) or (803) 898-5000 (local) with specific questions about the State taxes you owe. Please contact Britt Miller at Charleston County with questions about Accommodations Taxes, at bmiller@charlestoncounty.org, or (843) 202-6095.

• All license renewals are due annually by April 30^th.

• The waitlist is not yet open. No new licenses are projected to be available for the next business license year. Details will be provided at a later date.

• No rental license is transferrable. All new owners must apply for a new license. 
• If the new owner claims the property as a primary residence and receives a 4% tax property tax rate, a new OSTR license can be issued.
• If the new owner does not claim the property as a primary residence and receives a 6% tax property tax rate, a new ISTR license cannot be issued at this time unless the new owner inherited the property from the owner of record as of 2/7/23. Email sritchie@follybeach.gov for questions about licenses obtained through inheritance. 

• Beginning for the 2024 license year, a property must be rented at least 28 days per year in order to maintain a rental license.

• The requirements to determine property tax rates are set by State law and administered by Charleston County. Information on how to apply for and receive a 4% tax rate can be found here: APPLICATION FOR SPECIAL ASSESSMENT (charlestoncounty.org)

• The number of days you rent your property has no effect on an ISTR license.
• OSTR license holders can only rent for 72 days each year. Please call the Charleston County Assessor's office at 843-958-4100 with questions about the 72-day limit.
• Charleston County may revoke 4% property tax status if the property is rented more than 72 days.
• The City will require a current 4% tax rate during license renewal.

• If you purchased a property with rentals on the books, you may apply for a provisional license. Email licenses@follybeach.gov  with questions.

• Licenses are issued for specific structures.
• If you tear down the home, you will need to apply for a new license under the cap.
• If you add bedrooms, you must update your license and provide proof of parking, updated tax records, and septic capacity.