South Carolina spans the full range. Myrtle Beach and Hilton Head have long-established vacation rental economies with workable rules, while Charleston operates one of the most restrictive short-term rental frameworks in the Southeast.
Where the state stands
Short-term rental rules change frequently and the controlling rule is usually local, not statewide. Treat this as orientation, then verify the current ordinance with the city or county directly, and read any homeowner association or condominium declaration separately. This is not legal advice.
There is no state preemption. Regulation is set locally and varies dramatically between the beach markets and the historic cities.
Charleston restricts short-term rentals heavily, with owner-occupancy requirements in most of the city and a narrow set of eligible properties.
Myrtle Beach and the Grand Strand operate established vacation rental economies with zoning that broadly accommodates rentals in tourist districts.
The details that matter
- Hilton Head permits short-term rentals with registration and operating standards, though private community rules are frequently the binding constraint.
- State sales tax plus local accommodations taxes apply.
- Beach community property owner association rules are often more restrictive than municipal ordinances and must be reviewed separately.
City and county positions
Regulation in South Carolina is decided locally far more than at the state level. The table below is orientation, not a substitute for calling the jurisdiction.
| Jurisdiction | Position | Investor risk |
|---|---|---|
| Myrtle Beach / Grand Strand | Zoning accommodates rentals in tourist districts | Low to moderate |
| Hilton Head | Registration and operating standards; community rules often decisive | Moderate |
| Charleston | Owner-occupancy requirements; narrow eligibility | Very high |
How to verify before you write an offer
The verification sequence is the same in every state, and skipping any step is how buyers end up owning a property that cannot legally operate.
- Confirm the zoning designation for the specific parcel, not the neighborhood.
- Confirm whether short-term rental is an allowed use in that zone, and whether a permit is required.
- Confirm whether permits are capped, waitlisted, or transferable on sale.
- Read the homeowner association or condominium declaration in full. Private restrictions bind independently of any municipal rule.
- Confirm the lodging and occupancy tax registration obligations, and which taxes the booking platform collects on your behalf.
- Ask the jurisdiction directly, in writing, and keep the response.
We do this for every property we bring to a client before an offer goes out, because a property that cannot legally operate is worth its long-term rental value regardless of what the short-term proforma says.
Keep reading
Frequently asked questions
Can I run a short-term rental in Charleston?
Only in narrow circumstances. Charleston imposes owner-occupancy requirements across most of the city and limits eligibility substantially, which makes conventional investment purchases difficult.
Is Myrtle Beach friendly to short-term rentals?
Generally yes. The Grand Strand has a long-established vacation rental economy and zoning that broadly accommodates rentals in tourist districts.