Overview: Are Short-Term Rentals Allowed in Lexington Park, MD?

Yes, short-term rentals are allowed in Lexington Park, Maryland, but they are subject to comprehensive regulations at the county level. Lexington Park is an unincorporated community within St. Mary's County, making county regulations the governing framework for short-term rental operations. The county has established a structured regulatory environment that permits STRs while ensuring compliance with zoning, safety, and taxation requirements.

How to Start a Short-Term Rental Business in Lexington Park

Step 1: Understand the Regulatory Environment

Before investing, conduct thorough due diligence on your property's zoning classification. St. Mary's County operates under a comprehensive zoning ordinance that governs land use throughout unincorporated areas, including Lexington Park. Your property's zoning district will determine whether short-term rentals are permitted as a principal use, conditional use, or require special approvals.

Step 2: Secure Proper Licensing

All short-term rental properties must obtain a Rental License from the St. Mary's County Department of Land Use and Growth Management. This is a mandatory requirement before operating any STR. The licensing process ensures compliance with local regulations and safety standards.

Step 3: Pass Required Inspections

Properties must successfully complete a Rental Housing Inspection administered by county officials. This inspection verifies that the property meets safety, livability, and code compliance standards required for rental operations.

Step 4: Establish Tax Collection Systems

Implement systems to collect and remit the 5% Accommodation Tax from all guests. This tax funds tourism promotion activities within the county and must be properly calculated, collected, and submitted according to county requirements.

Step 5: Ensure Zoning Compliance

Verify that your intended STR use complies with the specific zoning requirements for your property. Zoning regulations may limit the ability to rent certain properties or parts of properties, and non-compliance can result in enforcement actions.

Required Documents, Permits, Licenses, and Guidelines

Essential Licensing and Permits

1. Rental License - Required from St. Mary's County Department of Land Use and Growth Management
2. Rental Housing Inspection - Must be passed before receiving license
3. Zoning Permit - May be required depending on property classification and intended use
4. Building Permits - Required for any construction, renovation, or structural modifications
5. Certificate of Occupancy - Required before legal operation, issued after construction completion and inspection

Documentation Requirements

• Property ownership verification
• Health Department certificates for water supply and sewage disposal (or Metropolitan Commission certification for public systems)
• Plot plan showing property boundaries, structures, parking, and setbacks
• Tax map information (grid-parcel-lot numbers)
• Compliance with environmental regulations if applicable
• Erosion and sediment control approval from Soil Conservation District
• Fire Marshal approval if required

Tax and Financial Requirements

• Accommodation Tax collection system (5% rate)
• Revenue reporting mechanisms
• Payment processing capabilities for tax remittance

Specific Regulations by Level

County-Level Regulations (St. Mary's County)

Zoning Compliance

• Properties must comply with the St. Mary's County Comprehensive Zoning Ordinance
• Short-term rentals are subject to the same dimensional requirements as other rental properties
• Setbacks, lot coverage, height restrictions, and density limitations apply
• Special overlay districts (Critical Area, Historic Districts, AICUZ) may impose additional restrictions

Licensing and Inspection Requirements

• Mandatory Rental License for all short-term rental properties
• Rental Housing Inspection required before license issuance
• Ongoing compliance monitoring and potential re-inspection requirements
• Administrative variance processes available for certain dimensional relief

Taxation and Revenue

• 5% Accommodation Tax collection and remittance required
• Funds directed toward tourism promotion activities
• Regular reporting and payment schedules apply

Enforcement and Penalties

• Violation enforcement through Department of Land Use and Growth Management
• Civil citations and penalties for non-compliance
• Stop work orders for ongoing violations
• Zoning permit suspension for non-compliant properties

State-Level Regulations (Maryland)

While specific state-level STR regulations are not detailed in the provided content, Maryland state law provides the foundational authority for local zoning and development regulations through Article 66B of the Annotated Code of Maryland. This framework grants counties the authority to regulate land use, including short-term rental operations.

City-Specific Regulations

As Lexington Park is an unincorporated community, there are no separate city-level regulations. All governance occurs at the county level through St. Mary's County ordinances and the comprehensive zoning framework.

Critical Operational Requirements

Ongoing Compliance Obligations

• Maintain valid rental license status
• Ensure continuous compliance with housing standards
• Timely accommodation tax collection and remittance
• Respond to county inspections and compliance requests
• Maintain property standards that meet or exceed initial inspection requirements

Seasonal Considerations

The Lexington Park market experiences significant seasonal variation, with peak demand from late spring through summer months. This seasonality affects:

• Occupancy rates and pricing strategies
• Maintenance scheduling requirements
• Tax revenue timing
• Market demand patterns for different guest demographics

Unique Market Factors

• Proximity to Patuxent River Naval Air Station creates consistent demand from military personnel and contractors
• Tourism driven by outdoor recreational activities, historical attractions, and water sports
• Mix of leisure and business travelers requiring flexible accommodation offerings

Contact Information

Primary Regulatory Authority

St. Mary's County Department of Land Use and Growth Management

• Address: 23150 Leonard Hall Drive, Leonardtown, Maryland 20650
• Role: Primary authority for zoning permits, rental licenses, inspections, and enforcement
• Services: Zoning administration, development approvals, licensing, inspection services

Related County Departments

• Planning Commission: Handles zoning amendments and comprehensive planning
• Board of Appeals: Processes variances and conditional use applications
• Technical Evaluation Committee (TEC): Reviews development proposals
• Permits and Inspections: Administers building permits and code compliance

State-Level Resources

• Maryland Department of the Environment: Environmental compliance requirements
• Chesapeake Bay Critical Area Commission: Critical area development oversight
• State Highway Administration: Entrance permits and transportation impacts

Sources and Additional Resources

1. Summer - Vacation Rental Management in Lexington Park, Maryland - Comprehensive market overview and regulatory summary
2. St. Mary's County Comprehensive Zoning Ordinance - Complete zoning framework and development regulations

Important Note for Investors: This regulatory framework represents a structured approach to short-term rental operations within St. Mary's County. Success in this market requires proactive compliance management, understanding of local market dynamics driven by the naval base and seasonal tourism, and maintaining high property standards to compete effectively. The regulatory environment is designed to ensure neighborhood compatibility while allowing legitimate business operations, making Lexington Park a viable STR market for compliant operators.