Overview: Are Short-Term Rentals Allowed in Myrtle Beach, SC?

Yes, short-term rentals are allowed in Myrtle Beach, SC, but with significant restrictions. Short-term rentals are explicitly prohibited in traditional residential neighborhoods (all zoning districts beginning with "R") with only one exception: the RMV (Residential Multifamily Visitor) zone. This represents a highly restrictive regulatory environment where most single-family residential areas and traditional multifamily zones do not permit STR operations.

Short-term rentals are defined as accommodations rented for less than 90 continuous days in Myrtle Beach, which differs from South Carolina's state definition of 30 days. The city operates a commercial accommodation model for STRs, meaning they are treated as commercial uses rather than residential uses, even when operating within residential structures.

How to Start a Short-Term Rental Business in Myrtle Beach, SC

Step 1: Zoning Verification

Before purchasing or committing to a property, verify that it is located in an approved zoning district:

• RMV (Residential Multifamily Visitor) - The only residential zone allowing STRs
• MU-H (Mixed-Use High Density)
• C6 (Urban Village)
• A (Amusement)
• E (Entertainment)
• HC1 (Highway Commercial)
• HC2 (Highway Commercial)
• IR (Interim Redevelopment) - Special exception only

Step 2: Business License Acquisition

Obtain a business license from the City of Myrtle Beach Business License Division before operating:

• Valid for one year
• Must be renewed by April 30 annually
• Fee calculated based on gross rental revenue
• Required regardless of whether the property is owner-occupied or investor-owned

Step 3: Tax Registration and Setup

Register for and begin collecting all applicable taxes:

• State lodging taxes (when not collected by platforms)
• City local accommodations tax (3%)
• Horry County hospitality fee
• Federal income tax obligations

Step 4: Compliance Systems

Implement systems to ensure ongoing compliance with:

• Zoning restrictions
• Tax collection and remittance
• City ordinances related to noise, parking, and occupancy
• Business license renewal requirements

Required Documents, Permits, Licenses, and Guidelines

Business License Requirements

Required Documents:

• Completed business license application
• Property ownership documentation or lease agreement
• Federal EIN (Employer Identification Number)
• SSN or ITIN for individual operators
• Proof of property insurance
• Site plan and floor plans
• Driver's license for verification

Associated Fees:

• Business license fee (percentage of gross revenue)
• Annual renewal required by April 30

Tax Registration Requirements

State Level:

• South Carolina Department of Revenue registration for lodging tax
• Federal EIN application
• State tax identification number

Local Level:

• Myrtle Beach local accommodations tax registration
• Horry County hospitality fee account setup

Safety and Compliance Documentation

• Fire safety device verification
• Property insurance documentation
• Emergency contact information
• Occupancy limit documentation
• Parking plan (where applicable)

Property-Specific Requirements

• Zoning compliance verification
• Property survey or site plan
• Floor plans showing bedroom and bathroom count
• Proof of compliance with building codes

Specific Regulations for Short-Term Rentals

City of Myrtle Beach Regulations

Zoning Restrictions:

• Prohibited: All residential zones beginning with "R" (R-1, R-2, R-3, etc.)
• Permitted: RMV, MU-H, C6, A, E, HC1, HC2 zones
• Special Exception: IR zones
• Grandfathered: Approximately 30 properties in traditional residential zones that were operating as STRs before current regulations

Definition and Duration:

• Short-term rental: Less than 90 continuous days
• Covers timesharing, fractional ownership, and investment partnerships
• Applies regardless of ownership structure

Business Operations:

• Business license mandatory for all STR operations
• Must comply with all city ordinances (noise, parking, trash)
• Maximum occupancy limits apply
• Advertising must include appropriate identifiers

Enforcement and Penalties:

• Violations are misdemeanors
• Fines up to $500 and/or 30 days imprisonment upon conviction
• Business license revocation possible
• Zoning code violations subject to Quality of Life Court

Conversion Restrictions (2025 Update):

• Ordinance prohibits converting STR buildings to long-term rentals in designated overlay zones
• Applies to hotels and STRs with 2+ units constructed for or used for STRs under 90 days
• Covers 114 city blocks east of Kings Highway to the ocean
• Exemptions exist for properties with existing long-term rental licenses and primary residences

Horry County Regulations

• Hospitality fee collection and remittance required
• Same accommodation tax structure as state requirements
• County enforcement of local tax obligations

State of South Carolina Regulations

Definition:

• State defines STR as less than 30 consecutive days
• Excludes non-residential uses (retail, restaurant, banquet space)
• Local definitions may differ (Myrtle Beach uses 90 days)

Tax Requirements:

• State Sales Tax: 5.0%
• State Accommodations Tax: 2.0%
• Local Option Sales Tax: 1.0%
• County Transportation Tax: 1.0%
• School District/Education Tax: 1.0%
• County Accommodations Tax: Up to 3.0%
• City Accommodations Tax: Up to 3.0% (Myrtle Beach charges maximum 3%)

Platform Collection Exceptions:

• Airbnb collects state, city, and county lodging taxes automatically
• Vrbo collects state lodging taxes and Myrtle Beach local accommodations tax
• Direct bookings require manual tax collection and remittance

Registration Exemptions:

• Rentals under 15 days per year exempt from accommodations tax collection
• Rental of 6 bedrooms or fewer in owner-occupied home exempt (if not using STR platforms)
• Rentals exclusively through STR platforms exempt from state registration requirements

Contact Information for Local Authorities

City of Myrtle Beach

Business License Division

• Phone: (843) 918-1168
• Website: www.cityofmyrtlebeach.com/departments/business_license_division.php
• Email: Business License inquiries via city website
• Address: P.O. Box 2468, Myrtle Beach, SC 29578

Planning & Zoning Department

• Phone: (843) 918-1179
• Website: www.cityofmyrtlebeach.com/departments/planning_and_zoning_department.php
• Services: Zoning verification, permit inquiries, code compliance

Finance Department

• Phone: (843) 918-1200
• Website: www.cityofmyrtlebeach.com/departments/financial_services_department.php
• Services: Tax questions, accommodations tax remittance

Code Enforcement & Quality of Life Court

• Website: www.cityofmyrtlebeach.com/i_want_to/learn_about/quality_of_life_court.php
• Services: Violation reporting, enforcement

Horry County

Treasurer's Office - Hospitality Fee

• Phone: (843) 915-5470
• Website: www.horrycountysc.gov/departments/treasurer/hospitality-fee/
• Services: Hospitality fee registration and remittance

Accommodations Tax Department

• Phone: (843) 915-5150
• Services: County accommodations tax questions

State of South Carolina

Department of Revenue

• Phone: (803) 898-5000
• Website: dor.sc.gov/
• Services: State tax registration, lodging tax questions
• Forms: ST388 (lodging tax return)

Links to Source Pages

Official City Sources

1. Myrtle Beach Zoning Question (Official): www.cityofmyrtlebeach.com/news_detail_T6_R1468.php
2. Business License Division: www.cityofmyrtlebeach.com/departments/business_license_division.php
3. Planning & Zoning Department: www.cityofmyrtlebeach.com/departments/planning_and_zoning_department.php
4. Myrtle Beach Zoning Code: cms6.revize.com/revize/myrtlebeachsc/departments/docs/Myrtle%20Beach%20Zoning%20Code%20240423.pdf
5. City Code of Ordinances: library.municode.com/sc/myrtle_beach/codes/code_of_ordinances
6. Business License Application: cms6.revize.com/revize/myrtlebeachsc/2023%20Business%20License%20Instructions%20&%20Application%20Form%20w%20Persons%20Responsible%20FILLABLE.pdf

Tax-Related Sources

7. Local Accommodations Tax Information: cms6.revize.com/revize/myrtlebeachsc/Hospitality%20Tax,%20Local%20Accommodations%20Tax%20&%20Hospitality%20Fee%20Information%20%28Effective%2007-01-19%29.pdf
8. Horry County Hospitality Fee: www.horrycountysc.gov/departments/treasurer/hospitality-fee/
9. South Carolina ST388 Form: dor.sc.gov/forms-site/Forms/ST388.pdf

Conversion Overlay Ordinance

10. STR Conversion Overlay Ordinance: cms6.revize.com/revize/myrtlebeachsc/07.%202024-069%20Conversion%20Overlay_Short%20Term%20Rentals%20%282nd%29.pdf

State Resources

11. South Carolina Department of Revenue: dor.sc.gov/
12. South Carolina Vacation Rental Tax Guide: www.avalara.com/mylodgetax/en/resources/vacation-rental-tax-guides/south-carolina.html

Investment Considerations and Market Reality

Limited Opportunity Zones

With STRs prohibited in most residential zones, investment opportunities are significantly restricted to:

• RMV zoned properties (limited inventory)
• Commercial zones with appropriate zoning
• Existing grandfathered properties (very limited and likely premium-priced)

Compliance Risk

The regulatory environment carries substantial compliance risks:

• Strict zoning enforcement
• Criminal penalties for violations
• Complex tax obligations
• Changing regulations (as evidenced by the 2025 conversion overlay)

Due Diligence Requirements

Before any STR investment in Myrtle Beach:

1. Zoning verification with Planning & Zoning Department
2. Business license eligibility confirmation
3. Tax obligation calculation and setup
4. Legal counsel consultation on complex regulations
5. Insurance verification for STR operations
6. HOA/COA rule verification if applicable

Alternative Markets

Given Myrtle Beach's restrictive environment, consider these nearby alternatives:

• North Myrtle Beach: More permissive STR regulations
• Charleston: Established STR market with defined permit process
• Horry County (unincorporated areas): Potentially fewer restrictions

This regulatory framework makes Myrtle Beach one of the most restrictive STR markets in South Carolina, requiring careful navigation and significant due diligence before investment.