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Folly Beach

South Carolina · United States
Restricted
Last updated: 2026-08-23  ·  Last verified: 2026-08-23  ·  Region: US

At a Glance — Folly Beach Airbnb & STR Rules

RuleDetails
Regulatory StatusRestricted — rules apply
Permit / License RequiredYes — STR business license required under Chapter 117, Short Term Rentals, Folly Beach Code of Ordinances.
Tax RateCombined state and local transient lodging taxes apply (approx. 12-14%).
Night / Day CapUncertain pending appeal outcome
Minimum StayNone (short-term defined as stays under 28 consecutive days).
Permit FeePermit fees struck down as illegally adopted
PenaltiesNot specified in source
Primary Residence RequiredNo (but investor/non-owner occupied licenses are capped).
Occupancy LimitGoverned by local zoning and safety regulations.
Browse all 13 STR regulations in South Carolina → Browse all 549 STR regulations in United States →

Folly Beach Airbnb & Vacation Rental Regulation Overview

Folly Beach Short-Term Rental Regulations Overview

Short-term rentals in Folly Beach, South Carolina are allowed but subject to significant restrictions under local regulations as of 2026. Hosts operating on Airbnb, VRBO, or other vacation rental platforms must obtain proper licensing: Yes — STR business license required under Chapter 117, Short Term Rentals, Folly Beach Code of Ordinances.. The associated permit fees are Permit fees struck down as illegally adopted.

Tax Requirements for Airbnb Hosts in Folly Beach

Short-term rental operators in Folly Beach should be aware of these tax obligations: Combined state and local transient lodging taxes apply (approx. 12-14%).. Yes — must register for state sales tax and local hospitality/lodging taxes..

Hosting Rules and Restrictions in Folly Beach

Key operational rules for vacation rental hosts in Folly Beach include: Primary residence requirement: No (but investor/non-owner occupied licenses are capped).. Rental day cap: Uncertain pending appeal outcome. Occupancy limit: Governed by local zoning and safety regulations.. Minimum stay: None (short-term defined as stays under 28 consecutive days)..

Zoning and Location Requirements in Folly Beach

Zoning considerations for short-term rentals in Folly Beach: Strict cap of 800 investor short-term rental (ISTR) licenses. Once capped, new licenses are unavailable except through select hardship exceptions. Licenses are non-transferable and do not convey with . Density rules: 800-license cap (voter-approved 2023 referendum); approximately 200 properties on the waitlist for new licenses as of early 2026.. Insurance: Yes — proof of adequate liability insurance is required..

Penalties for Non-Compliance in Folly Beach

Hosts who fail to comply with Folly Beach's short-term rental regulations may face enforcement action. Not specified in source.

Platform Obligations in Folly Beach

Platform obligations for services like Airbnb, VRBO, and Booking.com operating in Folly Beach: None formally active; operators must list their valid license details on all listing platforms..

Full Regulatory Details

Regulatory Status
Restricted
License / Registration
Yes — STR business license required under Chapter 117, Short Term Rentals, Folly Beach Code of Ordinances.
Tax Registration
Yes — must register for state sales tax and local hospitality/lodging taxes.
Permit Fee
Permit fees struck down as illegally adopted
Primary Residence Rule
No (but investor/non-owner occupied licenses are capped).
Night / Day Cap
Uncertain pending appeal outcome
Occupancy Limit
Governed by local zoning and safety regulations.
Tax Rate
Combined state and local transient lodging taxes apply (approx. 12-14%).
Zoning Restrictions
Strict cap of 800 investor short-term rental (ISTR) licenses. Once capped, new licenses are unavailable except through select hardship exceptions. Licenses are non-transferable and do not convey with property sale.
Minimum Stay
None (short-term defined as stays under 28 consecutive days).
Density Rules
800-license cap (voter-approved 2023 referendum); approximately 200 properties on the waitlist for new licenses as of early 2026.
Insurance Required
Yes — proof of adequate liability insurance is required.
Platform Obligations
None formally active; operators must list their valid license details on all listing platforms.
Compliance Notes
Folly Beach has installed a temporary moratorium on short-term rentals while the city appeals a court ruling that invalidated the city's previous rental cap and permit fee system. Hosts must cease new STR operations during the moratorium period. The outcome of the appeal will determine whether the cap and fee structure is reinstated or a new regulatory framework is adopted.
Effective Date
2026-08-19
Key Notes
['Court ruled August 14, 2026 that the cap and $250+ permit fee violated South Carolina state law', 'City Council voted August 19 to appeal the ruling and install immediate moratorium', 'Appeal timeline and final regulatory outcome are pending']
Penalties
Not specified in source
Additional Context
This represents a setback for local STR restriction efforts; state law may preempt local caps.
📋 Apply / Register with the Official Authority

Apply for your STR permit or registration directly through the official government portal.

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Frequently Asked Questions

Is Airbnb legal in Folly Beach?

Airbnb and short-term rentals are legal in Folly Beach but subject to restrictions. Hosts must comply with local permit requirements and zoning rules. Folly Beach has installed a temporary moratorium on short-term rentals while the city appeals a court ruling that invalidated the city's previous rental cap and permit fee system. Hosts must cease new

Do you need a permit for Airbnb in Folly Beach?

Yes. Folly Beach requires the following for short-term rental operation: Yes — STR business license required under Chapter 117, Short Term Rentals, Folly Beach Code of Ordinances..

What taxes apply to short-term rentals in Folly Beach?

Short-term rental hosts in Folly Beach are subject to the following tax obligations: Combined state and local transient lodging taxes apply (approx. 12-14%)..

What are the penalties for illegal Airbnb hosting in Folly Beach?

Hosts who operate without proper permits in Folly Beach may face enforcement. Not specified in source.

What are the key STR compliance requirements in Folly Beach?

['Court ruled August 14, 2026 that the cap and $250+ permit fee violated South Carolina state law', 'City Council voted August 19 to appeal the ruling and install immediate moratorium', 'Appeal timeline and final regulatory outcome are pending']

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