Investing in short-term rental (STR) properties requires an in-depth understanding of local regulations. Below is a comprehensive list of frequently asked questions (FAQs) for STR operators and investors to help you navigate the rules in Gulf Shores and stay compliant while maximizing profitability.
1. What is considered a short-term rental in Gulf Shores?
In Gulf Shores, a short-term rental is defined as any dwelling unit that is licensed and offered for occupancy by lease, sublease, rental, or other licensing for fewer than 180 consecutive days.
2. Do I need a permit to operate a short-term rental in Gulf Shores?
Yes, a business license is required and must be renewed annually and expire December 31st. Renewals are due January 1st and are delinquent after January 31st. STRs are also subject to lodging taxes. Rental Fee: $45 (Short term rentals only). For a step-by-step business license application process guide, please visit the City of Gulf Shores Online Licensing and Permitting Portal.
3. What are the zoning laws for STRs in Gulf Shores?
Allowed: Tourist Overlay District, BN, BG, BT, ICW-N, ICW-S, and some PUDs.
Prohibited: R-1 to R-5, AG, ATP, ED, IND, OS, unless approved by a Conditional Use Permit.
You can access the zoning map here.
4. Are there occupancy limits for short-term rentals in Gulf Shores?
Yes, occupancy is limited to one family as defined in the ordinance. Rentals exceeding 30 consecutive days with more than one family are prohibited.
5. What taxes are short-term rental hosts required to pay?
Short-term rental hosts must pay lodging and resort taxes. The lodging tax rate in Gulf Shores includes:
- City lodging tax: 7%
- State lodging tax: 4%
- County lodging tax: 2%
This totals 13% in taxes applicable to short-term rental income.
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6. What are the safety and health requirements for STR properties in Gulf Shores?
Short-term rentals must meet parking, access, and circulation requirements, including maintaining approved surfaces for parking and prohibiting parking on public rights-of-way. Addresses must also be clearly visible from the street, and all sanitary conditions, fire safety and structural integrity requirements met.
7. How are noise and nuisance complaints handled in Gulf Shores?
Noise and nuisance complaints related to short-term rentals are addressed through the enforcement of city ordinances. Violations can result in penalties, including fines and the suspension or revocation of the rental license.
8. Can I manage multiple short-term rental properties in Gulf Shores?
Yes, you can manage multiple short-term rental properties as long as each property has its own valid business license and complies with all city regulations.
9. What are the penalties for non-compliance with STR regulations in Gulf Shores?
Penalties for non-compliance include fines, suspension, or revocation of the business license. Continued violations can result in legal enforcement actions by the city. Each day that a person does business without such a STR license shall constitute a separate offense.
10. Are there any updates or changes to Gulf Shore’s STR regulations I should be aware of?
No new updates or amendments have been recorded recently. For the most current information, checking with Gulf Shores City Hall or their official website would be advisable.
11. Can I self-manage my short-term rental, or do I need a property management company in Gulf Shores?
You can self-manage your short-term rental. There is no requirement for a property management company as long as you comply with licensing, taxation, and operational regulations.
12. What are the insurance requirements for short-term rentals in Gulf Shores?
Even though it is not explicitly required in the regulations and laws, it is advisable to carry property and liability insurance to protect against potential risks. Check with local authorities or your insurance provider for specific recommendations.
13. Are there any local rules regarding hosting platforms (e.g., Airbnb, Vrbo) in Gulf Shores?
There are no rules targeting specific hosting platforms like Airbnb or Vrbo. However, all short-term rentals must comply with Gulf Shores’ licensing, taxation, and operational regulations, regardless of the platform used.
14. What are the inspection requirements for STRs in Gulf Shores?
A rental safety inspection is required every three years for short-term rental properties. These inspections ensure compliance with safety and health standards, including fire safety measures, structural integrity, and sanitary conditions. Property owners must schedule and pass these inspections to maintain their business license.
More information can be found here.
15. Are there any neighborhood-specific restrictions for STRs in Gulf Shores?
Yes, short-term rentals are restricted to specific zoning districts, including the Tourist Overlay District and other designated areas. STRs are prohibited in certain residential zones (e.g., R-1 to R-5) unless approved by a Conditional Use Permit. Neighborhood-specific restrictions may also apply based on zoning maps and local homeowners’ association (HOA) rules.
16. Is there a cap on the number of STR permits issued in Gulf Shores?
There is no cap on the number of Short-Term Rental (STR) permits in Gulf Shores, AL. Each property must individually comply with licensing requirements.
17. What parking requirements exist for STRs in Gulf Shores?
Parking spaces must be on approved surfaces and cannot use gravel or materials resembling beach sand. Parking on public street rights-of-way is prohibited. Adequate parking must be provided to meet the needs of the rental property as determined by city standards.
