Is Airbnb legal in Wilmington?

Overview of Airbnb Regulations in Wilmington, North Carolina

Wilmington, NC, regulates short-term rentals (STRs) primarily through its zoning and land use ordinances. The city classifies short-term lodging as rentals lasting up to 29 nights and recognizes two main types:

1. Homestays: Renting out rooms in your home while you reside onsite.
2. Whole-house Rentals: Renting an entire property without the host present.

Important Changes

In April 2022, the North Carolina Court of Appeals found Wilmington's previous registration system and limit on the number of STRs invalid, which has effectively deregulated the short-term rental market in the city. As a result, there is no longer a requirement for registration or licensing for STR operators.

Key Regulations Still in Effect

Despite the deregulation, several rules remain, which include:

• Local Manager Requirement: Whole-house rentals must have a local manager available within 25 miles, reachable 24/7.
• Insurance: Hosts need a minimum of $500,000 in liability insurance specifically for short-term rentals.
• Parking: Adequate off-street parking must be provided, at least one space per bedroom rented.
• Occupancy Limits: Maximum occupancy requirements must be adhered to, typically limited to two adults per bedroom plus two additional adults.
• Safety Standards: Compliance with safety codes and maintenance of hazardous properties, including emergency contact information for guests.

Taxes

Hosts must collect and remit a 6% occupancy tax to the county on all bookings, ensuring compliance with tax regulations by registering with the local finance department.

Community Relations

With the easing of restrictions, many hosts express satisfaction; however, neighbor complaints regarding noise and other nuisances still pose challenges. Maintaining good relationships with neighbors is crucial for successful operations in this new landscape.

Compliance Monitoring

Enforcement of these regulations tends to be complaint-driven, and while the city retains some ability to issue fines for violations (ranging from $100 to $500) related to safety, noise, and zoning, the lack of a registration system limits proactive monitoring.

Conclusion

For anyone looking to operate a short-term rental in Wilmington, NC, understanding and adhering to these key regulations is essential for legal compliance and community harmony. With the market now more accessible due to the recent court ruling, responsible hosting can lead to profitable opportunities in this vibrant coastal city.