Operating a short-term rental in Dewey Beach requires a three-tiered licensing system: a state business license, a 5-year Sussex County rental license, and an annual Town of Dewey Beach rental license. Hosts must also collect and remit a total of 11% in taxes (8% state, 3% town). Occupancy is strictly regulated based on bedroom count and square footage.
To host an Airbnb in Dewey Beach, you'll need to get three different licenses in a specific order: first a state business license, then a 5-year county rental license, and finally an annual town rental license. Be prepared to collect and pay 11% in taxes yourself, as platforms like Airbnb don't handle it for you here. Make sure you calculate your maximum guest count using the town's formula (2 per bedroom + 2) and post your license and town rules inside the property.
Permit Required
Yes
Night Limit
None
Primary Residence
Not Required
Total Tax Rate
11.0%
Disclaimer
This information is for general guidance only and should not be considered legal advice. Regulations change frequently. Always verify current requirements with local government authorities before operating a short-term rental.
Learn more about STR regulations and hosting tips.
Regulations Videos
Permit Fee
$125
Processing Time
1-2 weeks
Max Fine
$500
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