Operating a short-term rental in Rehoboth Beach requires a three-tiered licensing system: a state business license, a Sussex County business license, and a city rental license. The city's process includes a mandatory physical inspection of the property. A total of 14% in accommodations taxes (6% city, 8% state) must be collected and remitted.
To host an Airbnb in Rehoboth Beach, you'll need to get three separate licenses: one from the state, one from Sussex County, and one from the city. The city's license costs $200 annually and requires you to pass a safety inspection of your property before you can rent it out. Be prepared to collect and pay a total of 14% in rental taxes. Make sure you know the city's strict occupancy formula, which is based on bedrooms and square footage, to avoid violations.
Permit Required
Yes
Night Limit
None
Primary Residence
Not Required
Total Tax Rate
14.0%
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.
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Permit Fee
$200
Processing Time
2-4 weeks
Max Fine
$500
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