Maryland Airbnb and Short-Term Rental Regulations (2026 Guide)

Maryland's Chesapeake Bay, Ocean City beachfront, and proximity to Washington D.C. create strong year-round demand for short-term rentals. Whether you already own a vacation rental in Maryland or are evaluating your first investment, understanding the regulatory landscape is essential. STR laws in Maryland vary significantly by city and county — and getting compliance wrong can mean fines, forced delistings, or lost income.

This guide covers Maryland's approach to short-term rental regulation at the state level, then breaks down the rules in key markets investors and hosts need to know. Regulations as of 2026 — always verify current rules directly with your local municipality before listing.

If you'd like help navigating STR compliance in Maryland, Awning's property management team operates in Ocean City, Annapolis, and the Eastern Shore and helps hosts stay compliant while maximizing revenue.

How Maryland Defines a Short-Term Rental

For regulatory and tax purposes, a short-term rental in Maryland is generally defined as a residential property rented for 30 consecutive days or fewer. Any rental longer than this threshold is typically treated as a long-term rental and subject to different rules.

Does Maryland Require a Statewide STR License?

Maryland does not impose a state-level STR permit requirement. Regulation is handled at the county and city level, with significant variation across jurisdictions.

Maryland Short-Term Rental Taxes

Maryland applies a 6% sales tax and a county hotel rental tax (rates vary by county) to short-term rental income. Ocean City adds an additional local room tax. Airbnb collects and remits Maryland state sales tax automatically; hosts must verify local tax compliance for their specific county.

Regardless of which booking platform you use, it is your responsibility as a host to ensure all applicable taxes are collected and remitted correctly. Failure to comply can result in penalties, back taxes, and potential loss of your ability to operate.

STR Regulations by City in Maryland

Below are the key STR markets in Maryland and their current regulatory requirements. City regulations change frequently — check with your local planning or licensing department for the most current rules before investing.

Ocean City

Ocean City requires a rental license for all STR properties. Properties must pass a safety inspection, and hosts must display their license number in all listings. The city enforces occupancy limits and noise ordinances strictly during the peak summer season.

Annapolis

Annapolis requires a Short-Term Rental permit through the Department of Planning and Zoning. The permit must be renewed annually, and STRs in historic districts face additional review requirements.

Baltimore

Baltimore requires STR operators to register with the city and obtain a zoning certificate. Non-owner-occupied STRs are subject to stricter regulations, and some residential zones prohibit them entirely.

Key Questions to Ask Before Listing an STR in Maryland

• Does your city or county require an STR permit or license?
• Are there caps on the number of STR permits in your neighborhood or zone?
• Is your property owner-occupied or non-owner-occupied — and does that distinction affect your eligibility?
• What occupancy, noise, and parking rules apply to your specific property?
• Which taxes are you responsible for collecting and remitting vs. what the platform handles?
• Does your HOA or condo association allow short-term rentals?

The Bottom Line

Maryland's STR regulatory environment ranges from investor-friendly rural counties to tightly regulated resort towns and urban cores. Understanding the specific rules in your target market — not just at the state level — is what determines whether your rental operates smoothly or faces costly disruptions.

Staying on top of changing regulations is one of the most valuable things a professional property manager brings to your operation. Awning manages short-term rentals in Ocean City, Annapolis, and the Eastern Shore and monitors local regulatory changes so you don't have to. Reach out to learn how we can help you operate compliantly and profitably in Maryland.