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Short-Term Rentals

Understanding the current data and trends that affect the historically-accepted balance of ⅓ full time residences, ⅓ part-time residences, and ⅓ short-term rentals is important to ensure the balance is sustained. 

Preserving Balance

Residential housing, and thus one’s home, is a critical component in sustaining a sense of community in Isle of Palms and for enhancing the quality of life and the health, safety, and welfare of all those who reside in and visit Isle of Palms.  The majority of Isle of Palms’ residents support a diversity of housing uses, including full- or part-time residences and vacation rentals. Isle of Palms’ sense of community will be preserved if a balance of housing uses is maintained.  An imbalance of tourist housing will substantially change the livability of Isle of Palms neighborhoods for those who live here either full or part-time.

BIPA's Position

We support the principles espoused in the IOP Strategic Plan and Comprehensive Plan that Isle of Palms is primarily a residential community.  We believe in an equal balance among:
 

  • Full-Time residents

  • Part-time residents (second homeowners)

  • Short-term rentals
     

We are actively monitoring the number of units of each type of residence in order to assess that balance and will continue to advocate for tightened city ordinances and strict enforcement of those livability ordinances in order to maintain the quality of life for residents. 

The Trend

If we look at the numbers for the end of license years 2025 and 2026, we see an imbalance.  40% of all dwelling units are Short Term Rentals, which is not in line with the historically accepted balance of 33%. 

Year
FULL-TIME RESIDENCES
% OF TOTAL
PART-TIME RESIDENCES
% OF TOTAL
SHORT-TERM RENTALS
% OF TOTAL
TOTAL DWELLING UNITS
April 2025
1,522
32.87%
1,321
28.53%
1,787
38.60%
4,630
April 2026
1,572
33.68%
1,244
26.65%
1,852
39.67%
4,668
May 2025
1,533
33.13%
1,510
32.63%
1,584
34.23%
4,627
May 2026
1,584
33.93%
1,334
28.58%
1,750
37.49%
4,668
 
 
 
 
Source: City of Isle of Palms Analysis of Dwelling Units and Short-Term Rentals

Year over year, for the 2026 over 2025 license years, we see a 4% increase in STR licensed dwelling units.  The annual renewal process acts as a natural reset.  In 2025, about 200 STRs did not renew; in 2026, only about 100 did not renew.  The smaller reduction suggests that STR ownership is becoming more stable and more owners are choosing to remain in the STR market.

Today, short term rental properties (1,750) outnumber full-time residences (1,584).  About 800 of those STRs are single-family homes located in residential neighborhoods.

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