Short term rental rules may be about to get tougher and more expensive on Hilton Head
One of best ways to start a bar fight on Hilton Head Island is to bring up the topic of short term rentals. Permanent or seasonal residents see them as a scourge to the peace and tranquility they bought into a decade or more ago while property owners who rent out their units by the night or on weekends enjoy the cash flow that comes with having a space in a beautiful place.
The rules may be about to change.
The Town Council of Hilton Head Island discussed new regulations for short-term rentals Tuesday aimed at improving safety for tourists and reducing noise and parking headaches for locals.
What’s on the table:
● Parking: Limit the number of vehicles per property to 6. Parking is one of the biggest issues for permanent residential complaints about STRs.
● Occupancy: New rules would limit how many occupants are allowed depending on the number of bedrooms in a unit. There have been reports of as many
● Fire Safety: Properties larger than 3,600 square feet would be required to install monitored fire alarm systems. Exterior gas grills would need to be fitted with an automatic shut-off switches. All short-term rentals are required to have smoke detectors, carbon monoxide detectors, and a fire extinguisher, said Fire Chief Chris Blankenship. Under the new regulations, larger rentals would need to be equipped with fire alarm systems that are monitored by a third party 24/7, allowing the fire department to be dispatched more quickly.
● Escalating fines: Existing $500 fine would only apply to first offense; $1000 fine for repeat violations. Currently, the fines care capped at $500 and the new proposal would add the $1,000 escalation.
● Higher fees: The current $250 permit fee would only apply to units with four bedrooms or less. $1000 fee for units with five to seven bedrooms; $2500 for eight or more
If passed, after the ordinance’s third reading, the new regulations would go into effect on Jan. 1, 2026.
How many units are affected?
There are 7,112 short-term rentals on the island, as of Jan. 31. In 2024, short term rentals accounted for 128 noise complaints, 100 parking complaints, and 34 trash complaints.
As a comparison, in December 2023 there were 6,700 permitted STRs revealing a 6% increase in 2024.
Fire safety is another key area of concern for short-term rentals. Between Sep. 1, 2024 and Dec. 31, 2024, the Hilton Head Island Fire Rescue Department responded to 117 fire calls and 47 EMS calls at short term rental properties. A fire that destroyed a Palmetto Dunes short-term rental in September 2022 took the life of one person and critically injured another.
Although town council members expressed a desire to make short-term rentals more safe, questions were raised as to how new regulations could be effectively enforced.
The new regulations would amend the town’s short term rental ordinance, which has been in effect since Jan. 1, 2023 and introduced new rules for licensing and permitting. The town’s Revenue Services Division and Public Safety Department enforces compliance, under the existing ordinance. The changes currently under discussion would aim to strengthen the practices already in place.
A third-party contractor, GovOS, currently monitors online listings for the short-term rentals on the island and ensures any properties listed are permitted.
This story was originally published February 19, 2025 at 12:54 PM with the headline "Short term rental rules may be about to get tougher and more expensive on Hilton Head."