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Short-term rentals, long-term rentals and second homes that pay their way
Myrtle Beach Investment Properties
I own investment property in the Carolinas myself, so I look at a rental the way you will: rules first, then real expenses, then the upside.
Is Myrtle Beach a good place to buy an investment property?
Myrtle Beach can work well for investors because the tourist season that once ran Easter to Labor Day stretched almost year-round by the 1970s (SC Encyclopedia), but returns depend on buying where your rental strategy is legal and budgeting for local taxes, fees, insurance and HOA costs. Short-term rentals are tightly zoned inside the City of Myrtle Beach and licensed differently in North Myrtle Beach and unincorporated Horry County, so the address decides the strategy.
Use this page to check the rules, then let me run numbers on specific properties.
Short-term rental rules by jurisdiction
City of Myrtle Beach
"Short-term" means less than 90 days. Most residential neighborhoods are not zoned for it; R districts do not allow it except the RMV zone, and only 24 houses in traditional residential zones are grandfathered (city Planning & Zoning). All rental owners need a city business license (Business License Division).
North Myrtle Beach
Every short-term rental needs a city business license renewed annually, and operators collect and remit accommodations tax to the city, county and state. The city says no special zoning or permit is currently required beyond licensing, and it has been studying STR policy publicly (city STR page).
Unincorporated Horry County
A county business license, SCDOR registration and the county hospitality fee apply (Horry County filing chart, county business license). The hospitality fee on transient accommodations is 3% outside city limits and 1.5% inside (county Treasurer).
HOA and condo rules can be stricter than any of these. I confirm rental rights in writing before you are past due diligence.
Taxes and fees to put in your pro forma
Property tax ratio
Rental and second-home property is assessed at 6% of fair market value, versus 4% for a qualifying legal residence (S.C. Code 12-43-220). That one line often surprises investors coming from other states.
State accommodations tax
Rentals of sleeping accommodations for less than 90 consecutive days are subject to South Carolina's 2% accommodations tax in addition to sales tax (SCDOR). Local accommodations taxes and fees can apply too.
Insurance
Short-term rental use changes the policy you need. Price wind, flood and liability coverage for rental use before you offer, and check the property on the FEMA flood map.
Management
Self-managing, using a local manager or joining a condo's on-site program each changes your net. Get the fee schedule and owner-use rules in writing.
Strategies that fit different parts of the coast
Weekly beach rentals
Oceanfront and near-beach condos in zones that allow them, in Myrtle Beach, North Myrtle Beach and Garden City. See oceanfront condos.
Golf and family stays
Villas and homes in Barefoot Resort and around Cherry Grove, subject to each association's rules.
Long-term rentals
Single-family homes in Carolina Forest, Conway and Longs, where long-term tenants look for space, schools and a reasonable drive to work, including around Coastal Carolina University in Conway.
Deeper reading: Myrtle Beach short-term rental property for investors, my vacation rental guide and investment tips for buying a vacation home.
How I run the numbers
- Confirm legality. Zoning, license path and HOA rental rules for the exact unit.
- Gross rent. Real rental history from the owner or manager, not projections.
- Expenses. Dues, insurance, 6% property tax, utilities, management, cleaning, supplies, repairs and reserves.
- Taxes on rent. Sales, accommodations and local fees collected from guests and remitted.
- Exit. Who buys it from you later, and would a rule change hurt resale?
Keep exploring
Back to the Myrtle Beach real estate guide, or continue with these related pages:
Frequently asked questions
Where can I legally run a short-term rental in Myrtle Beach?
Inside city limits, only in zoning districts that allow rentals under 90 days, which excludes most residential neighborhoods. Check the city zoning map for the specific property, and check HOA rules.
Do I need a business license for a rental?
Yes in the City of Myrtle Beach and North Myrtle Beach, and in unincorporated Horry County a county business license applies. Plan on SCDOR registration as well.
What property tax rate applies to a rental?
Rental property is assessed at 6% of fair market value, compared with 4% for a qualifying owner-occupied legal residence. Local millage then applies.
What is the hospitality fee?
Horry County charges a hospitality fee on transient accommodations: 3% of gross proceeds outside city limits and 1.5% inside city limits, per the county Treasurer.
What should I ask a property manager?
Their fee and what it includes, how they set rates, average occupancy for similar units, cleaning and linen charges, how they handle damage and guest screening, and how much owner use they allow.
Is long-term renting simpler than short-term?
Usually. Rentals of 90 consecutive days or more avoid the accommodations taxes and hospitality fee that apply to transient stays, and they are allowed in many neighborhoods that prohibit short-term rentals. The tradeoff is lower gross rent and less personal use.
Could short-term rental rules change after I buy?
They can. North Myrtle Beach, for example, has been holding public sessions on STR policy. Buy with a plan B, such as long-term renting or personal use, that still works if rules tighten.
Can I live in my rental part of the year?
Often, yes, but owner use affects income and some management programs restrict it. A home rented as a vacation rental generally will not qualify for the 4% legal-residence ratio.
Let's map out your next move
Book a free buyer or seller consultation and get a straight answer from someone who lives here.
Sources
Facts on this page come from these sources, checked November 2026. Rules and programs change, so confirm details for your specific property.
- S.C. Code of Laws, Title 12, Chapter 43 (property assessment ratios, Section 12-43-220)
- SC Department of Revenue: Accommodations Tax
- Horry County Treasurer: Hospitality Fee
- Horry County Treasurer: Business License
- Horry County: tax filings for short-term rentals in unincorporated Horry County (PDF)
- City of Myrtle Beach Planning & Zoning: zoning and short-term rentals
- City of Myrtle Beach Business License Division
- City of North Myrtle Beach: Short-term Rentals
- South Carolina Encyclopedia: Grand Strand
- FEMA Flood Map Service Center
