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Fenwick Island, the southernmost Delaware beach town on the Maryland border, permits STR broadly across all residential and resort zoning districts. The town's small footprint (under 400 year-round residents) is dominated by summer rental inventory. The town's ordinance focuses on rental license + life-safety + designated local contact, without zoning-class STR restrictions or caps.
Operators must hold a short-term rental permit before listing. See the official permit portal.
Fenwick Island Town Hall administers the rental license program. Annual renewal. Application requires designated 24/7 local responsible-party contact, proof of property insurance, life-safety self-certification, and parking plan. Delaware Public Accommodations Tax (8%) + Fenwick Island municipal lodging tax (3%) filed monthly. Operating without a license: stop-rental + per-day fines + back-tax. The neighboring Ocean City, MD (just across the state line) is a SEPARATE jurisdiction with substantially tighter rules — confirm which side of the state line your parcel sits on before any offer.
Combined short-term lodging tax in Fenwick Island is approximately 11.000% of gross nightly revenue (state sales + state TRT + local TRT + applicable resort/city options).
Delaware Public Accommodations Tax 8% + Fenwick Island municipal lodging tax 3% — combined ~11.0% on transient lodging
Verify the current combined rate via the Utah State Tax Commission before remitting — rates drift quarterly.
STR regulations vary by jurisdiction. Compare Fenwick Island against nearby markets.