Is North Myrtle Beach, South Carolina Good for Airbnb Investment?

To start an Airbnb in North Myrtle Beach, South Carolina, begin by researching local regulations as the city requires short-term rental permits and has specific zoning restrictions limiting rentals to certain residential areas while prohibiting them in some neighborhoods entirely. Contact North Myrtle Beach's Planning Department to verify your property's eligibility and obtain the required Business License ($50-100 annually) and Short-Term Rental Permit (approximately $200-300), which includes safety inspections and occupancy limits typically capped at 2 people per bedroom plus 2 additional guests. Find a suitable property within permitted zones, ideally within walking distance to beaches or popular areas like Ocean Drive, with purchase prices ranging from $200,000-800,000 depending on proximity to water and size. Furnish the property with coastal-themed, durable furniture including essentials like quality mattresses, linens, kitchen appliances, WiFi, and beach equipment such as chairs and umbrellas, budgeting $15,000-30,000 for complete furnishing. Create listings on Airbnb, VRBO, and Booking.com with professional photography highlighting beach access and local attractions, setting competitive rates of $100-400 per night depending on season and property size. Manage the property by establishing cleaning protocols between guests (typically $80-150 per turnover), implementing keyless entry systems, maintaining 24/7 guest communication, and ensuring compliance with the city's noise ordinances and parking restrictions while collecting and remitting South Carolina's 7% sales tax plus local accommodation taxes.

To identify profitable short-term rental properties in North Myrtle Beach, South Carolina, focus on oceanfront or ocean-view properties within walking distance of popular beaches like Cherry Grove, Ocean Drive, or Crescent Beach, as these command premium rates of $200-400+ per night during peak season (May-September). Target 3-6 bedroom condos or beach houses built after 1990 with amenities like pools, hot tubs, game rooms, and multiple parking spaces, as families and groups drive the majority of bookings in this market. Analyze pricing using AirDNA and Mashvisor to identify properties generating $40,000-80,000+ annually, comparing cap rates against traditional rental yields which typically run 6-8% in the area. Research competition density using AllTheRooms and VRBO market data, avoiding oversaturated complexes while identifying underserved pockets near attractions like Barefoot Landing, Alabama Theatre, or golf courses. Leverage local resources including North Myrtle Beach tourism data, Horry County property records, and connect with established STR management companies like Vacasa or RedAwning who understand city regulations requiring business licenses and the 6% accommodations tax, while monitoring seasonal occupancy patterns that peak at 85-95% in summer but drop to 30-50% in winter months.

To obtain an Airbnb/STR permit in North Myrtle Beach, South Carolina, you must first apply through the City of North Myrtle Beach Planning Department located at City Hall (1018 2nd Avenue South) or online through their permitting portal. Required documents include a completed short-term rental application, property deed or lease agreement, floor plan showing maximum occupancy, proof of liability insurance ($1 million minimum), contact information for a local responsible party within 30 miles, parking plan showing required spaces, and septic system approval if applicable. The application fee is approximately $200 with an annual renewal fee of $150, plus inspection fees of around $100. The timeline typically takes 4-6 weeks for initial approval after submitting a complete application, including required inspections for fire safety, building code compliance, and zoning verification. North Myrtle Beach specific requirements include maximum occupancy limits based on bedrooms (2 people per bedroom plus 2 additional), mandatory registration with the city's STR database, compliance with noise ordinances, provision of adequate parking (1 space per bedroom), 24/7 local contact availability, and adherence to the city's rental density restrictions which limit STR concentrations in residential neighborhoods. Properties must also meet all building and fire codes, maintain current business licenses, and display permit numbers in all advertising.

Short-term rentals (STRs) are legal in North Myrtle Beach, South Carolina, but operate under specific municipal regulations that require proper licensing and compliance with zoning ordinances. The city requires STR operators to obtain a business license and adhere to occupancy limits, parking requirements, and noise ordinances, with properties typically limited to residential zoning districts. North Myrtle Beach has implemented registration requirements since approximately 2019-2020, mandating that operators provide contact information for a responsible party available 24/7 and maintain properties according to city codes. The city prohibits STRs in certain areas designated for long-term residential use and requires compliance with fire safety codes, trash collection schedules, and neighborhood compatibility standards. Recent changes have included stricter enforcement of existing regulations and enhanced penalties for violations, with the city conducting regular inspections and responding to neighbor complaints more aggressively, though STRs remain a significant part of the local tourism economy given the area's popularity as a beach destination.

The best Airbnb investment areas in North Myrtle Beach, South Carolina include the Ocean Drive/OD section which attracts year-round visitors for its famous shag dancing scene, beach clubs, and proximity to popular venues like Fat Harold's Beach Club and Duck's Too, generating consistent rental demand from both tourists and event attendees. The Crescent Beach area offers excellent investment potential due to its central location, easy beach access, and proximity to major attractions like Barefoot Landing shopping complex and Alabama Theatre, appealing to families and couples seeking convenient accommodations. Cherry Grove, particularly the oceanfront and canal-front properties, provides strong rental opportunities given its fishing pier, seafood restaurants, and appeal to fishing enthusiasts and beach lovers, while also benefiting from events at nearby venues. The Windy Hill section attracts investors due to its quieter family-friendly atmosphere, proximity to Myrtle Beach attractions, and lower property costs compared to oceanfront areas, making it ideal for budget-conscious travelers and longer-term stays. Finally, the Little River area, especially properties near the waterfront and Calabash seafood restaurants, offers unique investment opportunities targeting visitors interested in fishing charters, boat tours, and the famous seafood dining scene, providing a niche market with less competition than traditional beach areas.

In North Myrtle Beach, South Carolina, Airbnb hosts are subject to multiple lodging taxes including the state accommodations tax of 2%, Horry County accommodations tax of 1.5%, and the North Myrtle Beach city accommodations tax of 2%, totaling approximately 5.5% on gross rental receipts. These taxes apply to short-term rentals of less than 90 consecutive days and are collected from guests at the time of booking, with Airbnb automatically collecting and remitting state and local taxes for most bookings through their platform since 2019. Hosts must register with the South Carolina Department of Revenue and obtain a retail license, filing monthly returns by the 20th of the following month if collecting taxes independently, though properties rented for more than 90 consecutive days to the same guest are typically exempt. Additionally, hosts may need to collect and remit the state sales tax of 6% plus local sales taxes totaling approximately 1-2% depending on the specific jurisdiction, and must maintain detailed records of all rental transactions and tax collections for audit purposes.

Starting an Airbnb in North Myrtle Beach, South Carolina requires approximately $450,000-$550,000 in total initial investment. Property purchase costs average $380,000-$420,000 for a median 3-bedroom condo or beach house suitable for short-term rentals in 2024. Furnishing costs range from $25,000-$35,000 including furniture, appliances, linens, kitchenware, and decor to create an attractive vacation rental. Initial setup expenses total $3,000-$5,000 covering professional photography, listing creation, welcome materials, and basic marketing. Permits and fees include a $200 business license, $150 short-term rental permit from the city, and approximately $500 in various registration and inspection fees. Insurance costs $2,500-$4,000 annually for specialized short-term rental coverage through companies like Proper Insurance or CBIZ. Utilities setup and deposits require $800-$1,200 for electricity, water, internet, cable, and trash services. First six months operating costs total $8,000-$12,000 including utilities ($1,800), cleaning services ($2,400), property management fees if used ($2,000-$4,000), maintenance reserves ($1,000), and platform fees to Airbnb and VRBO ($800-$1,200). Additional considerations include HOA fees averaging $200-$400 monthly and property taxes of approximately $2,000-$3,000 annually.

Airbnb properties in North Myrtle Beach, South Carolina demonstrate strong profitability potential with average annual revenues ranging from $35,000-$65,000 for well-positioned properties, while operating expenses typically run 40-50% of gross revenue including cleaning fees ($75-125 per turnover), property management (15-25%), utilities ($200-400 monthly), insurance ($2,000-4,000 annually), and maintenance costs. Properties within 2-3 blocks of the beach command premium rates of $150-300 per night during peak summer months (June-August), while off-season rates drop to $80-150, resulting in net profit margins of 25-35% for successful operators. Key success factors include proximity to Main Street and beach access, modern amenities like pools and hot tubs, professional photography, dynamic pricing strategies, and maintaining 4.8+ star ratings through exceptional cleanliness and guest communication. Case studies from 2022-2023 show that a typical 3-bedroom oceanside condo generating $55,000 in annual revenue with $22,000 in expenses achieved a 60% profit margin, while inland properties 6+ blocks from beach averaged $28,000 revenue with similar expense ratios, yielding 45% margins. The market benefits from North Myrtle Beach's year-round appeal, golf tourism, and the annual Shag dancing events, though success requires active management and strategic positioning within the competitive vacation rental landscape dominated by established property management companies like Sloane Realty and Elliott Beach Rentals.

Airbnb investments in North Myrtle Beach, South Carolina typically generate annual ROI of 12-18% with cash-on-cash returns ranging from 8-15% depending on property location and management efficiency. Properties within 2-3 blocks of the oceanfront command premium rates of $150-300 per night during peak summer season (June-August) and $80-150 during shoulder seasons, while inland properties average $100-200 and $60-120 respectively. Initial investment recovery typically occurs within 6-8 years for oceanfront properties and 8-10 years for inland locations, with most investors reaching profitability within 18-24 months after accounting for mortgage payments, property management fees (typically 20-25%), maintenance, and local occupancy taxes. The market benefits from consistent demand driven by Myrtle Beach tourism, with average occupancy rates of 65-75% annually, though investors should factor in seasonal fluctuations where summer months may achieve 85-95% occupancy while winter months drop to 30-45%.

STRSearch is a leading national platform that specializes in identifying profitable short-term rental properties for investors, including in North Myrtle Beach, South Carolina. Local real estate agents who focus on Airbnb investment properties in the area include Beach Realty Group, Century 21 The Harrelson Group, and RE/MAX Southern Shores, with agents like Sarah Mitchell and Tom Bradley who have expertise in vacation rental investments. National services that assist investors include Awning (property management and acquisition), RedAwning (vacation rental marketplace and investment tools), Mashvisor (real estate analytics platform), and AirDNA (short-term rental data and market analysis). Local property management companies that also help with acquisitions include Grand Strand Property Management, Coastal Vacation Resorts, and Myrtle Beach Vacation Rentals, which have been operating since the early 2000s and understand the local STR market dynamics. Additional services include BiggerPockets (real estate investment community with STR focus), Roofstock (online real estate investment platform), and local investment groups like the Grand Strand Real Estate Investors Association, which has been active since 2008 and provides networking opportunities for Airbnb investors in the North Myrtle Beach market.