Short Term Rentals
UPDATE: May 13, 2026
Town Council held a public hearing on May 6, 2026, and will consider on second reading the new Chapter 1020 Short Term Rental Registration as well as the proposed changes to Chapter 405 Zoning Ordinance.
UPDATE: April 6, 2026
Town Council considered the Chapter 405 Zoning Ordinance changes at first reading on April 1st, 2026. The item was moved forward to public hearing at Planning Board on April 13, 2026.
UPDATE: March 20, 2026
The draft Chapter 1020 Short Term Rental Registration Ordinance was considered at Council for First Reading on March 18, 2026. The next step is for Council to consider the Chapter 405 Zoning Ordinance changes that are currently drafted to accompany the registration ordinance. First reading is scheduled for April 1st, 2026.
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DRAFT CHAPTER 405 ZONING ORDINANCE PROPOSAL FOR CONSIDERATION: The draft short-term rental proposal includes two parts, the Registration Ordinance and amendments that would be required to Chapter 405 Zoning Ordinance to add and define two new uses shown below: Short-Term Rental (Owner Occupied): A short-term rental that is occupied by the owner(s) as their primary residence when any part of the dwelling or accessory structures are rented as a short-term rental. For the purposes of this section, the owner(s) do not have to be present during the short-term rental occupancy. If the owner of the property is an entity other than an individual or individuals, then at least one principal or member of the owner entity must identify the residential dwelling as their primary residence. Short-Term Rental (Non-Owner Occupied): A short-term rental that is not occupied by its owner(s) as their primary residence when any part of the dwelling or accessory structures are rented as a short-term rental. The draft proposal also establishes which zoning districts the two uses are permitted in and specific conditions and performance standards that would apply. Owner occupied str’s are permitted in residential districts with special exception approval, in the same manner as home occupations. Owner occupied str’s are permitted by right in the Village and Commercial Districts. Non-owner occupied str’s are not permitted in residential districts, unless they are in the proposed Coastal Beach Zone overlay. The proposed Coastal Beach Zone includes properties approximately ½ mile from the coastline, including Pine Point, Prouts Neck, Ferry Beach, Higgins and properties along Spurwink Road. Non-owner occupied str’s are permitted in the Village and Running Hill Districts with a special exception and by right in Commercial Districts PROPOSED TIMELINE:
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UPDATE: March 9, 2026
Short term rentals were considered again at Ordinance Committee on March 5, 2026. View the staff presentation from March 5, 2026. The Ordinance Committee voted to move an amended draft Chapter 1020 and Chapter 405 as presented on to the full Council for First Reading on March 18, 2026.
Please see the upcoming Town Council agenda for more information and contact Autumn Speer, Planning Director for more information or to provide comments.
Background
The Town of Scarborough is considering the creation of a Short-Term Rental Ordinance. Scarborough is one of few neighboring communities who do not have an ordinance already, but does have a Planning & Code Enforcement Policy, "'Airbnb' Use of or Within Dwelling Units". A Short-Term Rental (STR) Ordinance will establish regulations and tracking of STRs in Scarborough. In September 2023, the Ordinance Committee began the process of understanding what other communities are doing, what is effective, what if anything should be done and how big is the issue locally. Through a series of public meetings, staff and committee reviews, we are at the final steps in presenting a draft Registration ordinance to the Ordinance Committee for review in September.
The revised proposed draft requires annual registration and includes a simplified safety inspection and Good Neighbor Ordinance acknowledgement. Having this registration in place will allow the Town to cross reference complaints with known short term rental addresses and allow our Public Safety teams to be better prepared when responding to service calls at these locations.
Timeline
July 13, 2023: Ordinance Committee reviewed short term rentals (View recording)
September 14, 2023: Ordinance Committee reviewed short term rentals (View recording)
November 2, 2023: Council Corner Live on short term rentals (view details below)
June 26, 2024: Short Term Rentals Town Council Workshop (View recording)
September 11, 2024: Draft Short Term Rental Registration ordinance to be presented to the Ordinance Committee
September 2024 - Spring 2025: Planning Staff will work with stakeholders to further refine a proposal to bring before Council in early 2025.
April 3, 2025: Staff met with a group of stakeholders on April 3, 2025. (View recording)
April 11, 2025: LRPC Review - Moved to forward with no comment
Late April 2025: Engage Services to determine existing rentals on public sites and create direct mailing list to send public meeting notification
May 15: Stakeholder meeting/workshop 5:00-6:30 pm in the Public Safety Classroom Click here to watch
May 15 - July 1: Public Comment Period
July 9, 2025: Ordinance Committee Review - The Ordinance Committee tabled the item until September 10, 2025 with a request for a registration only ordinance review.
September 10, 2025: Ordinance Committee Review - Registration only
October 8, 2025: Ordinance Committee review - Registration and Inspection
October 15, 2025: Town Council First Reading - Ordinance failed to move forward with a 3:3 vote
February 11, 2026: Ordinance Committee Review
March 5, 2026: Ordinance Committee review and Vote to move to full Town Council
Public Engagement
Council Corner Live
November 2, 2023
While Scarborough's coastal neighborhoods have long been a vacation destination, there is an increasing perception that the number of short-term rentals have sharply increased over the last five years and expanded into non-traditional rental neighborhoods. Many second home owners have long used rental income to offset property taxes and the cost of up-keep, but concerns are growing that the boom in rental properties are driving increasing real estate prices and that a lack of oversight may be cause for safety concerns or more frequent disturbances in otherwise quiet residential neighborhoods.
Should Scarborough regulate these properties? Should they implement registration or licensing? Should they require inspections for public health and safety? Should the Town cap how many days, weeks or months a home owner can rent a property? Should there be a minimum stay required? How do we even propose to define short term rental? All of these questions and more will be discussed. The Council welcomes your input and feedback.
Resources
STR Presentation July 13, 2023 (PDF)
STR Presentation September 14, 2023 (PDF)
STR Presentation Workshop June 26, 2024 (PDF)