Bar Harbor Short-Term Rental Regulations

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Permit & Licensing

Vacation Rental-1 (VR-1) Registration

The property must be your primary residence. This means investment properties are not eligible for this permit type.

Vacation Rental-2 (VR-2) Registration

This permit type does not require primary residence.

Application Process

Submit the VR-1 application form with the registration fee; property must pass an inspection before the registration card is issued; re-inspection required every 3 years.

Note: Document requirements vary by permit type. See individual permit sections above for eligibility details.

Tax Obligations

Combined rate: 9% of gross rental income.

Collection: Operator, manager, or rental agent must register for and collect Maine sales tax on rentals (self-remit); marketplace facilitators may collect on behalf of hosts.

Rental Limits

Bar Harbor does not impose an annual cap on the number of nights you can rent. Each individual stay must be less than 30 days.

Zoning & Restrictions

Check with local government

Insurance & Safety

Insurance

Bar Harbor does not require short-term rental operators to carry specific insurance. Standard homeowner policies often exclude short-term rental activity, so many hosts obtain dedicated short-term rental or landlord liability coverage.

Safety & Operating Requirements

• Egress window requirements
• Fire extinguisher
• Smoke and carbon monoxide alarms
• Fuel gas detection

Penalties for Non-Compliance

Failure to comply constitutes a violation under the Bar Harbor Land Use Ordinance, enforced by the Code Enforcement Officer.

Compliance Checklist

Follow these steps to legally operate a short-term rental in Bar Harbor:

1. Determine your permit type. Bar Harbor has 2 permit types. Identify which applies to your property (Vacation Rental-1 (VR-1) Registration, Vacation Rental-2 (VR-2) Registration).
2. Meet safety requirements. Egress window requirements. Fire extinguisher. Smoke and carbon monoxide alarms. Fuel gas detection.
3. Apply for your STR permit. Submit application + $275 fee. See permit types above to determine which applies.
4. Register for tax accounts. Set up lodging tax accounts with Maine Revenue Services.
5. Collect and remit taxes. 9% on all bookings.
6. Renew annually. $275 renewal fee.

Frequently Asked Questions

Do you need a permit to run an Airbnb in Bar Harbor?

Yes. Bar Harbor requires a short-term rental permit to operate an Airbnb or Vrbo, and there are 2 permit types — one requires the property to be your primary residence, and another allows non-owner-occupied (investment) use. See the permit types above to find which applies to your property.

How much does a short-term rental permit cost in Bar Harbor?

A short-term rental permit in Bar Harbor costs $275.

Does Bar Harbor require a short-term rental to be your primary residence?

It depends on the permit type. At least one Bar Harbor permit requires the property to be your primary residence, while another allows non-owner-occupied (investment) use — see the permit types above.

How many days a year can you short-term rent in Bar Harbor?

Bar Harbor does not cap the number of nights per year you can short-term rent, though permitting, zoning, and occupancy rules still apply.

What taxes do you pay on a short-term rental in Bar Harbor?

Short-term rental stays in Bar Harbor are subject to a 9% Maine Sales Tax on Rental of Living Quarters. The host is responsible for collecting and remitting it.

What happens if you run a short-term rental without a permit in Bar Harbor?

Failure to comply constitutes a violation under the Bar Harbor Land Use Ordinance, enforced by the Code Enforcement Officer.