Deep Creek Lake Short-Term Rental Regulations

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Permit & Licensing

Transient Vacation Rental Unit (TVRU) License

This permit type does not require primary residence.

Application Process

Owner registers the property with the Office of Licensing and Enforcement Management (Dept. of Planning & Land Management); a zoning permit is required first if converting an existing dwelling to a TVRU; Garrett County Health Department approval is required (water, septic, pool/hot tub); an inspection of the rental unit is then scheduled; upon approval a biennial TVRU license is issued. Applications expire and become void if not approved and licensed within 1 year of the application date. License renewal fees are billed automatically every two years.

Tax Obligations

Combined rate: 14% combined (8% Garrett County Accommodation/Hotel Rental Tax + 6% Maryland state sales and use tax) of gross rental income.

Collection: Accommodation Tax: self-report/remit monthly to Garrett County once the property is licensed as a TVRU. State sales and use tax: the accommodations provider (host) or accommodations intermediary (booking platform) must register with the Comptroller of Maryland and has a duty to collect and remit the tax.

Filing: Accommodation Tax: monthly reporting to Garrett County once a TVRU is licensed

Rental Limits

Deep Creek Lake does not impose an annual cap on the number of nights you can rent. Each individual stay must be 14 days per rental stay.

Occupancy & Density Limits

Maximum overnight occupancy of 2 persons per bedroom plus 4 additional persons (maximum 8 bedrooms per TVRU, unless a greater number lawfully existed prior to August 5, 2003)

Zoning & Restrictions

TVRU licensing applies only within the Deep Creek Lake Watershed Zoning District; the use must also be a permitted use under the underlying zoning district's terms and conditions. One off-street parking space is required per bedroom (or 1 space per 1.5 bedrooms for shared-lot multi-family/duplex/townhouse developments with 20+ spaces). All living facilities must be in the principal structure; accessory buildings may only be used for storage, a single game/recreation room, or similar incidental uses. A bear-proof trash enclosure/container is required.

Insurance & Safety

Insurance

Deep Creek Lake 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

• Proper egress window for each bedroom; written emergency exit plan; wall-mounted fire extinguisher in the kitchen; operable smoke alarms in each bedroom plus one additional per floor; annual well-water bacteriological testing by a Maryland-certified sampler where applicable; pools/hot tubs/spas maintained weekly by a Maryland-certified operator; one off-street parking space per bedroom; bear-proof trash enclosure and containers with weekly collection; a plan for monitoring/controlling noise and trespassing (standard quiet hours 11:00 p.m.-8:00 a.m.); County Health Department and Licensing/Enforcement agents authorized to inspect the property for compliance.

Penalties for Non-Compliance

Operating a TVRU without a valid license is a misdemeanor. Separately, the Office of Licensing and Enforcement Management may decline to issue, or may suspend or revoke, a TVRU license for false/inaccurate statements, infractions, disturbances, nuisances, failure to monitor, other violations, violation of any law/ordinance/license term, or failure to pay any tax associated with the property or its use as a TVRU.

Platform Requirements

All rental agency firms acting on behalf of TVRU owners must supply the county annually a complete list of all rental properties, the owners represented by that agency, and all emergency contacts for that agency.

Compliance Checklist

Follow these steps to legally operate a short-term rental in Deep Creek Lake:

1. Meet safety requirements. Proper egress window for each bedroom; written emergency exit plan; wall-mounted fire extinguisher in the kitchen; operable smoke alarms in each bedroom plus one additional per floor; annual well-water bacteriological testing by a Maryland-certified sampler where applicable; pools/hot tubs/spas maintained weekly by a Maryland-certified operator; one off-street parking space per bedroom; bear-proof trash enclosure and containers with weekly collection; a plan for monitoring/controlling noise and trespassing (standard quiet hours 11:00 p.m.-8:00 a.m.); County Health Department and Licensing/Enforcement agents authorized to inspect the property for compliance.
2. Apply for Transient Vacation Rental Unit (TVRU) License. Submit application + $450 total for new registration ($50 Zoning Permit Fee, one-time, only if converting an existing dwelling to a TVRU + $50 TVRU License Registration Fee, one-time + $200 TVRU biennial License Fee + $150 Garrett County Health Department Fee) fee.
3. Register for tax accounts. Set up lodging tax accounts with Garrett County Billing & Collections Office, Dept. of Financial Services (Accommodation/Hotel Rental Tax); Comptroller of Maryland (state sales and use tax).
4. Collect and remit taxes. 14% combined (8% Garrett County Accommodation/Hotel Rental Tax + 6% Maryland state sales and use tax) on all bookings.
5. Renew every 2 years. $350 every 2 years ($200 TVRU License Fee + $150 Garrett County Health Department Fee; the one-time $50 Zoning Permit Fee and $50 Registration Fee do not recur) renewal fee.

Frequently Asked Questions

Do you need a permit to run an Airbnb in Deep Creek Lake?

Yes. Operating a short-term rental — including an Airbnb or Vrbo — in Deep Creek Lake requires a Transient Vacation Rental Unit (TVRU) License.

Does Deep Creek Lake require a short-term rental to be your primary residence?

No. Deep Creek Lake allows non-owner-occupied short-term rentals, so investment properties can qualify provided you hold the required permit.

How many days a year can you short-term rent in Deep Creek Lake?

Deep Creek Lake 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 Deep Creek Lake?

Short-term rental stays in Deep Creek Lake are subject to a combined 14% in lodging taxes. This combines 8% Garrett County Accommodation Tax (Hotel Rental Tax) + 6% Maryland State Sales and Use Tax. The host is responsible for collecting and remitting them.

What happens if you run a short-term rental without a permit in Deep Creek Lake?

Operating a TVRU without a valid license is a misdemeanor.