Deep Creek Lake, MD Airbnb & Short-Term Rental Regulations 2026
Everything you need to know about operating a legal short-term rental in Deep Creek Lake, Maryland. Licensing, taxes, zoning, and 2026 compliance requirements.
Deep Creek Lake STR Regulation Overview
Deep Creek Lake is Maryland's premier four-season vacation-rental market, sitting entirely within Garrett County in the state's far western mountains. The area is unincorporated, so rentals are governed by the county rather than any city. Short-term rentals here are well-established and legal, but every operator must hold a Transient Vacation Rental Unit (TVRU) license issued under the county's Chapter 160 ordinance, which has regulated lakeside rentals for years. The framework is structured rather than restrictive: there is no primary-residence requirement and no hard cap on the number of licenses, but units face occupancy limits of two persons per bedroom plus four, a maximum of eight bedrooms, mandatory parking, bear-proof trash, egress, and posted quiet hours. With strong summer-lake and winter-ski demand peaks and premium nightly rates, Deep Creek Lake rewards investors who understand its seasonality and stay current on the 8% county accommodations tax that booking platforms generally don't collect for them.
Deep Creek Lake STR Quick Facts
| STR Legal? | Yes |
| License Required | Yes |
| License Cost | ~$50 zoning permit (watershed district) + biennial TVRU license fee (base fee not published online; confirm with county at 301-334-1981) |
| Lodging Tax | 14% combined |
| Occupancy / Density Caps | Max overnight occupancy of 2 persons per bedroom plus 4 additional persons; a unit may be licensed for no more than 8 bedrooms; rentals limited to periods of 14 days or less; 1 parking space required per bedroom. |
| Primary Residence Required | No |
TVRU License Required
Any property rented on a transient basis must hold a Transient Vacation Rental Unit (TVRU) license from Garrett County Planning & Land Management. Licenses are renewed every two years, with bills mailed to the owner on file; fees are payable by cash or check only. Applications expire if not approved within one year of submission. A zoning permit (around $50) accompanies applications inside the Deep Creek Lake Watershed District.
Occupancy and Bedroom Caps
Maximum overnight occupancy is calculated as two persons per bedroom plus four additional persons. A single unit may be licensed for no more than eight bedrooms. Stays are limited to rental periods of 14 days or less to qualify as transient.
8% County Accommodations Tax
Garrett County imposes an 8% room tax on gross rental receipts, reported and remitted monthly once licensed. Maryland's 6% state sales tax also applies, for about 14% total. A 2025 state law extended the county hotel tax to TVRUs. Airbnb and similar platforms typically collect the state portion but do not collect or remit the county's 8% portion, leaving that responsibility with the host.
Safety and Operating Standards
To pass inspection, units need one parking space per bedroom, code-compliant bedroom window egress, a bear-proof trash container, a posted emergency escape plan, and posted quiet hours from 10 p.m. to 8 a.m. The Health Department also requires Maryland-certified maintenance of any pool, spa, or hot tub and an annual well test. These standards are verified before a license is issued.
Watershed Zoning Overlay
Properties within the Deep Creek Lake Watershed Zoning District (including Lake Residential LR1 and LR2) must obtain a zoning permit, where TVRUs are generally permitted. Much of the surrounding county is unzoned, so no zoning permit is needed there, but the TVRU license and taxes still apply.
No Primary-Residence Rule
Garrett County does not require a TVRU operator to live on-site or use the property as a primary residence, making the market accessible to out-of-area and investor owners. There is also no county-wide cap limiting the total number of TVRU licenses issued.
Deep Creek Lake STR Market Performance
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Frequently Asked Questions
Yes. Short-term rentals are legal throughout the Deep Creek Lake area, which is unincorporated and lies entirely in Garrett County, Maryland. Owners who rent on a transient basis (stays of 14 days or less) must obtain a Transient Vacation Rental Unit (TVRU) license under the county's Chapter 160 ordinance, comply with safety standards, and pay the applicable lodging taxes.
You need a Garrett County Transient Vacation Rental Unit (TVRU) license, administered by the Planning & Land Management Division. The license is renewed every two years and is payable by cash or check. Properties inside the Deep Creek Lake Watershed District also submit a zoning permit (around $50). The county does not publish the base license fee online, so contact Planning & Land Management at 301-334-1981 to confirm the current amount.
Garrett County charges an 8% accommodations (room) tax on gross rental receipts, reported and remitted monthly. Maryland's 6% state sales tax also applies, for roughly 14% combined. Booking platforms usually collect the state portion but typically do NOT remit the county's 8% tax, so hosts must register and pay that directly to Garrett County.
Maximum overnight occupancy is set at two persons per bedroom plus four additional persons. For example, a three-bedroom home tops out at ten guests. Garrett County also caps any single TVRU at eight licensed bedrooms. These limits are enforced through the licensing process and must be reflected in your listing and posted occupancy materials.
No. Garrett County does not impose a primary-residence requirement on TVRU operators, so non-resident and investor owners can operate freely. There is also no county-wide limit on the number of TVRU licenses issued. Owners must still meet inspection standards such as parking, egress windows, bear-proof trash, and posted quiet hours from 10 p.m. to 8 a.m.
Informational only — verify current rules with local authorities before investing. Sources: www.garrettcountymd.gov · www.garrettcountymd.gov · codelibrary.amlegal.com · codelibrary.amlegal.com · mgaleg.maryland.gov
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