STR Regulations

Door County, WI Airbnb & Short-Term Rental Regulations 2026

Everything you need to know about operating a legal short-term rental in Door County, Wisconsin. Licensing, taxes, zoning, and 2026 compliance requirements.

Updated 2026 Moderate for STR investors

Door County STR Regulation Overview

Door County is Wisconsin's premier peninsula getaway, and its short-term rental landscape is shaped by a two-layer system. At the state level, Wisconsin's Right-to-Rent law (Wis. Stat. 66.1014) guarantees owners the ability to rent for stays of seven days or longer in any zone, while a Wisconsin DATCP "tourist rooming house" license is mandatory for any property rented to transients more than ten nights a year (the underlying ATCP 72 rules were updated in 2026, including a revised fee schedule). On top of that, nearly every town and village, from Ephraim and Egg Harbor to Baileys Harbor, Sister Bay, and Sturgeon Bay, has adopted its own STR licensing ordinance with annual fees, occupancy caps, parking standards, and often a seven-night minimum. Operators are also subject to an 8% Tourism Zone room tax collected through the county. Despite the regulatory patchwork, demand for waterfront cottages and village rentals remains strong and highly seasonal, making Door County one of the Midwest's most established vacation-rental markets for owners willing to navigate local compliance.

Door County STR Quick Facts

STR Legal?Yes
License RequiredYes
License CostLocal town/village license (e.g. Village of Ephraim $200 initial, renewed annually) plus a mandatory Wisconsin DATCP tourist rooming house license; the state license fee is set in the ATCP 72 fee schedule (updated in 2026) and varies by occupancy/term, so confirm the current amount with DATCP.
Lodging Tax~13.5% combined (8% room tax + 5% state sales tax + 0.5% county sales tax)
Occupancy / Density CapsNo confirmed countywide numeric cap or moratorium. Under Wis. Stat. 66.1014, for rentals of more than 6 but fewer than 30 days a municipality may limit a property to no fewer than 180 rental days per year, but it cannot ban rentals of 7 consecutive days or longer. Several towns impose a 7-night minimum stay plus occupancy and parking limits; some towns are actively weighing tighter density/licensing rules.
Primary Residence RequiredNo

Wisconsin Right-to-Rent Preemption

Under Wis. Stat. 66.1014, no Door County town or village may ban the rental of a residence for seven consecutive days or longer in any zoning district. For rentals of more than 6 but fewer than 30 days, a local government may cap total rental days at no fewer than 180 per year.

State Tourist Rooming House License

Wisconsin requires a DATCP (or agent-county) tourist rooming house license for any dwelling rented to transients for more than 10 nights in a 12-month period. The license involves a pre-opening inspection and an annual fee set under the ATCP 72 fee schedule, which was updated in 2026; confirm the current fee with DATCP or your county agent.

Town and Village Licenses

Each Door County municipality administers its own STR ordinance and license. The Village of Ephraim charges a $200 initial fee renewed annually by November 30, while Egg Harbor, Baileys Harbor, Clay Banks, Gibraltar, Liberty Grove, Nasewaupee, Sevastopol, Sister Bay, Sturgeon Bay, and others maintain separate applications and fees. Always confirm requirements with the specific town where the property sits.

8% Tourism Zone Room Tax

The Door County Tourism Zone Commission levies an 8% room tax (effective January 2022) on stays under 30 days, collected by owners and remitted county-wide via monthly reports. At least 70% funds tourism promotion and 30% goes to the host municipality.

Minimum Stays and Occupancy Limits

Many towns enforce a seven-night minimum during peak periods to align with state preemption thresholds, plus occupancy caps tied to bedroom count and on-site parking minimums. Some towns also tie occupancy to septic capacity. Noise and nuisance standards are actively enforced.

Sturgeon Bay Dual Permit

Operators in the City of Sturgeon Bay must obtain a tourist rooming house permit from the City and register with the Door County Tourism Zone Commission, making it one of the more procedurally involved jurisdictions on the peninsula.

Door County STR Market Performance

$305Avg Nightly Rate
42%Avg Occupancy
$45K+Avg Annual Revenue

📊 See how Door County compares across 58 STR markets →

Frequently Asked Questions

Yes. Short-term rentals are legal across Door County. Wisconsin's Right-to-Rent law (Wis. Stat. 66.1014) prevents any town or village from banning rentals of seven consecutive days or longer in any zone. However, operators must obtain a state tourist rooming house license and comply with the specific licensing ordinance of the town or village where the property is located.

Yes, typically two. You need a Wisconsin DATCP tourist rooming house license if you rent more than 10 nights a year, plus a local STR license from your specific town or village. Fees vary; the Village of Ephraim, for example, charges a $200 initial fee renewed annually. Sturgeon Bay also requires registration with the Door County Tourism Zone Commission.

Guests pay roughly 13.5% combined: Wisconsin's 5% state sales tax, the 0.5% Door County sales tax, and the 8% Door County Tourism Zone room tax on stays under 30 days. The Village of Sister Bay adds a 0.5% Premier Resort Area Tax. Owners collect these and remit the room tax through the county Tourism Zone Commission via monthly reports.

There is no confirmed countywide numeric cap or moratorium, and state law protects rentals of seven days or longer. For rentals of more than 6 but fewer than 30 days, a municipality may limit the property to no fewer than 180 rental days per 365-day period. Several towns also impose seven-night minimum stays and occupancy limits, and some are considering tighter rules, so check your specific town's current ordinance.

No. Door County does not impose a primary-residence requirement for short-term rentals, so non-owner-occupied and investor-owned vacation homes are permitted. This has fueled significant STR growth, with hundreds of new rentals added since 2018, though some towns are weighing tighter density and licensing rules in response.

Informational only — verify current rules with local authorities before investing. Sources: doorcountytourismzone.com · action.wra.org · datcp.wi.gov · docs.legis.wisconsin.gov · doorcountypulse.com

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