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Short-Term Rentals in Chapel Hill, NC (2026)

7 verified short-term rentals rules for Chapel Hill, North Carolina, sourced directly from the municipal code and official government pages.

Verified from official government sources

Short-Term Rental Permits

Every Chapel Hill short-term rental used more than 14 days a year needs a town-issued STR permit, renewed annually, with dedicated STRs in multifamily buildings capped at two units or 3 percent, whichever is greater, under Land Use Management Ordinance Sec. 6.27.4. No dwelling may be rented short-term without one.

Chapel Hill Short-Term Rental Permit Requirements

Significant Restrictions

Chapel Hill Land Use Management Ordinance § 6.27.4

(a)A short-term rental (STR) permit shall be assigned to each residential dwelling unit that satisfies the requirements of this section and is used as a primary residence STR or dedicated STR for more than fourteen (14) days per calendar year. A permit number shall be assigned to each STR, and the permit number shall be clearly noted in any rental advertisements.(b)STR permits shall be renewed ...

Noise Rules

Short-term rentals in the Town of Chapel Hill must follow the same noise limits as any other residence. Land Use Management Ordinance section 6.27.5(d) pulls the Code of Ordinances Chapter 11, Article III noise regulations directly into the STR rules, banning unreasonably loud noise, especially at night, that seriously interferes with a neighbor's reasonable use of their property.

Chapel Hill Short-Term Rental Noise Rules

Some Restrictions

Chapel Hill Land Use Management Ordinance § 6.27.5(d)

(d)Noise. The noise regulations set forth in Chapter 11, Article III of the Code of Ordinances shall apply to short-term rentals. Among other requirements, Article III regulates nuisance noises and makes it unlawful to create, cause, or allow the continuance of any unreasonably loud noise, particularly during nighttime, which interferes seriously with neighboring residents' reasonable use of th...

Taxes & Fees

Chapel Hill short-term rental hosts owe the Town's three percent room occupancy tax under Code of Ordinances Section 19-11, on top of state sales tax and personal property tax. The Land Use Management Ordinance's Section 6.27.5(h) makes STR operators responsible for the transient occupancy tax and every other applicable tax and fee.

Chapel Hill Short-Term Rental Occupancy Tax

Some Restrictions

Chapel Hill Code of Ordinances § 19-11; Land Use Management Ordinance § 6.27.5(h)

The Town of Chapel Hill hereby imposes and levies a room occupancy tax of three (3) percent of the gross receipts of any person, firm, corporation, or association derived from the rental of any room lodging or similar accommodation subject to the sales tax levied by the State of North Carolina under G.S. 105-164.4(3). ... (h)Taxes. Short-term rental operators are responsible for paying the stat...

Short-Term Rental Parking Rules

Every short-term rental in the Town of Chapel Hill must provide one off-street parking space per bedroom plus one extra space. Land Use Management Ordinance section 6.27.5(e) sets that per-STR minimum and folds in the town's general parking regulations at LUMO section 5.9, so hosts cannot rely on street parking to meet the standard.

Chapel Hill Short-Term Rental Parking Rule

Some Restrictions

Chapel Hill Land Use Management Ordinance § 6.27.5(e)

(e)Parking. One parking space per bedroom plus one parking space should be provided for each STR. Each STR is further subject to the parking regulations in LUMO Section 5.9.

Occupancy Limits

Chapel Hill caps overnight occupancy at a short-term rental at two people per bedroom plus two more, not counting children under 12, under Land Use Management Ordinance Sec. 6.27.5(b). The limit must be posted inside the rental and listed on every hosting-platform listing.

Chapel Hill Short-Term Rental Occupancy Cap

Some Restrictions

Chapel Hill Land Use Management Ordinance § 6.27.5(b)

(b)Maximum Overnight Occupancy. The overnight occupancy shall not exceed two (2) persons per bedroom plus two (2) additional persons, excluding children under twelve (12) years of age. The occupancy limit shall be posted prominently within the short-term rental and be included in property listings on hosting platforms.

Host Presence Rule

In the Town of Chapel Hill, a primary residence short-term rental with an accessory apartment or duplex unit may rent out more than one dwelling unit on the same zoning lot to separate parties at the same time only when the STR operator is physically onsite. Land Use Management Ordinance section 6.27.5(a)(2) ties that flexibility directly to the host's presence, distinguishing owner-occupied STRs from dedicated rentals, which face a stricter simultaneous-rental ban.

Chapel Hill Short-Term Rental Host-Presence Rule

Some Restrictions

Chapel Hill Land Use Management Ordinance § 6.27.5(a)(2)

(2)Operators of primary residence STRs consisting of single-family residences with an accessory apartment or a duplex unit on the same lot may rent the single-family dwelling unit, the accessory apartment, or one dwelling unit in the duplex as a short-term rental. The simultaneous rental of more than one dwelling unit on the zoning lot to more than one party under separate contracts is permitte...

Primary-Residence-Only Rule

Chapel Hill's short-term rental ordinance defines a 'primary residence' as the dwelling where the host lives at least 183 days a year, and states its purpose as preventing residential units from converting into dedicated short-term rentals and prohibiting dedicated STRs in residential neighborhoods and historic districts, under Land Use Management Ordinance Secs. 6.27.2 and 6.27.3.

Chapel Hill Short-Term Rentals: Primary Residence Rule

Significant Restrictions

Chapel Hill Land Use Management Ordinance §§ 6.27.2(d)-(e), 6.27.3

(d)Maintain housing opportunities for full-time residents by preventing the conversion of residential units into dedicated short-term rentals.(e)Reduce nuisances to full-time residents by prohibiting dedicated short-term rentals in residential neighborhoods and the historic districts. ... Primary residence: A dwelling unit, a single-family dwelling unit with accessory apartment, or a dwelling u...

Looking for Orange County county-wide rules?

County ordinances apply to unincorporated areas and may supplement Chapel Hill city rules.

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