Current Airbnb Laws and Regulations in Delaware – What Hosts Need to Know

Dover, Delaware

Places Strict Regulations on STR Hosts

New regulations in Dover will limit hosts when it comes to operating your vacation rental business. In a previous ordinance, the city defined short-term rentals as rentals of 30 days or less, however, the new ordinance only allows you to rent your home for a total of 30 days in a calendar year. These strict Airbnb laws and regulations are still under debate, as local hosts express concerns. 

The city feels as if these regulations are a compromise stating, “This Ordinance recognizes that short-term rentals are an economic asset, allowing for increased travel, visitation, and tourism and affording property owners of the opportunity to earn revenue from such occupancy while setting forth the purposes and establishing regulations to ensure that such uses do not create public safety risks or become nuisances.” 

Some of the new regulations include: 

• Owners must have a short-term rental license. 
• Owners must be permanent residents of Dover and live in the home when they are not renting it out. 
• The number of guests should never exceed double the amount of rooms. (For example, a three-bedroom house has a maximum of six people). 
• Owners cannot rent their homes for more than 30 total days in a calendar year.

The Ordinance further elaborates on these regulations stating:  

• The Owner of the property being offered as a Short-Term Rental Use must be a resident of the City of Dover and such owner may offer for Short-Term Rental Use only that property which is the owner’s primary residence. 
•  Property not owned by a resident of the City of Dover shall not be used for Short-Term Rental Use. Such property shall not be used for overnight accommodations unless such property qualifies as a Bed and Breakfast Inn. 
•  The Owner has the responsibility to not knowingly allow any illegal or criminal activity on the property nor permit the guests to create a public nuisance.  
• The Owner of any dwelling proposed for a Short-Term Rental Use must obtain an annual Short-Term Rental Use license. An inspection by the City of Dover code enforcement office shall be required to determine compliance with property maintenance and all other applicable codes. The inspection shall be required the first time a license is issued and may be required at renewal at the discretion of the code enforcement office. 
•  The ordinance establishes standards for occupancy, parking, signage, special events, and information required to be provided to guests.

Wilmington, Delaware

Approves New Regulations

On June 11^th, 2024 the Wilmington Town Council approved new regulations which include a cap on the number of short-term rentals to 150.  Wilmington aims to preserve neighborhoods and maintain a good relationship with rental properties, so to protect the relationship they urge all owners and landlords to understand the application process and abide regulations.  Please visit the Wilmington website for more information and to stay up to date.  

The following regulations are in place:

• Business License: A local and state business license is required to operate as a short-term rental.
• Safety: Windows, walls, ceilings, floors, hallways, stairs and landings must be secure and sound. Electricity, mechanical and plumbing must also be properly installed and working with all unused gas lines capped. The kitchen must have appropriate ventilation, lighting and outlets.
• Fire Protection: Smoke detectors and carbon monoxide detectors are required in the unit. This includes bedrooms, common areas, basements and cellars. This will be observed in the inspection aspect of the application.
• Bathrooms: Must have hot and cold running water at each fixture, proper lighting, ventilation and working outlets.
• Exterior: Regulations currently include lawn maintenance, sound structures such as chimneys, stairways, porches, decks, balconies, fences and more.
• Inspection: Every unit must undergo an inspection to operate as a short-term rental.