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Christopher Young
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Any agents here familiar with STR zoning laws for Charleston SC

Christopher Young
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Posted Nov 10 2022, 13:41

Hey BP fam, Im considering Charleston to start my STR journey. From what I've read it looks like Cannonborough-Elliotborough is the only zoning area for out of state investors. Just wondering if anyone can confirm this? also if anyone has STRs themselves in Charleston, how is it going for you? Thanks !

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Michael Baum
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Michael Baum
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Replied Nov 10 2022, 21:00

Hey @Christopher Young, did you call the city to find out? They should have all the info you need.

You can start here and go from there - https://www.charleston-sc.gov/...

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Troy Gandee
  • Real Estate Broker
  • Charleston, SC
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Troy Gandee
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  • Charleston, SC
Replied Nov 11 2022, 03:28

@Christopher Young I think you're referring to the STR overlay. That's in the Canonborough-Elliotborough area, but it's just a sliver in those neighborhoods. In order to operate an STR full time with no owner-occupancy restrictions, the property must be in the overlay and also zoned commercial. It's pretty difficult to find a property that checks both boxes. There are quite a few listed, but they're expensive. They're trading as more of a hotel than a residential rental.

City of Charleston has 3 "zones" and the STR overlay. You can technically STR in any of the zones, but they all have degrees of owner-occupancy restrictions, permitting restrictions, etc. Downtown is obviously where the cashflow would be the highest, but there are quite a permitting/zoning restrictions to overcome there. The City's website has some really helpful maps and information. We can certainly help you, but just wanted you to know that it is pretty difficult unless you've got the resources to basically buy a boutique hotel.

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Fiza Ah
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Fiza Ah
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Replied Nov 11 2022, 05:38
Quote from @Christopher Young:

Hey BP fam, Im considering Charleston to start my STR journey. From what I've read it looks like Cannonborough-Elliotborough is the only zoning area for out of state investors. Just wondering if anyone can confirm this? also if anyone has STRs themselves in Charleston, how is it going for you? Thanks !


Prices in the STR zone are bloated and would produce a 6-8 cap after mortgage and PM fees. I wouldn't advise trying STR in Charleston until prices go to a reasonable level

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Jacob D Adamczak
  • Charleston, SC
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Jacob D Adamczak
  • Charleston, SC
Replied Nov 11 2022, 05:46

@Christopher Young I created a sheet showing the current STR rules per town in charleston and surrounding areas. Its pretty helpful to tell you where you can and cant STR. I have several in the area so I am familiar with navigating these rules. Happy to send the sheet to you and talk further about where STR's may be a good buy.

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Christopher Young
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Christopher Young
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Replied Nov 11 2022, 06:25
Quote from @Troy Gandee:

@Christopher Young I think you're referring to the STR overlay. That's in the Canonborough-Elliotborough area, but it's just a sliver in those neighborhoods. In order to operate an STR full time with no owner-occupancy restrictions, the property must be in the overlay and also zoned commercial. It's pretty difficult to find a property that checks both boxes. There are quite a few listed, but they're expensive. They're trading as more of a hotel than a residential rental.

City of Charleston has 3 "zones" and the STR overlay. You can technically STR in any of the zones, but they all have degrees of owner-occupancy restrictions, permitting restrictions, etc. Downtown is obviously where the cashflow would be the highest, but there are quite a permitting/zoning restrictions to overcome there. The City's website has some really helpful maps and information. We can certainly help you, but just wanted you to know that it is pretty difficult unless you've got the resources to basically buy a boutique hotel.

@Troy Gandee, Thanks Troy, I appreciate that in-sight. Im interested in a few markets to get started in but after my trip to Charleston this summer, it was for sure high on my list of places to start. Ill be sure to reach out if I circle back on Charleston. 

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Troy Gandee
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  • Charleston, SC
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Troy Gandee
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Replied Nov 11 2022, 06:28

@Christopher Young No problem. The bar for entry is pretty high these days. We're saturated with STRs. I'd suggest one of the more beachy communities. They're always more STR friendly. The prices are pretty similar anyways. It all depends on your resources. Feel free to reach out.

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Christopher Young
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Christopher Young
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Replied Nov 11 2022, 06:30
Quote from @Jacob D Adamczak:

@Christopher Young I created a sheet showing the current STR rules per town in charleston and surrounding areas. Its pretty helpful to tell you where you can and cant STR. I have several in the area so I am familiar with navigating these rules. Happy to send the sheet to you and talk further about where STR's may be a good buy.@Jacob D


 @Jacob D Adamczak , Hey Jacob thanks for the response. That sheet would be much appreciated to reference. Im curious what size property's you operate and what size has had the best COCRoi for you?

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Jacob D Adamczak
  • Charleston, SC
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Jacob D Adamczak
  • Charleston, SC
Replied Nov 11 2022, 09:33

Message me your email address and Ill send it!  

I have found that downtown and around the beaches, you want bigger properties with the max amount of beds possible to sleep the max amount of people. These properties are going to be expensive and in high demand like troy mentioned. However in the outskirts like west Ashley, north Charleston, and Hanahan, the best performing homes are the 1 and 2 bedroom homes, ADU's, or condos that offer affordable nightly stays. These properties are often cheaper and easier to get into as an an average homeowner would rather buy the 3 and 4 bedroom houses. This will appeal to single travelers, couples, working professionals, and often longer medium term stays (30 days +) for traveling nurses and workers. These are also people who tend to take better care of the units as its really hard to throw a party in a one bedroom house so those looking to do that book elsewhere. With the popularity of airbnb, more and more people are trying to air bnb 3 or 4 bedroom houses in neighborhoods. Not only do you have to deal with these suburb neighbors, these dont stay booked as often as there is a lot of competition and there are more affordable options or more desirable options available. In order to make this type of place work, you really need to stand out. This would mean pools/hot tubs, game rooms, nice outdoor spaces, views, etc.

I am an agent an would be happy to help you look for deals around here, set you up on a search, and send you the airbnb calculators I use as well.

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Jacob D Adamczak
  • Charleston, SC
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Jacob D Adamczak
  • Charleston, SC
Replied Nov 11 2022, 09:33

@Christopher Young^