Short-Term Rental Regulations
in Old Lyme, CT

Airbnb listings are allowed in Old Lyme, CT, but with restrictions. Transient occupancy is limited to 2 weeks followed by a 2-week absence. Bed & Breakfasts are limited to 4 rooms and 14-day stays, while Tourist Homes allow up to 6 rooms and 30-day stays; both require a maximum of 2 persons per room and prohibit cooking facilities in guest rooms. A permit is required before you can host. These rules apply to all short-term rental platforms (Airbnb, Vrbo, Booking.com, etc.) — not just Airbnb specifically. See the official source linked on this page for full requirements. Last verified 2026-05-14.

Transient occupancy is limited to 2 weeks followed by a 2-week absence. Bed & Breakfasts are limited to 4 rooms and 14-day stays, while Tourist Homes allow up to 6 rooms and 30-day stays; both require a maximum of 2 persons per room and prohibit cooking facilities in guest rooms.

Yes, a permit is required to operate a short-term rental in Old Lyme. 1) Determine classification (e.g., Bed & Breakfast, Tourist Home, or Letting of Rooms). 2) For Bed & Breakfasts, submit a Special Permit application and site development plan per Section 13; for letting of rooms, apply for a Zoning Permit and Certificate of Zoning Compliance. 3) Ensure compliance with fire and sanitary codes and maintain occupancy records.

1) Determine classification (e.g., Bed & Breakfast, Tourist Home, or Letting of Rooms). 2) For Bed & Breakfasts, submit a Special Permit application and site development plan per Section 13; for letting of rooms, apply for a Zoning Permit and Certificate of Zoning Compliance. 3) Ensure compliance with fire and sanitary codes and maintain occupancy records.

Vrbo is permitted in Old Lyme, CT under the same restrictions that apply to Airbnb — local rules govern the rental itself, not the specific platform. You must hold a valid permit before hosting on Vrbo. Last verified 2026-05-14.

Short-term rental hosts in Old Lyme are typically responsible for lodging, occupancy, and applicable sales taxes — these usually apply even where hosting is allowed without a permit. Rates and remittance rules vary by jurisdiction (state, county, and city can each levy a share); confirm the current rates with the official source linked on this page. Platforms such as Airbnb and Vrbo collect some taxes automatically, but the host remains liable for any not collected on their behalf.

We are not currently tracking any recent short-term rental ordinance changes for Old Lyme. STR rules change frequently — verify the current requirements with the city or county before listing, using the official source linked on this page.