Comparent
RestrictedCity

Short-Term Rental Regulations
in Ocean City, NJ

Last verified: March 2026 · Report an update

Zoning & Conditions

Short-term rentals are subject to a mandatory Mercantile License/Rental Registration and a 3% short-term rental tax. The city has previously implemented moratoriums on STR licenses in certain residential zones, and all rentals must adhere to the annual registration period (July 1 through June 30).

How to Obtain a Permit

1. Complete the Rental Registration form (Mercantile License). 2. Submit the form via email to licensing@ocnj.us or mail it to the City of Ocean City at 115 12th Street. 3. Ensure registration is renewed annually for the license period (e.g., 7/1 to 6/30).

Regulatory Updates — Ocean City

Proposed and recent legislation

Under ReviewJanuary 2025

Residential Area STR Moratorium Status Review

Ocean City reviewed the status of its moratoriums on STR licenses in certain residential areas, deciding to maintain existing moratoriums while evaluating whether to extend them to additional neighborhoods with growing STR density.

PassedJune 2024

Mercantile License Renewal Compliance Enforced

Ocean City increased enforcement of annual Mercantile License renewals for STR operators, suspending rental activity for properties found operating without a current license during summer enforcement sweeps.

PassedMarch 2024

3% STR Tax Audit Program Expanded

Ocean City expanded its audit program for the 3% short-term rental tax, targeting direct-booking operators who have not registered with the city's tax collection system and operators using platforms that do not automatically remit.

Official Resources

Official Ocean City STR regulation source

Local Resources & Advocacy

Vacation Rental Management Association (VRMA)National

National trade association providing advocacy and compliance resources for vacation rental professionals in New Jersey Shore markets navigating Ocean City's moratorium framework.

New Jersey Association of RealtorsStatewide

Statewide real estate organization monitoring STR ordinances across New Jersey's Shore communities and advocating for property owner rights where moratoriums are in effect.

Ocean City Regional Chamber of CommerceLocal

Local business organization representing Ocean City's Shore hospitality economy, monitoring STR moratorium policy for its impact on vacation rental accommodation supply.

Frequently Asked Questions

Are short-term rentals allowed in Ocean City, NJ?
Short-term rentals are subject to a mandatory Mercantile License/Rental Registration and a 3% short-term rental tax. The city has previously implemented moratoriums on STR licenses in certain residential zones, and all rentals must adhere to the annual registration period (July 1 through June 30).
Is a permit required to operate a short-term rental in Ocean City?
Yes, a permit is required to operate a short-term rental in Ocean City. 1. Complete the Rental Registration form (Mercantile License). 2. Submit the form via email to licensing@ocnj.us or mail it to the City of Ocean City at 115 12th Street. 3. Ensure registration is renewed annually for the license period (e.g., 7/1 to 6/30).
How do I get a short-term rental permit in Ocean City?
1. Complete the Rental Registration form (Mercantile License). 2. Submit the form via email to licensing@ocnj.us or mail it to the City of Ocean City at 115 12th Street. 3. Ensure registration is renewed annually for the license period (e.g., 7/1 to 6/30).
Is my Ocean City neighborhood subject to an STR moratorium?
Possibly. Ocean City has implemented moratoriums on new STR licenses in certain residential areas and is reviewing whether to expand them. Contact Ocean City's license office to confirm whether your specific neighborhood is currently subject to a moratorium before attempting to register.
What is the 3% STR tax in Ocean City and how do I remit it?
Ocean City imposes a 3% tax on all short-term rental revenue. Major platforms like Airbnb and Vrbo may remit this automatically — verify your platform's coverage. For direct bookings, you must self-register and remit monthly. Failure to remit triggers back-tax assessments.
What is a Mercantile License and why do I need one?
A Mercantile License is Ocean City's business license required for all commercial rental activity, including STRs. It must be renewed annually. Operating without a current Mercantile License during summer enforcement sweeps results in suspension of rental activity.
Comparent

Looking for property managers in Ocean City, NJ?

Compare top-rated short-term rental managers on Comparent — read reviews, see pricing, and find the right fit.

View Property Managers

Disclaimer

This information is for general reference only and may not reflect the most current regulations. STR regulations change frequently. Always verify requirements with official local government sources before operating a short-term rental.

Last verified: March 2026 · Suggest a correction