Chestertown, MD

  • Overview
  • Performance
  • Listings
  • Buy Box

Key Performance Metrics

Market snapshot

Performance indicators for the Chestertown short-term rental market based on reliable data.

Listings

170 / 283

Reliable / Active

Cap Rate

8%

Middle-Earners Gross Yield

Revenue

$32,952

Middle-Earners Revenue

Occupancy

44%

Middle-Earners Occupancy

Home Value

$394,387

Median Home Sale Price

Top Earners

$77,862

Top-Earners Revenue

Chestertown

Market Revenue Seasonality

Top Listings

Highest revenue

The highest-performing listings in Chestertown.

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C

Challenging to Investors

Chestertown Regulations

Short-term rentals are explicitly prohibited for ADUs in residential districts, and the town lacks a clear town-wide STR licensing framework, leaving principal dwellings to rely on a county license plus 5% county and ~6% state hotel taxes. This ambiguity, coupled with strict performance standards (owner-occupancy, 90‑day minimum for ADUs) and potential inconsistent enforcement, creates meaningful compliance risk and constraints for investors.

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About Chestertown

Chestertown is a small historic town in Kent County, Maryland, set on the banks of the Chester River on the state's Eastern Shore. With a population of roughly 5,000, it has the feel of a quiet, walkable college town layered over a deep colonial past, with brick sidewalks, restored 18th-century storefronts, and a waterfront that draws sailors, birders, and weekenders. The town is best known as one of the oldest ports in Maryland and as the home of Washington College, and it serves as a gateway to the broader Eastern Shore's farms, rivers, and Chesapeake Bay shoreline. It sits about 75 miles east of both Baltimore and Washington, D.C., reached by a scenic drive across the Chesapeake Bay Bridge and through the rural landscapes of Queen Anne's and Kent counties.

The historic downtown is the town's centerpiece, a compact grid of Georgian and Federal-era buildings clustered around a central park and the river. Many of the structures date to the late 1700s and early 1800s, and the district is on the National Register of Historic Places, giving visitors an unusually intact sense of what a colonial Chesapeake port once looked like. Independent bookstores, antique shops, and waterfront restaurants fill the old storefronts, and a weekly farmers' market and seasonal festivals keep the streets lively through much of the year.

A short walk from the center of town, Washington College anchors Chestertown's intellectual and cultural life. Founded in 1782, it is the tenth-oldest college in the United States and counts George Washington as a benefactor, with a surviving letter of thanks on campus. Its riverside grounds, public lectures, art exhibitions, and athletic events draw visitors who might not otherwise make the drive out to the Eastern Shore.

Just south of town, Eastern Neck National Wildlife Refuge covers most of a low-lying island at the mouth of the Chester River where it meets the Chesapeake Bay. About a 20-minute drive from downtown, the refuge protects more than 2,000 acres of tidal marsh, forested swamp, and farmland and is a major stopover for migratory waterfowl, bald eagles, and, in summer, nesting ospreys. A short drive-and-walk loop offers easy access for casual visitors, while longer paddling routes appeal to kayakers.

For travelers, Chestertown is a natural base for exploring the upper Eastern Shore, with the Sassafras River, the small harbor town of Rock Hall, and the Chesapeake Bay beaches near Betterton all within roughly a half hour. That mix of preserved history, a real college-town rhythm, and easy access to some of the most unspoiled bay shoreline in Maryland gives the town a steady, year-round appeal that translates well into short-term-rental demand from history-minded weekenders, parents visiting students, and travelers building a longer Eastern Shore loop.

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