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Generally Investor friendly
STRs are clearly allowed with a supportive tone and published guides, but investors must obtain three licenses (state DATCP TRH, county DCTZC permit, and Liberty Grove STR license), pass a state inspection, and file room taxes monthly; occupancy is capped by septic capacity and municipal rules may add caps or limits, making compliance moderate but manageable.
Local STR Agent
STR specialist · Ellison Bay, WI
Ellison Bay is a small unincorporated community on the Door Peninsula in Door County, Wisconsin, situated along a sheltered inlet on the bay of Green Bay. With only a few hundred year-round residents in the immediate area, the village has the feel of a quiet harbor settlement, and it functions as a seasonal hub for artists, sailors, and travelers exploring the upper reaches of Door County. It is best known as a launching point for Washington Island and the surrounding Lake Michigan shoreline, and it lies roughly 130 miles northeast of Green Bay, the nearest major city, an approximately two-and-a-half-hour drive around the bay.
Just minutes north of town, Newport State Park sprawls across more than 2,300 acres of forested ridges, wetlands, and eleven miles of Lake Michigan shoreline. As Wisconsin's only designated wilderness state park, it offers backcountry camping, hiking and cross-country ski trails, and a quiet pebble beach that feels a world away from the busier parks to the south. The park's trailheads sit roughly a ten-minute drive from the heart of Ellison Bay.
A short drive farther north brings visitors to the tip of the peninsula and the Washington Island Ferry dock at Northport, in the Town of Liberty Grove. The roughly half-hour ferry crossing delivers travelers to Washington Island, a community of around 700 residents known for its Scandinavian heritage, lavender farms, and the unusual Schoolhouse Beach, where smooth limestone slabs line the Lake Michigan shore. From Ellison Bay, the drive to the ferry landing takes about fifteen minutes.
Off the northern tip of the peninsula lies Death's Door, the treacherous strait that separates the Door Peninsula from Washington Island and gave Door County its name. Long associated with shipwrecks and early exploration, the passage is a focal point of local maritime lore and remains a popular area for kayaking and sailing in calmer weather.
Ellison Bay's appeal as a short-term rental base lies in this combination of small-village atmosphere and proximity to some of the most distinctive landscapes in the upper Midwest. Visitors can return each evening to a working harbor community with art galleries, small inns, and quiet water views, while remaining within easy reach of wilderness, island, and maritime experiences. For travelers seeking a Door County stay that feels removed from the busier towns to the south, Ellison Bay offers an inviting balance of seclusion, scenery, and seasonal activity.