Lincoln City, Oregon Short Term Rental Regulations Guide for Airbnb hosts

Overview: Are Short-Term Rentals Allowed in Lincoln City, OR?

Yes, short-term rentals are allowed in Lincoln City, Oregon but with significant restrictions and caps. STRs are permitted in specific zoning districts, subject to comprehensive land use, building, and licensing requirements. The city has implemented strict caps on the number of STR licenses in residential zones, with both primary residential zones currently at maximum capacity.

What do Airbnb hosts actually earn in Lincoln City?

Lincoln City hosts earn a median $50,117/year with $265 ADR and 64% occupancy.

Top performers pull in $76,166+ per year.

See the full Lincoln City market breakdown

How to Start a Short-Term Rental Business in Lincoln City

1. Zone Analysis and Pre-Application Research

Before purchasing or converting any property, you must first determine if STRs are allowed in your desired location. Lincoln City permits STRs in the following zones:

Commercial Zones (No Caps):

General Commercial (GC)
Recreation Commercial (RC)
Nelscott Business District (NBD)
Taft Village Core (TVC)
Nescott Mixed Use (NBMU)
Oceanlake Main Street (OP MSH)
Oceanlake Oceanfront (OP OF)

Residential Zones (Strict Caps in Place):

Single-Unit Residential (R1-5) - Cap: 194 licenses (CURRENTLY REACHED)
Single-Unit Residential Roads End (R1-RE) - Cap: 91 licenses (CURRENTLY REACHED)

2. Application Process for New STR License

For Commercial Zones:

Submit complete Lincoln City Short Term Rental Application Packet
Complete fire inspection with North Lincoln Fire & Rescue ($100 fee)
Designate a local representative with 24/7 response capability
Pay applicable licensing fees
Await inspection and approval

For Residential Zones (R1-5 and R1-RE):

Applications are currently suspended due to reached caps
Monitor city announcements for availability
Consider joining waitlists when opens

3. Required Documentation and Forms

Core Application Documents:

Lincoln City Short Term Rental Application Packet
Lincoln City STR Local Representative Form
Lincoln City STR Change in Local Representative Form (if applicable)
Credit Card Authorization Form
Log for STR Representative
Lincoln City Fireworks Poster (safety requirement)

Required Documents, Permits, Licenses, and Guidelines

City-Level Requirements (Lincoln City)

1. Business License and Zoning Compliance:

STR License from Planning & Community Development
Zoning verification for permitted use
Compliance with density requirements

2. Safety Inspections:

Fire inspection by North Lincoln Fire & Rescue District #1
Safety compliance verification
Reinspection if violations found

3. Local Representative Requirements:

Must designate local contact person
24/7 response capability within reasonable time
Contact information must be posted at property

4. Insurance and Liability:

Proof of liability insurance (amount varies by property type)
Property insurance verification

County-Level Requirements (Lincoln County - Unincorporated Areas)

For properties outside city limits:

Separate Lincoln County STR license required
$900 new application fee, $650 renewal
Regional caps and waitlist system
Different inspection requirements

Specific Regulations for Short-Term Rentals

City of Lincoln City Regulations

Occupancy Limits:

Maximum occupancy calculated based on sleeping areas
Two persons per sleeping area, maximum 12 persons total
Sleeping areas must meet egress standards

Operational Requirements:

No STR advertising without valid license
Local contact must be available 24/7
Emergency contact information required
Compliance with all city codes and ordinances

Zoning-Specific Rules:

Commercial zones: No occupancy caps beyond safety standards
Residential zones: Strict density limits and caps in place
No signs permitted for STRs in residential zones (AG, AGR, R-1 through R-8)

Property Maintenance:

Regular maintenance standards apply
Waste management requirements
Parking regulations must be followed

Lincoln County Regulations (Unincorporated Areas)

Regional License System:

Seven geographic regions with individual caps
License availability varies by region
Waitlist system when caps reached

Inspection Requirements:

Safety standards compliance
Septic system evaluation where applicable
Multiple inspection opportunities

Operational Standards:

24/7 local contact requirement
Noise and disturbance limitations
Parking and waste management standards

State of Oregon Regulations

While Oregon has relatively permissive state-level regulations for STRs, local jurisdictions maintain significant authority:

Transient Room Tax: Applicable to all short-term rentals
Building Safety: All properties must meet state building codes
Health Regulations: Compliance with state health department requirements
Tax Collection: State requirements for tax collection and remittance

Contact Information for Local Authority

City of Lincoln City - Planning & Community Development

Primary Contact:

Address: City Hall, Third Floor, 801 SW Hwy 101, Lincoln City, OR 97367
Phone: 541-996-2153
Website: lincolncity.org

STR Application Specialist:

Austin Hull, Assistant Planner
Phone: 541-996-1227
Email: ahull@lincolncity.org

Fire Inspection Authority:

North Lincoln Fire & Rescue District #1
Address: 2525 NW Hwy 101, Lincoln City OR 97367
Phone: (541) 996-2233
Website: nlfr.org/short-term-rental-inspection

Lincoln County - Sheriff's Office (Unincorporated Areas)

Licensing Authority:

Address: Lincoln County Courthouse, 225 W Olive Street, Room 203, Newport, OR 97365
Phone: 541-265-0675
Email: sheriffstrlicensing@co.lincoln.or.us

Business Hours:

Monday through Thursday, 8 am to Noon and 1 pm to 5 pm

Complaint Hotline:

24/7 Complaint Hotline: 541-265-0666
Non-Emergency Dispatch: 541-265-0777

Links to Source Pages

Primary Regulatory Pages:

Application Forms:

Regulatory Background:

Oregon Coast Vacation Rental Analysis

Investment Considerations and Market Reality

Current Market Status (as of late 2025):

Commercial zone STRs remain available for licensing
Residential zone caps have been reached in both R1-5 and R1-RE zones
High demand for STR licenses in residential areas creates competitive waitlists
Strong tourism market supports viable STR operations in compliant zones

Key Investment Risks:

Regulatory changes may further restrict STR operations
Zoning caps may prevent expansion in desirable residential areas
Compliance requirements continue to evolve
Competition from legal lodging establishments

Success Factors:

Properties in commercially zoned areas offer best licensing availability
Professional property management essential for compliance
Investment in safety and guest experience yields better returns
Understanding and proactive compliance with all regulations critical

This regulatory environment requires careful due diligence and ongoing compliance management, but viable opportunities exist for compliant operators, particularly in commercially zoned properties.

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Ask the AI Advisor about Lincoln City

Lincoln City sits along the central Oregon Coast in Lincoln County, with a population of roughly 9,700 residents. The city stretches along U.S. Route 101, the iconic Pacific Coast Highway, and is known for its seven miles of sandy beaches, a long-running glass-blowing tradition, and the popular Chinook Winds Casino. It functions as a gateway to the rest of the central Oregon Coast and serves as a base for travelers exploring the rugged shoreline between Newport and Tillamook. The nearest major city is Portland, located about 80 to 90 miles to the northeast, a drive of roughly two hours depending on traffic and route.

Cascade Head is one of the most distinctive natural landmarks just north of Lincoln City, rising sharply from the ocean and carpeted in old-growth forest and coastal meadows. The headland is managed as a National Scenic Research Area and offers a handful of hiking trails with sweeping views over the Salmon River estuary and the Pacific. The lower trailheads are roughly 10 to 15 minutes from the center of town, and the upper reaches of Cascade Head are a quiet counterpoint to the busier beaches below.

In the heart of town, Devils Lake is a freshwater lake that draws anglers, kayakers, and paddleboarders, especially in summer. A public boat launch and a network of paths run along its edges, making it a relaxed alternative for visitors who want a break from the ocean air. Just inland from the beach, Siletz Bay is one of the most scenic spots in the area, with calm water, a small public fishing area, and frequent sightings of herons, seals, and bald eagles. The bay's estuary supports a long-running charter and sport-fishing scene.

Roughly 25 miles south of Lincoln City, the coastal city of Newport adds another layer of appeal for visitors staying in the area. Its historic bayfront is lined with fishing boats, seafood markets, and galleries, while attractions such as the Oregon Coast Aquarium and the Hatfield Marine Science Center draw families year-round. The drive between Lincoln City and Newport is one of the most scenic stretches of Highway 101, passing through Depoe Bay and its famous whale-watching waters along the way.

Together, these features make Lincoln City a natural anchor for a short-term rental on the Oregon Coast. The combination of beachfront access, easy day trips to Cascade Head and Newport, and a mild climate that supports year-round visitation gives the city broad appeal to couples, families, and outdoor travelers looking for an authentic stretch of the Pacific shoreline.