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Ocean Shores

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Ocean Shores, WA

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Ocean Shores, Washington skyline

STR Regulations for Ocean Shores, Washington

Overview: Are Short-Term Rentals Allowed in Ocean Shores?

  • Yes. In the City of Ocean Shores (incorporated city), short-term rentals (rentals for fewer than 30 consecutive days) are allowed, but only in commercial zoning districts. The City imposes a business license and a 5% lodging tax on such rentals.
  • Grays Harbor County also allows short-term rentals under County code within several unincorporated zoning districts. If your property is within the City of Ocean Shores, City rules apply; if it’s in unincorporated Grays Harbor County, County rules apply.

How to Start a Short-Term Rental Business in This Market

If the property is inside the City of Ocean Shores:

  • Confirm zoning. Overnight rentals are permitted only in commercial zones.
  • Obtain a City of Ocean Shores business license ($50).
  • If a Fire Department inspection is required for your lodging setup, budget an additional $50 inspection fee.
  • Collect and remit the 5% lodging tax on transient rentals (rentals <30 consecutive days). The lodging tax is reported to the Washington Department of Revenue and passed through to the City.
  • Assess whether additional city permits or safety measures are needed (e.g., building, fire, special events, signage, etc.) based on your property’s specific use and layout.
  • For tsunami preparedness, provide guests with evacuation information. FEMA V‑1011 tsunami preparedness materials and local tsunami evacuation maps are available through the County (see resources below).

If the property is in unincorporated Grays Harbor County:

  • Confirm zoning. STRs are a permitted use in multiple districts (General Development G‑1 and G‑5, General Residential R‑2, Resort Residential R‑3, Rural Residential RR, Lake Quinault LQ, and General Commercial C‑2).
  • Complete a three-step County process:
    1. Site Plan Review Application (must be completed first).
    2. Obtain any other required permits/approvals identified in Step 1.
    3. Short-Term Rental Permit Application (annual renewal required at least 30 days prior to expiration).
  • Ensure compliance with all applicable state and local health, safety, and building regulations.
  • Understand enforcement procedures and use the County’s reporting tools if issues arise (contact information and reporting link provided below).
  • Consider adopting a property management plan and emergency preparedness (e.g., tsunami evacuation guidance) for guest safety.

Required Documents, Permits, Licenses, and Guidelines

City of Ocean Shores (incorporated):

  • Business License (Finance Department). Annual fee $50.
  • Fire Department inspection, if required (additional $50 fee).
  • Lodging tax compliance (5% transient lodging tax on rentals <30 days; remitted via Washington DOR and passed through to the City).
  • Other operational considerations (e.g., signage, noise, special events permits, building permits if applicable). Consult City departments as needed.

Grays Harbor County (unincorporated):

  • Site Plan Review Application (Step 1).
  • Related permits/approvals identified in Step 1 (Step 2).
  • Short-Term Rental Permit Application (Step 3). Annual renewal required at least 30 days before expiration.
  • Compliance with state and local health, safety, and building regulations; County code (GHCC 17.06.020 – Short-term rentals) governs STRs.
  • Submittal resources include the STR Submittal Checklist, example floor plans, and example property management plan.
  • Emergency preparedness resources (tsunami evacuation maps and FEMA V‑1011).

Specific Regulations

City of Ocean Shores:

  • Zoning: Overnight rentals allowed only in commercial zones.
  • Taxes: 5% lodging tax on transient rentals (<30 days), collected by the operator and remitted to the state, which passes it through to the City.
  • Business licensing: $50 annual fee; $50 Fire Department inspection fee when applicable.
  • Noise, safety, and building requirements may apply; consult relevant City departments.

Grays Harbor County:

  • Allowed zoning districts (with a valid STR permit): G‑1, G‑5, R‑2, R‑3, RR, LQ, C‑2.
  • Permit process: Site Plan Review (Step 1); Related permits/approvals (Step 2); STR Permit Application (Step 3). Annual reapplication/renewal required.
  • STR Permit not required if an STR was approved under a Conditional Use Permit or Planned Unit Development prior to March 22, 2022 (Ordinance 469).
  • Reporting: Concerns can be reported online or by phone; see enforcement resources below.
  • Emergency preparedness: Guests should receive tsunami-related safety information; evacuation maps and FEMA V‑1011 materials are available.

State-level context (Washington):

  • Definitions and insurance requirements are governed by Washington law (RCW 64.37). Operators must follow all applicable state and local regulations. Use this as general context and confirm specific obligations with local authorities.

Contact Information

City of Ocean Shores:

Grays Harbor County Planning Division:

Links to Source Pages (City + County)

Notes for Investors:

  • Always confirm your property’s exact jurisdiction (City vs. County) and zoning before proceeding.
  • City rules are controlling for properties within the City of Ocean Shores; County rules are controlling for properties in unincorporated Grays Harbor County.
  • Given Ocean Shores’ coastal location, integrate emergency preparedness (e.g., tsunami evacuation plans and guest instructions) into your operating procedures.
Ocean Shores

Market Saturation Score

036912
High Saturation
10/ 12
months with declining YoY revenue
8–10 declining months: high saturation - supply likely outpacing demand.
View Full Ocean Shores Market Analysis →

Photos of Ocean Shores

Overview of Ocean Shores

Ocean Shores, WA, is a picturesque coastal city situated on a narrow peninsula in Grays Harbor County, Washington. As of the latest census, it has a population of approximately 6,000 residents. Ocean Shores is located about 133 miles southwest of Seattle, which is the nearest major city.

Renowned for its scenic beauty and serene environment, Ocean Shores offers a variety of attractions and activities that draw visitors year-round, making it an appealing destination for short-term rentals. The city is bordered by the Pacific Ocean to the west and features a network of interconnected lakes and waterways that are perfect for boating and fishing.

One of the city's most prominent landmarks is the North Jetty, which provides stunning views of the ocean and opportunities for bird-watching and beachcombing. For more information, you can visit the Ocean Shores North Jetty.

Another key attraction is the Ocean Shores Convention Center, a hub for various events and gatherings, often including conferences, trade shows, and community activities.

Visitors can also explore the Ocean Shores Beach, a vast expanse of sandy shore perfect for walking, picnicking, and flying kites. Additionally, the Damon Point State Park offers excellent trails for hiking and bird-watching.

For those interested in local history and wildlife, the Coastal Interpretive Center provides an educational experience with exhibits on the area's natural and cultural heritage.

Given its natural attractions, peaceful setting, and proximity to major urban centers, Ocean Shores is an ideal location for short-term rentals catering to vacationers, nature enthusiasts, and those looking for a coastal retreat.

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