On April 12, 2021, the Cape Elizabeth Town Council adopted Short Term Rental regulations which become effective July 1, 2021 [Article]. If you list your property on a short-term home-sharing platform like Airbnb, VRBO, or similar websites, or you are renting for a term of less than 30 days, you should be aware of the regulations.
You will need to apply for a Short Term Rental Permit and provide supporting documentation; including a Building Evacuation Plan, depiction of parking onsite, and a Rental Agreement Addendum. Unless the property is 7 acres or more in size, the short term rental applicant will need to demonstrate that they have been granted a homestead exemption for the property. An application for a homestead exemption should be submitted to the Town Assessor. Short Term Rentals are regulated in four Types and only one short term rental is available per property.
TYPE (1 per calendar year)
|HOMESTEAD EXEMPTION||RENTALS PER 7 DAYS||RENTALS PER YEAR|
|Primary Residence Hosted||YES||2||365|
|Primary Residence Unhosted||YES||1||42|
|Seven acre plus Short Term Rental||OPTIONAL||1||182|
|Short Term Rental Adjacent||YES||1||105|