OCEAN CITY, Md. – The Ocean City council will hold a first reading tonight at 6 p.m. on a proposal to extend the town’s moratorium on new short-term rental licenses in residential and mobile home areas for another year.
If approved, the extension would move the current expiration date from Jan. 3, 2026, to Jan. 3, 2027. The moratorium, first enacted in February 2025, temporarily halted the issuance of new short-term rental licenses while officials reviewed how these properties affect surrounding neighborhoods.
The issue has been a source of ongoing debate in Ocean City. Supporters say the pause helps protect the character of local communities, while opponents argue it unfairly limits property owners and could impact the town’s tourism-based economy.
A prior ordinance tied to rental restrictions—later overturned by referendum—would have implemented phased minimum stay requirements, starting with five nights in 2025 and rising to 31 nights by 2027.
Council members are also expected to revisit the topic of minimum stay requirements at a future meeting. If the extension passes both readings, the moratorium will remain in effect through early 2027 as officials continue weighing long-term regulations for short-term rentals.
Tune in to CoastTV at 5 and 6 p.m. for further developments.