Short-Term Rentals on Nantucket: What Owners and Buyers Need to Know

Short-term rentals have long been part of the Nantucket experience. From classic shingled cottages to modern in-town condos, renting homes for a week or a month has helped homeowners offset carrying costs while giving visitors a true island lifestyle. In recent years, however, Nantucket has tightened oversight, and understanding the rules is now essential for anyone buying, owning, or operating a rental property.

Below is a clear, practical guide to how short-term rentals work on Nantucket today and what you should be thinking about before listing or purchasing a property.

What Counts as a Short-Term Rental on Nantucket?

On Nantucket, a short-term rental (STR) is defined as the rental of a dwelling for 31 days or fewer. This applies to single-family homes, multi-family properties, and condominium units.

Whether the property is owner-occupied or investor-owned, STR activity is regulated at the local level and must comply with both town rules and any private restrictions tied to the property.

Nantucket’s STR Registration Requirement

Anyone offering a property as a short-term rental must obtain a Short-Term Rental Certificate of Registration from the Town of Nantucket Board of Health.

Key points to know:

  • STR certificates are mandatory for all rentals of 31 days or fewer

  • Certificates must be renewed annually

  • Current fee is $250 per rental unit

  • A local contact must be available to respond within two hours

  • Liability insurance is required

  • Registration numbers must be posted inside the unit and included in all advertising

Operating without a valid certificate can result in fines, enforcement actions, and suspension of rental privileges.

STR Rules vs. Condo and HOA Restrictions (Critical to Understand)

This is where many buyers get caught off guard.

Even if a property is properly registered with the Town of Nantucket, private restrictions may still prohibit short-term rentals.

Under Massachusetts General Laws Chapter 183A, condominium owners must comply with the recorded master deed and bylaws governing their association. These documents often include:

  • Minimum rental periods

  • Prohibitions on rentals under 30 or 31 days

  • Limits on the number of rentals per year

  • Approval or registration requirements with the association

If the condo documents prohibit short-term rentals, the private restriction overrides your STR registration.

Bottom line: A town-issued STR certificate does not give you the right to rent short-term if your condo or HOA documents say otherwise.

Why Due Diligence Matters More Than Ever

Before purchasing a property with rental income in mind, it is essential to review:

  • Zoning and use allowances

  • STR registration history

  • Condo master deed and bylaws

  • HOA rental rules and amendments

  • Prior enforcement or complaints

This review should happen before closing, not after. Nantucket is a sophisticated market, and mistakes here can be expensive.

STRs and Property Value on Nantucket

Properly permitted and compliant short-term rentals often command a premium because of their income potential. Homes with a proven rental history can:

  • Offset ownership costs

  • Support higher valuations

  • Attract lifestyle-driven buyers

That said, properties with unclear or restricted rental rights should be priced accordingly. Transparency matters, and buyers today are far more educated about STR rules than they were even a few years ago.

Final Thoughts

Short-term rentals remain a powerful tool for Nantucket homeowners, but they are no longer casual or informal. Compliance, documentation, and professional guidance are essential.

If you are considering buying, selling, or registering a short-term rental on Nantucket, the smartest move is to get clear answers early and structure your ownership correctly from day one.

If you want help reviewing STR eligibility, condo documents, or rental potential for a specific property, reach out anytime at sean@thekalmanco.com.

Sean Kalman

Kalman & Co. — Nantucket Real Estate

Helping buyers and sellers find their place on the island. Luxury service, local insight, and a little bit of that “Living the Dream” magic.

Expert guidance on Nantucket homes, markets, lifestyle, and investments.

Let’s make your dream address happen.

https://Thekalmanco.com
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