Kelleys Island, Ohio

Short-term rentals are legal on Kelleys Island but actively regulated under Village Ordinance 2024-O-23, which replaced the prior 2004 ordinance with modernized requirements. Operators must register annually with the Village Transient Rental Program at a cost of $600 per year. The annual renewal deadline is May 30, and missing it means losing the right to operate legally for that season. New applicants must complete a registration form, obtain a certified home inspection, and obtain a septic inspection (a pump-out receipt alone does not satisfy this requirement). All operators must also secure a Transient Rental Property License from the Erie County Health Department. Operators are required to carry at least $300,000 in personal liability insurance. There is no owner-occupancy or primary-residence requirement, and no maximum annual nights cap was identified, meaning non-resident investors can operate without restriction on nights. On taxes, operators must collect and remit a 4% Erie County lodging tax plus Ohio and Erie County sales tax (7.25% combined). Platforms may collect the state portion automatically, but operators remain responsible for ensuring full compliance. Enforcement severity is rated moderate. The compliance burden includes annual registration, multiple inspections, insurance documentation, county licensing, and tax remittance, all of which should be factored into operating cost planning.