Short-Term Rental Rules in Mexico Beach, Florida

Short-Term Rental Rules in Mexico Beach, Florida

Mexico Beach STR compliance usually involves city-level business licensing and zoning checks, plus county/state tax requirements for transient lodging.

Rules summary

Are short-term rentals allowed?

Short‑term rentals are common in Mexico Beach, but permissibility can be zoning‑dependent and affected by HOA/condo rules. Confirm your address is inside Mexico Beach city limits and verify the applicable zoning district before listing.

Where is it regulated?

Primarily City of Mexico Beach (zoning + occupational licensing) plus Bay County (Tourist Development Tax administration) and Florida DBPR (state vacation rental licensing where applicable).

Registration or license

Mexico Beach states that businesses operating within city limits need an Occupational License (licenses run Oct 1–Sep 30). Many whole‑home STR operators also need a Florida DBPR vacation rental license depending on property type and how it’s offered.

Local taxes

Expect Florida sales tax (6%) plus the Bay County discretionary sales surtax (1%) where applicable. Bay County also levies a Tourist Development Tax (5%) on transient stays; the county notes Airbnb/VRBO generally do not remit this tax on your behalf—confirm platform collection and register/file directly if required.

Fees

City occupational license fees vary by business classification—confirm the current fee schedule with City Hall. Separate state/county accounts or licenses (DBPR, tourist tax) may have their own application and renewal fees.

Occupancy and parking

Verify occupancy, parking, noise/quiet hours, and trash rules under Mexico Beach code and any HOA/condo documents. Treat these as enforceable operating requirements, especially in peak season.

Minimum stay

No citywide minimum‑stay rule was located in the city’s public guidance. Confirm whether your zoning district, HOA/condo rules, or any local ordinance imposes a minimum stay.

Enforcement and penalties

Verify enforcement process and penalties for operating without required approvals.

What to do next

• Confirm whether the property is inside Mexico Beach city limits and identify the parcel’s zoning district.
• Contact Mexico Beach City Hall to confirm occupational license requirements and any STR-specific operating rules for your zoning district.
• Determine whether your rental requires a Florida DBPR vacation rental license and obtain it before operating (if applicable).
• Set up Bay County tourist tax registration if required and confirm whether your booking platform collects/remits each tax component.
• Review HOA/condo bylaws and any rental addendums for caps, minimum stays, guest rules, and fines.

FAQ

Official sources

• City of Mexico Beach – Occupational Licenses & Beach Vending Applications (license requirement + term dates)
• City of Mexico Beach – Occupational License Form (PDF)
• City of Mexico Beach – Ordinances (document library)
• City of Mexico Beach – Land Development Code (PDF)
• Bay County Tourist Development Tax (TDT) – FAQ / registration portal (rate + filing guidance)
• Florida DBPR – Guide to Vacation Rental Licensing (Hotels & Restaurants)
• Florida DOR – Discretionary Sales Surtax Rates (Bay County rate)
• Bay County, FL – Short‑Term Vacation Rental Inspections (unincorporated program reference)

Last verified: 2025-12-21. Rules and fees can change. Confirm directly with the relevant authority and any HOA or condo association.

Mexico Beach STR Market Context

Mexico Beach is a small, incorporated Gulf-front community in Bay County that sits between Panama City Beach and Port St. Joe. STR demand is typically seasonal (spring/summer and holidays), with many guests looking for a quieter beach trip compared with the larger resort markets nearby. The housing stock is a mix of single‑family homes, townhomes, and condo-style properties, so HOA/condo rules can be a major “yes/no” gate for STR use. Because the city is compact, a key first step

for investors is confirming whether a specific address is inside Mexico Beach city limits and what zoning district applies—zoning, neighborhood rules, and property restrictions can materially change what is allowed. Operationally, coastal insurance and storm hardening costs can be a meaningful line item, and you’ll want to plan for wind/flood exposure, evacuation downtime, and higher maintenance requirements. Day-to-day compliance tends to revolve around guest behavior (parking, noise, trash) and having clear local contacts for issues. Finally, treat lodging taxes as a workflow: confirm which taxes your platform collects and which accounts you must register and file yourself.

What makes this market different

• Smaller, quieter market than nearby resort hubs—seasonality is pronounced.
• Jurisdiction and zoning matter: confirm city limits + zoning district before assuming STR use is allowed.
• Coastal operating costs can be higher (insurance, wind/flood mitigation, storm-related downtime).
• County lodging tax compliance can require owner action—verify platform remittance versus direct filing.
• HOA/condo restrictions can be the tightest constraint—get the exact governing documents.

Investor tip: treat compliance as a first-pass filter. Verify property-specific rules before finalizing purchase assumptions.

Short-Term ROI Calculator in Mexico Beach

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