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Is Airbnb legal in Orange Beach, Alabama?

Legal with a $500 vacation rental license. Orange Beach runs its own vacation rental ordinance with a $500 license application fee. Applicants sign an affidavit certifying the property meets fire, building, and safety codes, and must maintain a local property manager available at all times. The combined lodging tax is 13%: 4% state, 2% Baldwin County, 7% city.

Showing the researched rules for Orange Beach, AL below. Type your Orange Beach address to jump to the verdict.

Legal with permit

Legal with a $500 vacation rental license

Orange Beach runs its own vacation rental ordinance with a $500 license application fee. Applicants sign an affidavit certifying the property meets fire, building, and safety codes, and must maintain a local property manager available at all times. The combined lodging tax is 13%: 4% state, 2% Baldwin County, 7% city.

Permit and costs

Permit
Vacation Rental License
Issued by
City of Orange Beach
Cost
$500 application fee
Renewal
Annual

Key limits

Night cap
None
Safety certification
Affidavit of fire, building, and safety code compliance required
Local manager
Local property manager must be available at all times
License display
License number must appear in all advertising

Taxes

Combined lodging tax
13% (4% state, 2% Baldwin County, 7% city)

Registration checklist

  1. 1
    Apply for the city license
    File the vacation rental license application with the signed safety affidavit and $500 fee.
  2. 2
    Designate a local manager
    Name a local property manager who is reachable at all times for issues or emergencies.
  3. 3
    Register for lodging taxes
    Register with the state, county, and city to collect and remit the 13% combined lodging tax.

What could change this verdict

Your HOA
Condo and HOA documents set their own minimum stays and rental rules.
Designated areas
Short-term rentals are permitted in designated areas with noise, parking, and occupancy rules.

Sources

Proper Insurance Alabama STR regulations · City of Orange Beach new business tax rates (official PDF)

Rules researched October 2026. They change, so verify with the city before you buy.

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Verify before you buy. Rules change often and vary by zoning, HOA, and building type. This is a research starting point, not legal advice. Always confirm with the city's planning or business-license office before signing anything.