As the Southold Town Board works on a new plan to grant a limited number of short-term rental permits via a lottery, the town issued a warning to landlords of existing rentals this week: “Owners of properties without a valid rental permit will not be eligible to apply for a short term rental permit.”
Pictured Above: Members of Southold’s Short-Term Rental Task Force at the Town Board’s Jan. 29 Code Committee meeting, as they began drafting the new short-term rental code.
Short-term rentals, defined by the town of rentals of less than 14 consecutive nights, are currently illegal under town code.
“Southold officials have ramped up enforcement efforts using a program that identifies both illegal short-term rentals and properties operating without a valid rental permit,” according to a public notice issued by the town April 27. “Recent fatal incidents on the East End have underscored the importance of compliance with New York State and local fire and safety codes through periodic inspections and a valid rental permit.”
Beginning in 2025, the town began using new software, Rentalscape by Deckard Technologies, which enables it to know the length and price of rentals booked on short-term rental websites, and find out in real time when short-term tenants are arriving and leaving the properties, enabling town code enforcement officers to better document and issue citations for the illegal use.
“This is an essential step in safeguarding the health, safety and quality of life for everyone who lives in or visits Southold,” said Southold Town Supervisor Al Krupski.
According to the announcement, “within the next two weeks, the Town Attorney’s office will notify owners of properties lacking a valid rental permit. Recipients are encouraged to respond within thirty days; failure to do so may result in fines and enforcement actions.”
“Property owners may either apply for a rental permit or cease rental activity and remove the listing from all platforms,” the announcement continues. “Owners in violation who do not receive a notice should contact the Southold Town Building Department at 631.765.1802.“
The announcement also notes that the rental of “any parcel amenity, accessory use or yard area, including pools, barns (except for storage-only purposes), sports courts or waterway access,” is also prohibited “without a permitted rental unit occupancy.”
The Town Board’s Code Committee has been meeting regularly with the town’s Short-Term Rental Task Force since January 2026 to draft the new lottery system, and is expected to have a draft code ready for public hearing this year.
The Code Committee is looking into changing the definition of short-term rentals to rentals of fewer than 30 consecutive nights, and providing a limited number of two-year permits to qualified property owners through a lottery system.
Town data showed that, as of August of 2024, 985 properties were being used illegally as short-term rentals, as the town’s legal and code enforcement staff found it difficult to enforce the code due to staffing and difficulty documenting the duration of the rentals in court.
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