Understanding STR laws in Friday Harbor, Orcas, Lopez & the outer islands
Navigating the World of STRs
Thinking about hosting in San Juan County? Rules here blend Washington State law with local county and town requirements — plus some unique island-by-island limits. This guide keeps it simple, accurate, and actionable.
First Things First: Washington State Rules
These apply across all counties:
-
What counts as STR
Any rental of a dwelling for less than 30 consecutive nights. -
Insurance
Operators must carry $1,000,000 in liability insurance (or use a platform that provides it). -
Safety info
You must post guest safety information: operator/manager contact, floor plan and exits, occupancy limits, and emergency contacts. -
Taxes
STR income is subject to WA retailing B&O tax and sales tax. You must also collect/remit lodging taxes where required. A UBI (business license) is mandatory.
Quick Look: San Juan County Snapshot
| Requirement | Detail |
|---|---|
| Permit | Required for all STRs under 30 days. |
| Compliance | Annual Certificate of Compliance (Oct–Dec). Fee: $145 online / $160 paper. |
| Permit Caps | San Juan – 337; Orcas – 211; Lopez – 135; Outer Islands – 10. Shaw & Waldron: STRs prohibited. |
| Exempt Zone | Eastsound Village Commercial (no permit needed, but still regulated). |
| Advertising | Ads must display permit/compliance #. Fines start at $2,300. |
Deep Dive: San Juan County Code (SJCC 18.40.275)
Occupancy & Parking
-
Max overnight occupancy: 2 guests per bedroom + 3 (age >2).
-
Minimum 1 on-site parking space per bedroom.
Property Standards
-
One STR per property outside UGAs (main house or one ADU). Detached ADUs built after June 29, 2007 can’t be used as STRs.
-
Rules of Conduct: must prohibit trespass, noise, off-site parking, speeding (20 mph paved / 15 mph non-paved), and outdoor burning.
-
Waste: secure storage, hauled every 2 weeks.
-
Burn ban status must be posted.
-
Address visible from road; smoke/CO alarms and fire extinguishers required.
Neighbor & Management Requirements
-
Designate a local (on-island) 24/7 contact.
-
Provide Rules of Conduct to all neighbors within 300 feet.
-
Post rules + property boundary map inside rental.
Permits & Compliance
-
Permit # must be in all ads.
-
Annual Certificate of Compliance required (even if “inactive”). Missed filings can mean penalties or revocation.
Town of Friday Harbor
STRs prohibited in single-family and multi-family residential zones. If your parcel is connected to Town water/sewer, you cannot get a county STR permit.
Taxes & Fees
-
Local lodging (hotel/motel) tax:
-
San Juan County: 2%
-
Town of Friday Harbor: 2%
These are in addition to WA state sales tax + B&O tax.
-
Compliance Checklist for Hosts
- Get WA UBI and register with Dept. of Revenue
- Carry $1M liability insurance
- Apply for County STR permit (unless Eastsound Commercial zone)
- Designate a local 24/7 contact
- Provide Rules of Conduct to neighbors within 300 ft
- Post rules + property boundary map in rental
- Follow occupancy & parking limits
- Maintain safety gear and post burn ban status
- Display permit # in ads
- File annual Certificate of Compliance ($145–$160)
- Confirm you are not in Town of Friday Harbor residential zones
Why It Matters
San Juan County is one of the most regulated STR markets in Washington. The combination of island-specific permit caps, strict neighbor-notification rules, and annual compliance checks means hosts must stay organized. But once you’re approved, you’re competing in a limited-supply market which can drive higher nightly rates and occupancy compared to counties without caps.
