Galveston is one of Texas’s most popular beach destinations, and short-term rentals are big business here. But before you make a decision, there are important things to know—from local regulations to neighborhood factors to risk management. Use this guide to make better-informed choices and avoid surprises.
🏡 1. Not All Areas of Galveston Allow Short-Term Rentals
One of the biggest misconceptions buyers make is assuming they can operate a short-term rental anywhere on the island. The truth? Certain neighborhoods and subdivisions have deed restrictions or HOA rules that do not allow STRs at all.
Whether you're eyeing a canal-front home in Jamaica Beach or a beachside beauty in Pirates Beach, each community has its own regulations. Before making an offer, it’s critical to work with a local agent who knows which areas are STR-friendly and which aren’t.
👉 At GTX Realty Group, we stay up to date on neighborhood rules to help our clients find the right investment property—without surprises later.
📝 2. You Must Register Your STR With the City of Galveston
Once you’ve purchased your property, the City of Galveston requires you to register it if you plan to operate it as a short-term rental (any rental less than 30 consecutive days).
Here’s what that includes:
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Applying through the city’s STR registration portal
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Paying an annual registration fee
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Displaying your registration number on all listings (Airbnb, VRBO, etc.)
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Maintaining local contact information in case of complaints or emergencies
➡️ You do not need to register before purchasing a home. That step comes after closing.
⚠️ 3. There Are Ongoing Compliance Requirements
After registering, you’ll need to:
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Collect and remit Hotel Occupancy Taxes (state and local)
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Adhere to occupancy limits based on square footage and bedroom count
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Ensure quiet hours, trash schedules, and parking rules are followed
Violations can result in fines or even revocation of your STR registration.
📍 4. Location Matters—A Lot
Your ROI and guest experience will depend on where the home is located. Here are just a few Galveston hotspots that allow STRs and consistently perform well:
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Beachside Village – High-end, walkable, beachfront homes
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Pointe West – Bay and beach homes/condos with resort-style amenities
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The Strand / East End Historic District – Walkable to downtown attractions
But each of these neighborhoods has its own vibe, price point, and guest demographic. That’s where having a local agent makes all the difference.
💡 Final Thoughts: Let a Local Expert Help You Navigate It All
Buying a short-term rental in Galveston can be a profitable and exciting investment—but only if you do it right from the start. From understanding zoning to navigating HOA rules to maximizing your rental income, there’s a lot more to STRs than just buying a beach house.
👋 I’m Ashley Marquez, a Galveston local and owner of GTX Realty Group. My team helps buyers find STR-eligible homes, run income projections, and stay compliant with local rules. Let us help you find your ideal island investment.
📞 Call or text: 409-255-0449
🌐 Browse available listings: GTXRealtyGroup.com
📩 Email: info@gtxrealtygroup.com
