“So can I just Airbnb this when I’m not using it?”
I hear this almost every week. Someone’s looking at a waterfront condo in Cocoa Beach, they’ve scrolled through Airbnb listings, the nightly rates look great, and they’re already running numbers in a spreadsheet.
Then we pull up the actual zoning map. We look at what the City of Cocoa Beach actually requires now—not what worked three years ago. We check the condo documents. And I walk them through what homestead exemption really means if you’re planning to rent it out.
That’s usually when the picture changes.
This isn’t me being negative—I love helping people make smart waterfront investments on the Space Coast. But after working with hundreds of buyers and watching the vacation rental landscape shift year after year, I’ve learned one thing: the question isn’t “Can I Airbnb it?” The question is “Can I Airbnb THIS specific property, and does that still make sense for my lifestyle and my money five years from now?”
Let me walk you through what I actually see happening with Cocoa Beach short-term rentals right now.
Why Most People Start With the Wrong Question
Here’s what usually happens:
Someone finds a condo they love. They see similar units renting for $200-300 a night on Airbnb. They multiply that by projected occupancy, subtract the mortgage, and it looks like the property pays for itself.
But they haven’t asked about:
- City registration and what it actually costs now
- Whether their specific building even allows weekly rentals
- What happens to their homestead exemption if they rent too much
- Who’s going to answer the phone at midnight when a guest locks themselves out
- Whether the condo board is about to vote on new rental restrictions
And most importantly—they haven’t thought about what happens if Cocoa Beach changes the rules again.
Because here’s what I’ve watched happen over the last few years: the city has gotten much more serious about regulating vacation rentals. Fees have gone up. Requirements have gotten stricter. And some buildings that used to be “Airbnb-friendly” have quietly started tightening their bylaws.
Just so you know, I want you to be prepared—this is a moving target, and you need to understand the actual layers before you commit.
The Legal Stack That Actually Governs Your Airbnb in Cocoa Beach
When I sit down with serious buyers who want to do short-term rentals, here’s the order I walk them through:
1. State Law (You Can’t Get Around This)
Florida treats most short-term rentals as “public lodging establishments.” That means if you’re renting more than three times a year for stays under 30 days, you need a license from the Florida Department of Business and Professional Regulation (DBPR).
You’ll also need to collect and remit:
- State sales tax
- Local tourist development taxes
These aren’t optional. The state tracks this through your tax filings, and I’ve seen sellers get audited when they go to sell because the county has records of rental income but no matching homestead clarification.
The homestead piece is huge. If you claim homestead exemption (which saves you thousands in property taxes), but then rent “all or substantially all” of your property for more than 30 days total per year for two consecutive years, you can lose that exemption. That means back taxes, penalties, and interest.
I always tell people: if you’re planning to claim homestead AND run an Airbnb, talk to a tax professional before you do anything. It’s one of those things where you can’t unring the bell.
2. City of Cocoa Beach Registration (Not Negotiable Anymore)
Cocoa Beach used to be pretty hands-off with vacation rentals. That’s changed.
Now, every short-term rental has to register with the city. Not just houses—condos too. And registration means:
- Application and renewal fees (they’ve increased significantly)
- Safety and building code compliance
- Annual inspections
- Occupancy caps (usually around 2 people per bedroom, max 8 guests total)
- A local responsible party who can be reached 24/7
That last one is important. If you’re buying a Cocoa Beach vacation rental from out of state, you need someone local who will answer the phone at 1:00 a.m. if a neighbor reports noise or a guest has an emergency. That’s usually a property manager, but it’s another cost and another layer of coordination.
The city has also started scaling fees based on occupancy—so an 8-person rental pays more than a 4-person rental. These aren’t “set it and forget it” fees. They add up, and they’re part of your annual cost structure.
3. Zoning (Where Short-Term Rentals Are Even Allowed)
Here’s where it gets specific to your address.
Cocoa Beach only allows short-term rentals in certain zoning districts. Some neighborhoods are completely off-limits. Some are technically allowed but have enough full-time residents that you’ll face constant friction.
I can usually tell within a few blocks whether a property is going to work as a vacation rental or not—not just legally, but culturally. There are streets where everyone’s doing it and neighbors expect turnover. And there are streets where you’ll be the only STR and you’ll hear about it.
4. Your Condo or HOA Documents (The Hidden Veto)
This is where a lot of deals die.
Even if the city says “yes,” your building can still say “absolutely not.” I’ve seen:
- Oceanfront condos with 30-day minimum rentals
- Buildings that technically allow weekly rentals but have snowbird boards that hate the turnover
- Associations actively revising their bylaws right now to shut down short-term rentals
And here’s the thing—I’m in these buildings constantly. I see what’s happening at board meetings. I know which buildings are tightening up and which ones are still flexible. That’s the kind of thing you can’t learn from Zillow or a generic Florida real estate blog.
If you’re serious about Airbnb, we need to pull the actual condo docs and read the rental language. Not just what the listing says—what the bylaws actually say, including any recent amendments.
What Spreadsheets Miss (And Why Local Knowledge Matters)
Most investor spreadsheets focus on:
- Nightly rate × occupancy
- Cleaning fees
- Property management percentage
That’s fine. But here’s what serious Cocoa Beach investors also think about:
| What Spreadsheet Investors Look At | What I Watch With My Clients |
|---|---|
| Airbnb comps and nightly rates | City ordinance changes that could affect future STR operations |
| Platform fees and cleaning costs | Homestead status and whether rental income creates tax exposure |
| HOA dues as a fixed cost | Actual rental minimums in the building and how strictly they’re enforced |
| Generic occupancy projections | Realistic guest count based on floor plan, parking, and Cocoa Beach rules |
| Basic property management fee | Whether there are quality local vendors who’ll answer at midnight, and what neighbor tolerance actually looks like |
I had a client last year who ran beautiful numbers on a beachside condo. Everything penciled. But when we read the condo docs, we found out the building had just passed a rule limiting rentals to 30 days minimum. The seller hadn’t updated the listing. If they’d bought without asking, they would’ve been locked into a property that couldn’t legally do what they needed it to do.
That’s why I always say: combine your spreadsheet with someone who’s actually working in these buildings every week.
Cocoa Beach vs. Merritt Island: Different Rules, Different Guest Profiles
A lot of buyers ask me: “Should I buy in Cocoa Beach or Merritt Island for an Airbnb?”
Here’s what I tell them.
Cocoa Beach Vacation Rentals
Best for:
- Guests who want to walk to the beach, restaurants, Ron Jon
- Shorter stays—families on spring break, surf trips, Kennedy Space Center tourists
- Owners who prioritize occupancy and nightly rate potential
Realities:
- Higher guest turnover = more wear and tear
- More neighbor sensitivity to noise and parking
- Registration and compliance are strictly enforced
If you’re buying in Cocoa Beach for STR, you need to be realistic about maintenance costs and guest management. Saltwater air plus constant turnover means you’re replacing things often.
But if you pick the right building and manage it well, Cocoa Beach vacation rentals can stay consistently booked, especially if you’re close to the beach. I work with buyers relocating to Cocoa Beach all the time who love the walkability and the energy—it’s just a different vibe than Merritt Island.
Merritt Island Vacation Rentals
Best for:
- Boaters who want canal or river access
- Guests who prioritize space, privacy, and water over walking to the beach
- Owners who might mix personal use with longer-term or mid-term rentals
Realities:
- Different regulatory environment (not under Cocoa Beach city rules)
- Larger lots, often single-family homes
- Fewer “walk to the beach” guests, more people coming for boating or space events
Merritt Island tends to attract a different guest profile. People aren’t expecting nightlife or surf shops—they want a dock, a backyard, and water access. If that matches your property, it can work really well.
I’ve helped a lot of clients compare waterfront homes on Merritt Island versus Cocoa Beach condos, and it really comes down to lifestyle and guest expectations. Both can work. They’re just different strategies.
The Real-World Patterns I See With Cocoa Beach Airbnb Owners
After working with dozens of vacation rental buyers and sellers, here are the patterns:
Owners who struggle:
- Bought purely for cash flow projections
- Didn’t account for regulatory changes
- Underestimated neighbor pushback
- Never built a local vendor network
Owners who do well:
- Balanced personal use with rental income
- Built relationships with property managers and maintenance people
- Stayed on top of city registration and condo board changes
- Had realistic expectations about maintenance in saltwater environments
Buildings that tightened up:
- Started “Airbnb-friendly” but hit a tipping point with turnover
- Boards got complaints about noise, parking, elevator use
- Passed new bylaws restricting rentals—often catching absentee owners by surprise
The takeaway? This isn’t a “set it and forget it” investment. Cocoa Beach vacation rentals can absolutely work, but they require active management, local presence, and a realistic view of what can change over time.
How I Actually Walk Buyers Through This Decision
When someone’s serious about buying a Cocoa Beach property for Airbnb, here’s my process:
Step 1: Confirm Your Actual Use Pattern
Are you planning:
- Full-time short-term rental with no personal use?
- Seasonal personal use (winter for yourself, rent the rest)?
- Mostly mid-term or long-term rentals with occasional vacation stays?
This matters because it changes your licensing, tax, and homestead strategy.
Step 2: Map the Legal Stack to the Specific Address
- Is it inside Cocoa Beach city limits?
- What’s the zoning, and does it allow STRs?
- What does the current vacation rental ordinance actually require?
- Do you need DBPR licensing?
- What are the tax implications?
Step 3: Read the Actual Condo or HOA Documents
Not just the listing. The bylaws. Recent amendments. Board minutes if we can get them.
I want to know:
- What do they say about rental minimums?
- How strictly are they enforced?
- Is there any indication the board is thinking about changing the rules?
Step 4: Stress-Test the Numbers
Now we go back to your spreadsheet, but we add:
- Real registration and renewal fees
- Realistic occupancy for shoulder seasons (not just peak)
- Higher maintenance costs for saltwater and guest turnover
- Property management that’s actually responsive
Step 5: Protect Your Exit
What if STR rules change? What if your life changes? Does this property still work as a second home or long-term rental? Would buyers still want it if Airbnb isn’t an option?
That’s the difference between “Can I Airbnb it?” and “Is this a smart long-term decision for my money and my lifestyle?”
Your Questions About Cocoa Beach Short-Term Rentals—Answered
“Is Cocoa Beach friendly to Airbnb right now?”
Cocoa Beach allows short-term rentals in certain zoning districts, but they’ve gotten much more serious about compliance. You need registration, inspections, occupancy caps, and a local contact. Fees have gone up. Enforcement has gotten stricter.
So it’s not that they’re anti-STR—it’s that they’re watching closely and expecting owners to follow the rules. That’s exactly the kind of nuance I help buyers understand before they commit.
“Can I keep my homestead exemption and still Airbnb my Cocoa Beach home?”
Probably not if you’re renting it heavily.
Florida’s homestead rules say that if you rent “all or substantially all” of a homesteaded property for more than 30 days per year for two consecutive years, you’ve abandoned your homestead. That means you lose the exemption, and you could owe back taxes plus penalties.
If you’re thinking about this strategy, talk to a tax professional first. I’ve seen people get caught by this, and it’s expensive to fix.
“Do I need a license to Airbnb my Cocoa Beach condo?”
If you’re renting more than three times a year for stays under 30 days, you generally need a DBPR license from the state, plus Cocoa Beach’s local vacation rental registration.
But your condo can still have stricter rules than the city. Some buildings don’t allow weekly rentals at all, even if the city and state would permit it.
This is why I always say: read the condo docs before you make an offer. I’ve seen deals fall apart in due diligence when buyers finally realize their building won’t allow what they thought they could do.
“What’s the biggest mistake investors make with Cocoa Beach STRs?”
Assuming what works in other Florida beach towns automatically works here.
Cocoa Beach has its own zoning, its own registration process, its own enforcement culture. And every condo building has its own personality and rules.
The investors I work with who do well? They’re the ones who take the time to understand the local reality before they buy—not just run numbers from a generic Florida Airbnb calculator.
“Who should I talk to if I’m serious about buying a vacation rental property?”
Because this decision sits at the intersection of city regulations, tax strategy, condo rules, and long-term wealth planning, you want someone who actually works in Cocoa Beach and Merritt Island waterfront properties every single week.
I’ve built my practice around helping buyers navigate exactly these kinds of decisions—where the spreadsheet meets the real-world regulatory environment and neighborhood dynamics. If you want to talk through your specific situation, let’s do it. No pressure, just clarity.
Bottom Line: Smart Airbnb Investing Starts With Realistic Expectations
Can you Airbnb a property in Cocoa Beach? Maybe. It depends on the address, the zoning, the building, your homestead situation, and whether you’re willing to stay on top of changing city rules.
But here’s what I know after years of working with vacation rental buyers: the ones who succeed are the ones who go in with their eyes open.
They understand that:
- City rules can and do change
- Condo boards can tighten rental restrictions
- Saltwater maintenance is real
- Guest management takes time and local relationships
- The best deals balance lifestyle and income, not just pure cash flow
If you’re thinking about buying a Cocoa Beach or Merritt Island property as a vacation rental, let’s talk through your specific plan. I’ll show you what’s realistic, what’s risky, and what’s worth your money.
Most things are fixable. But it’s a lot easier to make smart decisions before you buy than to try to fix mistakes after closing.
Ready to talk it through? Reach out at 321 Coastal Living and let’s walk through your situation—no pressure, just honest guidance based on what’s actually happening in the Cocoa Beach and Merritt Island markets right now.
Want to Learn More About Waterfront Living on the Space Coast?
If you’re new to the area or just want to understand how waterfront ownership actually works here, I put together a ton of free resources:
- Watch my YouTube channel where I break down bridge heights, seawalls, boat access, and neighborhood differences across Cocoa Beach and Merritt Island
- Explore Cocoa Beach and Merritt Island properties and see what’s actually available in different price ranges
- Follow me on TikTok for quick Space Coast real estate tips and local insights
I’m Carrie Liotta, and I’ve spent years helping buyers and sellers navigate waterfront property decisions on Florida’s Space Coast. Whether you’re buying your first vacation rental or your fifth waterfront home, my goal is the same: help you understand what you’re getting into so you can make decisions you’ll still feel good about years from now.
Let’s talk it through. No pressure. Just honest, local expertise.