Scugog prohibits short-term rentals in residential zones. A 2014 Ontario Municipal Board ruling confirmed the Township's authority to enforce this through its Zoning By-law No. 14-14 (consolidated 2025), and the prohibition has held for over a decade. If your Port Perry or Scugog property is in a residential zone, Airbnb is not a legal option. Mid-term rentals are.
Information drawn from the Township of Scugog's bylaws page and the 2014 Ontario Municipal Board decision on STR prohibitions in Scugog.
Quick Summary
The STR Prohibition
The Township of Scugog treats short-term rentals as an impermissible land use in residential zones. Operating a property as an Airbnb (or any rental under 30 days) in a residential zone violates the Township's Zoning By-law. This applies across Port Perry, Greenbank, Blackstock, and the surrounding residential areas.
The prohibition is structural, not permission-based. There is no STR license to apply for because no license exists. You cannot "get a permit" to run an Airbnb in a residential-zoned Scugog property. The only paths to legal short-term accommodation operation are:
- Property located in a commercial, tourist-commercial, or specifically permitted zone
- Grandfathered pre-2014 use that the Township formally recognized
- Rentals of 30 days or more (mid-term rentals, which are not STRs)
The 2014 OMB Ruling
Scugog's authority to prohibit STRs was challenged and upheld at the Ontario Municipal Board in 2014. The OMB (now Ontario Land Tribunal) found that the Township's Zoning By-law reasonably interpreted short-term rental use as incompatible with residential character and that the prohibition fell within the Township's zoning authority. The decision is a foundational precedent for zoning-based STR prohibitions in Ontario.
Practical implications of the ruling:
- The prohibition is legally settled; challenging it would require overcoming the OMB precedent
- The Township can enforce through standard zoning enforcement procedures
- Zoning amendment applications to add STR permission are unlikely to succeed given the established Council position
How Scugog Enforces
Enforcement flows through the Township's Municipal Law Enforcement and zoning bylaw violation procedures:
- Complaint received (neighbour, proactive monitoring, or online listing check)
- Bylaw officer investigates and confirms the zoning violation
- Township issues a Notice of Violation with a cease-and-desist order
- Continued operation triggers fines under the Township's penalty provisions
- Persistent non-compliance escalates to prosecution in Provincial Court
- Township may also coordinate with Airbnb, VRBO, and Booking.com for listing takedowns
Contact Municipal Law Enforcement at 905-985-7346 or mail@scugog.ca. Given the high tourism volume in Port Perry, enforcement is relatively active compared to less-tourist Durham municipalities.
Why Listings Still Appear Online
Walk through Airbnb search results for Port Perry and you'll see plenty of listings. This is not evidence the prohibition is unenforced. Reasons listings appear:
- Some listings operate in non-residential zones where the prohibition does not apply
- Some listings are mid-term rentals (30+ night minimums) which are not STRs under the Township's definition
- Some listings are operating in violation and have not yet been discovered, complained about, or cited
- Some listings are grandfathered pre-2014 uses (rare but documented)
Other operators' compliance status is not a reliable guide to your own legal options. Verify your own zoning before listing, regardless of what you see elsewhere in the area.
The Mid-Term Rental Path
If your Scugog property is in a residential zone, mid-term rentals of 30 consecutive nights or more are the legal path to furnished rental income. Mid-term stays are treated as standard tenancies under the Ontario Residential Tenancies Act and are exempt from STR prohibitions.
Mid-term rental demand in the Port Perry area comes from:
- Insurance displacement (home fire/flood guests, 2 to 4 month stays paid by insurers)
- Corporate relocation (new hires and transferees, 3 to 6 month stays)
- Travelling healthcare workers (nurses and physicians at Lakeridge Health, Port Perry Hospital)
- Seasonal visitors (Lake Scugog cottagers extending their season, retirees wintering in the area)
- Film and TV industry (Toronto productions filming in heritage Port Perry streets)
Furnished 30+ night rentals typically generate 40 to 60 percent of STR nightly rates on a per-night basis, but with near-100 percent occupancy (no turnover nights, fewer vacant weekdays), annualized income can approach or exceed STR performance, especially for larger properties.
Check Your Zone
Before planning any rental strategy, confirm your property's zoning. Request a Zoning Certificate from the Township's Planning Department. This document officially confirms your zoning designation and the permitted uses. Contact:
- Township of Scugog Planning: 905-985-7346
- Email: mail@scugog.ca
- Address: 181 Perry Street, Port Perry, ON L9L 1A7
Frequently Asked Questions
Are short-term rentals legal in Scugog, Ontario?
In most residential zones, no. A 2014 Ontario Municipal Board ruling confirmed the Township of Scugog's authority to prohibit short-term rentals (rentals under 30 days) in residential zones through its Zoning By-law. The prohibition is enforced through zoning bylaw violations rather than a dedicated STR bylaw. Commercial, tourist-zoned, or specifically permitted properties may still allow STR operation, but residential zones are restricted.
How does Scugog enforce its STR restriction?
Enforcement is handled by the Township's Municipal Law Enforcement through Zoning By-law violations. Typical flow: complaint received, bylaw officer investigates, cease-and-desist order issued, continued non-compliance escalates to fines and court action. The Township also coordinates with booking platforms for listing takedowns of non-compliant properties.
Why do I still see Port Perry Airbnb listings online?
Several reasons. Some listings may be operating in non-residential zones where STRs are permitted. Some may be operating in violation and have not yet been discovered or cited. Some may be grandfathered pre-2014 uses. Some may be rentals of 30+ days (mid-term rentals), which are not STRs under the Township's definition. Always verify your property's zoning before listing, not what others are doing.
Can I Airbnb a commercial property in Scugog?
Potentially. Commercial, tourist-commercial, or specifically permitted zones may allow short-term accommodation uses. Contact the Township's Planning Department at 905-985-7346 to confirm your property's zoning designation and permitted uses before listing.
What can I do if my Scugog property can't legally be an STR?
Mid-term rentals of 30 consecutive nights or more are exempt from the STR prohibition and are treated as standard furnished tenancies under the Residential Tenancies Act. Furnished monthly rentals (think travelling healthcare workers, corporate relocations, insurance-displacement guests, seasonal visitors) are legal in any residential zone. Long-term rentals with 12-month leases are also permitted.
Is there a path to obtaining a zoning amendment for STR use in Scugog?
Theoretically yes, practically no. Zoning amendments require a formal application, neighbour notification, public hearings, and Council approval. Given the 2014 OMB ruling explicitly affirmed the prohibition, the Township is unlikely to grant amendments for STR use in residential zones. Consider this path very carefully before investing application fees and time.
Where is Scugog and what areas does it cover?
The Township of Scugog is in Durham Region, northeast of Toronto. It includes Port Perry (the main town), Lake Scugog (the namesake lake), Greenbank, Blackstock, and surrounding rural areas. Port Perry waterfront is particularly popular for tourism, which is exactly why the STR prohibition is actively enforced.
What fines apply to operating an illegal STR in Scugog?
Operating a use not permitted in your zone violates the Zoning By-law. Fines under the Township's penalty provisions escalate with continued offenses. The 2014 OMB ruling confirmed the prohibition is legally enforceable. Specific fine amounts should be verified with Township Municipal Law Enforcement at 905-985-7346.
Should I buy a Scugog property intending to run a Port Perry Airbnb?
Not in a residential zone. The zoning prohibition is well-established and enforced. If your investment thesis depends on STR income, either buy in a commercial or tourist-commercial zone (rare, limited supply), or pivot to a mid-term rental strategy (30+ night stays are permitted in any residential zone).
Is Scugog's STR prohibition likely to change?
Unlikely in the short term. The 2014 OMB ruling provided clear legal authority for the prohibition. Council has not signalled any intention to reverse course. Neighbouring Durham municipalities are going in the opposite direction (toward regulation), but Scugog's zoning-based prohibition is a distinct approach that Council has maintained for over a decade.
Own a Port Perry property? Mid-term rentals are the legal path.
Nurture manages furnished mid-term rentals (30+ nights) in Scugog and across the GTA. Same quality guest experience as an Airbnb, but compliant with the Township's zoning restriction. We handle insurance coordination, corporate relocation bookings, and travelling professional placements. Contact us for a property-specific quote.
Get a Free Mid-Term Rental AssessmentThis summary is for informational purposes only. The Township of Scugog's Zoning By-law and enforcement policies can change. Always verify current status at scugog.ca or by contacting the Township's Municipal Law Enforcement at 905-985-7346. HST and federal tax rules also apply to mid-term and long-term rental income.