STR Rules · California

STR Regulations in California: City-by-City Guide

California has no statewide short-term rental law. Every city and county sets its own rules — permit requirements, night caps, owner-occupancy mandates, and TOT tax obligations can vary dramatically even within the same metro area. This guide covers the rules for California's largest markets as of 2025.

Los Angeles

Los Angeles enacted its Home-Sharing Ordinance in 2019. The key rules:

  • Owner-occupancy required. You may only list your primary residence — the home where you live for more than six months per year. Investor-owned properties cannot be listed as short-term rentals.
  • 120-night annual cap for "Type A" (home-sharing without host present). If you plan to rent the entire unit while you're away for more than 120 nights, you need a Type B license — which the city has effectively stopped issuing to new applicants in rent-stabilized units.
  • RSO units are largely excluded. Units covered by the Rent Stabilization Ordinance (pre-1978 buildings with multiple units) face severe restrictions.
  • Permit required. Register with the City of LA Department of City Planning and obtain a Home-Sharing Registration. Registration must be renewed annually (~$89/year).
  • Transient Occupancy Tax (TOT): 14%. Airbnb and Vrbo collect and remit on your behalf for LA city, but double-check for properties in unincorporated county areas.

San Francisco

San Francisco has among the strictest STR rules in the United States:

  • Primary residence only. You must live at the listing for at least 275 nights per year.
  • 90-night cap (unhosted stays). If you rent the entire unit while you are not present, you are capped at 90 nights per calendar year. Hosted stays (you sleep there while guests occupy a room) are unlimited.
  • Planning Department registration required. Obtain a Short-Term Residential Rental Certificate from SF Planning. Platform listing without this registration is illegal.
  • Affordable housing units excluded. Any unit subject to a below-market-rate covenant is ineligible.
  • TOT: 14%. San Francisco has a Gross Receipts Tax that also applies to high-revenue STR operators.

San Diego

San Diego overhauled its STR ordinance in 2021. The city uses a tiered licensing system:

  • Tier 1 — Home-sharing: Rent a room in your primary residence. Unlimited nights. License fee ~$150/year.
  • Tier 2 — Whole-home primary: Rent your entire primary residence while you're away. Capped at 6 months per year. License fee ~$150–$200/year.
  • Tier 3 — Whole-home non-primary (Mission Beach): Non-primary whole-home STRs are only permitted in Mission Beach, where a lottery allocates a capped number of licenses.
  • Tier 3 — Whole-home non-primary (citywide): Effectively prohibited outside Mission Beach unless grandfathered.
  • TOT: 10.5% in the City of San Diego. Airbnb/Vrbo collect and remit.

San Jose

San Jose requires a Business License and registration with the city, but has lighter restrictions than LA or SF:

  • No owner-occupancy mandate for most single-family homes.
  • Units in rent-controlled buildings face restrictions similar to LA.
  • TOT: 10%. Hosts are responsible for registering and remitting if the platform does not collect on their behalf.
  • Check neighborhood association CC&Rs — many Silicon Valley HOAs prohibit STRs through private deed restrictions.

Sacramento

  • Short-term rentals require a Short-Term Rental Permit (≈$215/year) from Sacramento Development Services.
  • Primary residence requirement for whole-home listings.
  • Hosted home-sharing in a non-primary residence requires a conditional use permit — a longer and more expensive process.
  • TOT: 12%. Hosts remit directly to the city; platform remittance agreements cover some platforms.

Palm Springs and the Coachella Valley

Palm Springs is one of California's most STR-friendly markets for investors:

  • No primary-residence requirement. Investor-owned vacation rentals are permitted throughout most of the city.
  • STR permit required (≈$200–$400/year depending on unit type).
  • Quiet hours (10 PM–7 AM) and occupancy limits strictly enforced; fines can reach $1,000+ per violation.
  • TOT: 11.5%. Plus Desert Resort Communities tax on some unincorporated areas.
  • Some HOAs (especially newer planned communities) prohibit STRs — always verify CC&Rs.

Unincorporated County Areas

Properties in unincorporated areas of Los Angeles County, San Bernardino County, Riverside County, and others follow county rules, not city ordinances. Requirements vary significantly — always check with the county planning department for the specific parcel. Use AbodeIQ to identify whether an address is in an incorporated city or unincorporated county territory.

Key takeaways

  • California STR rules are hyper-local. Always verify at the city or county level before listing.
  • Most large cities require the property to be your primary residence for whole-home STRs.
  • Transient Occupancy Tax applies everywhere; rates range from 10% to 15%.
  • Airbnb and Vrbo collect and remit TOT in most major California cities, but hosts remain responsible for compliance.
  • HOA and condo association rules can prohibit STRs even where the city allows them.

Last reviewed June 2025. STR regulations change frequently — verify current rules with the relevant city planning or finance department before listing.