Santa Monica Short-Term Rental Regulations

Last verified: 2026-04-06
TL;DR
Santa Monica requires Home-Sharing Permit and Home-Sharing Business License ($100) and the property must be your primary residence. Combined tax rate is 17%. No annual day limit, but each stay must be 30 days or fewer per stay.
Key Requirements at a Glance
Permit ✓ Required — Home-Sharing Permit and Home-Sharing Business License ($100)
Primary Residence ✓ Required
Annual Day Limit No limit — 30 days or fewer per stay
Tax Rate 17%
Max Penalty $1,000 per day
Insurance Not required

New to short-term rentals? Jump to the compliance checklist →

Permit & Licensing

Home-Sharing Permit and Home-Sharing Business License

FeeAmount
Initial cost$100
Renewal$50 / 1 year

The property must be your primary residence. This means investment properties are not eligible for this permit type.

Tax Obligations

TaxRateAuthority
Home-Share Transient Occupancy Tax 17% City of Santa Monica

Combined rate: 17% of gross rental income.

Rental Limits

Santa Monica does not impose an annual cap on the number of nights you can rent. Each individual stay must be 30 days or fewer per stay.

Occupancy & Density Limits

lesser of 10 total people, 1 person per 200 sq ft, or 2 adults per bedroom

Zoning & Restrictions

Whole-home vacation rentals (non-owner-occupied) are prohibited citywide. Only owner-occupied home-sharing is permitted. Applies to all residential zones citywide.

Penalties for Non-Compliance

Second violation within 36 months: 125% of first-violation fine; third and subsequent violations within 36 months: 150% of first-violation fine

Compliance Checklist

Follow these steps to legally operate a short-term rental in Santa Monica:

  1. Confirm eligibility. The property must be your primary residence. Investment properties are not eligible.
  2. Apply for Home-Sharing Permit and Home-Sharing Business License. Submit application + $100 fee.
  3. Register for tax accounts. Set up hotel occupancy tax accounts with the city tax authority.
  4. Collect and remit taxes. 17% on all bookings.
  5. Renew annually. $50 renewal fee.

Official Sources

  1. Short-Term Rental Home-Share Ordinance - City of Santa Monica
  2. City of Santa Monica Municipal Code Chapter 6.20: Home-Sharing and Vacation Rentals
  3. Transient Occupancy Tax - Santa Monica Finance Department
  4. Administrative Citation & Taxicab Schedule of Fines – City of Santa Monica (Resolution, December 13, 2011)
  5. City of Santa Monica Home-Sharing Ordinance Rules and Regulations (Revised November 21, 2019)