California has no single statewide rule for VRBO and Airbnb rentals. Each city decides whether short-term rentals (usually stays of 30 days or less) are allowed, where, and how many. In Southern California the rules range from a full ban in Irvine's residential zones to a capped, tiered license system in San Diego. Buy in the wrong place and the rental plan you underwrote may not be legal.
This guide summarizes the current short-term rental (STR) rules in six Southern California cities as of October 2026, based on each city's published rules or local reporting. Rules change, so where a city's current status could not be confirmed, we say so. Before you buy or list, check the city's current ordinance and confirm eligibility for your exact address.
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Quick answer
- Most restrictive: Irvine bans rentals under 31 days in all residential zones, including advertising them.
- Primary residence only: Los Angeles allows home-sharing only in the host's primary residence, capped at 120 days a year unless the host qualifies for an Extended Home-Sharing registration.
- Capped permits: Newport Beach and San Diego allow whole-home rentals but cap the number of permits. Newport keeps a waitlist, and San Diego's Mission Beach tier is full.
- Mostly closed to newcomers: Laguna Beach and Anaheim let existing permitted rentals continue but sharply limit new ones.
City-by-city summary
| City | Whole-home STR allowed? | Key limits |
|---|---|---|
| Newport Beach | Yes, with permit | Active permits capped at 1,475; waitlist; 2-night minimum |
| Laguna Beach | No new ones in residential zones | Existing permits grandfathered; new STRs in commercial areas |
| Anaheim | Existing permitted rentals only | 2016 ban reversed in 2019 for existing operators; check current ordinance for new permits |
| Irvine | No (residential zones) | Under 31 days prohibited; advertising also prohibited |
| Los Angeles | Primary residence only | 120 days a year; Extended Home-Sharing for more |
| San Diego | Yes, with license | Whole-home licenses capped; 2-night minimum; Mission Beach full |
Newport Beach
Newport Beach allows short-term lodging in eligible residential areas with a city permit. Key points:
- Permit cap. The city's short-term lodging waitlist page states that active permits are limited to 1,475. When active permits fall below the cap, waitlisted applicants are contacted in order.
- Who can join the waitlist. You must be the current legal owner, the property must be in a residential district zoned for short-term lodging, and the property can't have had a permit revoked. You can't apply while the home is still in escrow.
- Minimum stay. The municipal code (Section 21.48.115) prohibits renting a unit for fewer than two consecutive nights.
- Pending changes. In July 2025 the City Council voted to adopt California Coastal Commission modifications to its STR rules, pending final Commission approval. These include a limited number of permits in two coastal mixed-use zones. Check the city's current ordinance for the final status.
Practical effect: buying a Newport Beach home with the expectation of getting a new permit is a gamble. Ask the city whether a seller's existing permit survives the sale before you assume their rental history carries over. See our Newport Beach city guide for the local market.
Laguna Beach
In October 2020 the California Coastal Commission approved Laguna Beach's short-term lodging ordinance, according to Avalara's report on the approval. Under those rules:
- New short-term rentals are barred in residential neighborhoods. Residential units in commercial areas may still operate as vacation rentals with a permit.
- The 117 short-term rentals then operating, 79 of them in residential districts, were allowed to continue.
- The citywide limit was set at up to 465 short-term rentals: 300 unhosted and 165 hosted.
- Operators need a permit and a 24/7 local contact, and must follow parking, noise, trash and occupancy rules. Commercial events such as weddings are prohibited.
The city and the Commission have discussed amendments since then. Check the city's current ordinance (Municipal Code Chapter 25.23) for any changes to caps and zones. For neighborhoods and pricing, see the Laguna Beach city guide.
Anaheim
Anaheim voted in 2016 to phase out short-term rentals. In June 2019 the council voted 4–2 to reverse that ban and let existing permitted rentals, more than 200 at the time, keep operating, according to a June 2019 report. Rentals in HOA communities whose CC&Rs ban short-term rentals had to shut down or relocate by 2022.
City forms describe rules for relocating an existing permit, including neighbor consent and spacing from other rentals. They do not describe a path for opening a brand-new STR. If you are buying near the Disneyland Resort with STR income in mind, check the city's current ordinance (Anaheim Municipal Code Chapter 4.05) and confirm with the city's short-term rental program before you count on that income.
Irvine
Irvine's rule is the simplest. The city's short-term rental page defines a short-term rental as a dwelling rented for fewer than 31 consecutive days and states they are prohibited in all residential zones (Zoning Section 3-25-3.A). Posting or keeping an advertisement for one, including on Airbnb or VRBO, is also a violation (Section 3-25-3.B). The city says it uses a monitoring service to find listings.
Irvine works well for long-term rentals. If short-term rental income is part of your plan, look elsewhere.
Los Angeles
The City of Los Angeles regulates STRs through its Home-Sharing Ordinance. The Home-Sharing Administrative Guidelines (revised and effective September 28, 2026) set these rules:
- Primary residence only. You may home-share only the residence where you live more than six months of the calendar year. A second home or investment unit doesn't qualify.
- 120-day cap. A Regular Home-Sharing registration allows up to 120 days of short-term rental per calendar year.
- Extended Home-Sharing. To exceed 120 days, you need an Extended registration. To qualify, you must have held a Regular registration for six months or hosted at least 60 days. You also need no suspensions or revocations in two years and no more than one citation in three years, or a discretionary review. Neighbors are notified.
- One registration per person. You can't hold more than one home-sharing registration in the city, and the registration number must appear on every listing.
- Excluded units. Units under the Rent Stabilization Ordinance or affordable-housing covenants can't be registered. An ADU qualifies only if it has a certificate of occupancy and is the host's primary residence.
Registrations run 12 months and must be renewed. Cities inside Los Angeles County, such as Santa Monica, West Hollywood and Pasadena, have their own rules, so check the city's current ordinance there.
San Diego
San Diego licenses short-term rentals in four tiers. The City Treasurer's STRO page (updated October 9, 2026) shows:
| Tier | Type | Licenses issued | Remaining |
|---|---|---|---|
| 1 | Part-time: 20 days or fewer per year | 135 | Unlimited |
| 2 | Home sharing: host lives on site | 2,336 | Unlimited |
| 3 | Whole home, outside Mission Beach | 4,859 | 802 |
| 4 | Whole home, Mission Beach | 1,099 | 0 (waitlist) |
- Tier 3 licenses are capped at 1% of the city's housing units outside Mission Beach. Tier 4 is capped at 30% of Mission Beach housing units.
- Tiers 3 and 4 require a two-night minimum stay and must be used at least 90 days a year to stay valid.
- Fees effective March 1, 2025: Tier 3 and 4 licenses cost $41 to apply plus $1,129. Licenses last two years.
- The Tier 4 application window closed August 15, 2025, and a waitlist was created.
See the San Diego city guide for neighborhoods and pricing.
Statewide rules that apply everywhere
- Platforms must share data on request. SB 346, effective January 1, 2026, lets a city that adopts an implementing ordinance require platforms such as Airbnb and VRBO to report the address of each short-term rental, with audits and fines for non-compliance (Best Best & Krieger summary). Expect unpermitted listings to be easier for cities to find.
- Most ADUs and junior ADUs can't be short-term rentals. State law requires that ADUs built under the multifamily and streamlined provisions, and all JADUs, be rented for terms longer than 30 days (HCD ADU Handbook, March 2026). Cities may also require 30-day minimums on other ADUs.
- HOAs can be stricter than the city. Read the CC&Rs. Newport Beach, for example, won't put a property on its waitlist if the HOA's CC&Rs prohibit short-term lodging.
- Taxes. Cities that allow STRs charge transient occupancy tax. Confirm whether your platform collects and remits it for your city or whether you must file yourself.
Before you buy a property to rent on VRBO
- Confirm the address is eligible with the city's STR office, not the listing agent's marketing.
- Ask whether permits transfer. In some cities a permit belongs to the owner, not the property, and does not carry over at sale.
- Check permit availability: open slots, waitlist length, and lottery rules.
- Read the HOA documents for rental minimums and bans.
- Underwrite a long-term rental case too. If the numbers only work as an STR, the deal depends on a rule that can change.
Key takeaways
- Short-term rental rules are set city by city. There is no statewide permit.
- Irvine bans STRs in residential zones. Los Angeles allows them only in a host's primary residence.
- Newport Beach caps permits at 1,475 with a waitlist. San Diego had 802 Tier 3 whole-home licenses left and none in Mission Beach as of October 9, 2026.
- Laguna Beach and Anaheim largely limit STRs to existing permit holders. Check each city's current ordinance before buying.
- SB 346 makes it easier for cities to get listing data from platforms, so unpermitted rentals are more likely to be caught.
FAQs
Is it legal to rent on VRBO anywhere in California?
No. Each city sets its own rules. Some ban short-term rentals in residential zones, some cap permits, and some allow them only in the host's primary residence. Check the city's current ordinance for your exact address before listing.
Can I Airbnb or VRBO my house in Irvine?
Not in a residential zone. Irvine prohibits rentals of fewer than 31 consecutive days in all residential zones and treats advertising them on sites like Airbnb and VRBO as a violation. Rentals of 31 days or more are allowed.
How many days can I rent my home short-term in Los Angeles?
Up to 120 days per calendar year with a Regular Home-Sharing registration, and only in your primary residence, where you live more than six months a year. Hosts who meet extra requirements can apply for Extended Home-Sharing to go beyond 120 days.
Can I get a new short-term rental permit in Newport Beach?
Only through the waitlist. Newport Beach limits active short-term lodging permits to 1,475. When the count falls below the cap, the city contacts waitlisted owners in order. The city can't predict how long the wait will be.
Are San Diego short-term rental licenses still available?
As of October 9, 2026, the city reported 802 Tier 3 whole-home licenses remaining outside Mission Beach and none in Mission Beach (Tier 4), which has a waitlist. Tier 1 and Tier 2 licenses are not capped.
Can I rent my ADU on Airbnb in California?
Often not. State law requires that JADUs and ADUs built under the multifamily and streamlined provisions be rented for more than 30 days, and cities may require 30-day minimums on other ADUs. In Los Angeles, an ADU can be home-shared only if it is the host's primary residence.
Thinking about buying a property with short-term rental income in mind? Ali Shariat can check a specific address against the city's rules, run the numbers as both a short-term and a long-term rental, and line up financing. Contact Ali or call (949) 818-1000.
