Palm Springs STR Rules & Regulations

Discover the vibrant world of Short-Term Rentals (STRs) in Palm Springs, with approximately 2,500 permitted STRs currently operating. If you're an investor considering an STR purchase, it's crucial to familiarize yourself with the STR Ordinance, STR Frequently Asked Questions, and the Good Neighbor Brochure.

• Requirement of Short-Term Rental Permit: Operating an STR in Palm Springs necessitates obtaining a Short-Term Rental Permit.

• Updated Rental Frequency Restrictions: Recently, the city council voted to reduce the number of times a home can be rented per year from 36 to 26. This change is effective immediately for new applicants, while existing STR permit holders will see the change take effect on January 1, 2026.

• Purchasing a Licensed STR: If available for sale, investors have the opportunity to purchase a currently licensed (turnkey) STR.

• Non-Transferrable STR Permits: It's important to note that STR Permits in Palm Springs are not transferrable. It's vital to recognize that the issuance of an STR permit rests solely within the jurisdiction of the city, subject to its discretion on timing and eligibility.

• Issuance of New STR Permits: The city continues to issue new STR permits for recently purchased properties, ensuring opportunities for interested individuals.

• Application Process for New STR Owners: All new STR owners must apply for an STR permit as new applicants. However, it's essential to understand that advertising or hosting guests in the Short-Term Rental is prohibited until the owner receives the hard copy of the new STR permit.

• Mandatory Property Safety Inspection: Before issuing an STR permit, a comprehensive Property Safety Inspection must be completed to ensure compliance with safety standards.

• Duration of STR Application Process: The STR application process typically takes approximately 90 days to complete, allowing for a comprehensive evaluation and issuance of permits.

• Fee for Obtaining an STR Permit: To obtain a new STR permit in Palm Springs, the fee is set at $944, reflecting the value and benefits associated with the STR market.

• Transient Occupancy Tax Requirement: Short-Term Rental owners are required to pay a Transient Occupancy Tax of 11.5% to the city, contributing to the local community and infrastructure.

• Complaint Response and Availability: To ensure a satisfactory experience for guests, the Short-Term Rental owner or their designated agent must be available 24/7 to respond to all complaints within 30 minutes.

• Short-Term Rental Occupancy Guidelines: See the chart below for the Short-Term Rental Occupancy Guidelines.

May, 2024 -  'Wasn't meant to be': What happened to the best place in Calif. to buy an Airbnb?

March, 2024 - Is the Palm Springs Real Estate Party Over? Cap on Short-Term Rentals Could Return Region to Its Hideaway Roots

Jan., 2024 - 'Airbnb Effect' Changing SoCal's Real Estate Market 

Jan., 2024 - Palm Springs home values in "free-fall" after city cracks down on Airbnb

Sept., 2023 - Summer slowdown strikes Palm Springs: Tourism takes a hit as transient occupancy tax drops

July, 2023 - Short-term rental prices drop, to owners' frustration

April, 2023 - I own a Palm Springs AirBNB.  It's Not as Profitable as I'd Hoped - Business Insider

Nov., 2022 - Palm Springs council puts new limits on short-term rentals, including 20% neighborhood cap

Oct., 2022 - Palm Springs City Council approves 30+ day moratorium on vacation rental permits

Oct., 2022 - Palm Springs pauses decisions on short-term rental permits through Nov. 29

Oct., 2022 - Palm Springs short-term rental moratorium could start Monday if 4 of 5 council members agree

Oct., 2022 - The City of Palm Springs releases a staff report regarding short-term rental moratorium

Oct., 2022 - Palm Springs council may forbid new short-term rental permits with temporary moratorium

The information published here was accurate at time of publication.  Please check the Palm Springs City website for the most current updates.           

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