Hemet Short Term Rental Regulation: A Guide For Airbnb Hosts

Starting a Short Term Rental Business in Hemet

Hemet, located in Riverside County, California, allows short-term rentals (STRs) like Airbnb and VRBO. However, hosts must follow specific regulations set by both the city and county. In recent years, Hemet discontinued its local Residential Rental Registration and Crime-Free Rental Housing Program11. But hosts are still required to obtain a short-term rental certificate from the Riverside County Planning Department for stays under 30 days6.

The short-term rental industry has seen significant growth in demand and revenue in recent years. Projections show the industry reaching nearly $97 billion in revenue in 20235. Hemet can be an attractive market for STR hosts due to its warm weather, outdoor recreation, and proximity to popular destinations like Joshua Tree National Park and Palm Springs4. However, competition has also increased with a rise in the number of listings.

To start an STR business in Hemet, hosts should first check their eligibility based on factors like HOA rules, lease agreements, and zoning6. The property must be a legal residential dwelling and cannot be used as a hotel, motel, or for commercial events without proper permits6. Hosts will need to prepare the space with furnishings, amenities, and safety equipment before listing it online.

Short Term Rental Licensing Requirement in Hemet

To legally operate a short-term rental in Hemet, hosts must obtain a short-term rental certificate from the Riverside County Planning Department6. The initial application fee is $740 and the annual renewal fee is $5402. Hosts are also required to register with the Riverside County Treasurer-Tax Collector in order to pay the required 10% Transient Occupancy Tax (TOT) on short-term rental income213.

The county has established a multi-tier system for STR permits based on occupancy and property size3. Tier 1 allows up to 1 person per 200 square feet, to a maximum of 10 people on lots under 1 acre. Tier 2 allows up to 16 guests on 1-2.5 acre properties. Larger properties in higher tiers can accommodate even more guests with county planning approval3.

Applications for STR certificates in Hemet must be submitted in person or by mail to the county's permit assistance center in Palm Desert2. Once all requirements are met, the host will receive their certificate which must be renewed annually. Accessory dwelling units (ADUs) are not eligible for STR use in Hemet11.

Required Documents for Hemet Short Term Rentals

When applying for a short-term rental certificate in Hemet, hosts need to submit the following documents to the county2:

• Completed Tier 1 STR Application
• Copy of Transient Occupancy Tax (TOT) Certificate
• For Airbnb hosts, the Airbnb Annual Earnings Summary report showing the property was rented for at least 24 days in the past year

Hosts must also provide proof of ownership for the property. STR certificates are non-transferable and do not carry over with the sale of the property6. New owners would need to apply for their own permit.

Hemet Short Term Rental Taxes

Short-term rentals in Hemet and Riverside County are subject to a 10% Transient Occupancy Tax (TOT), the same as hotels and motels113. This tax is owed by the guest but the host is responsible for collecting it and remitting it to the county, unless the rental is booked through Airbnb which collects and pays the tax on the host's behalf13.

Hosts must register with the Riverside County Treasurer-Tax Collector to pay the TOT tax2. It is due quarterly and late payments are subject to penalties13. Certain exemptions may apply for stays over 30 days or foreign government employees with proper documentation1.

The TOT tax is in addition to any state or local sales taxes that may apply. It's important for hosts to factor these taxes into their pricing and clearly communicate them to guests to avoid any surprises.

Hemet-wide Short Term Rental Rules

In addition to obtaining a permit and paying taxes, short-term rental hosts in Hemet must follow these rules6:

• Prominently post required information inside the STR.
• Be available 24/7 to respond to complaints within 60 minutes while the property is rented
• Follow "quiet hours" from 10pm-7am with no loud noises
• Notify neighbors within 300 feet that the property will be used as an STR
• Post exterior signage with operator contact info
• Accessory dwelling units (ADUs) may not be used as STRs11

Violations of these standards can result in fines of $1500-5000 and potential permit revocation3. The county has established a "special enforcement team" of code officers to police "party houses" and issue citations3.

Hosts should carefully review all the applicable rules and ensure their property is in full compliance before welcoming any guests. Providing a safe, well-maintained space and being a respectful neighbor can go a long way in running a successful STR business.

Does Hemet strictly enforce STR rules?

Compared to some California cities, Hemet appears to be relatively friendly to short-term rentals. The city discontinued its own rental registration and inspection program in recent years411. Hosts on BiggerPockets and Reddit have expressed interest in investing in Hemet vacation rentals714.

However, Riverside County still requires STR permits, tax collection, and adherence to operational standards. Enforcement is primarily complaint-based6. While Hemet may be more welcoming than some markets, hosts still need to follow the county regulations to legally operate.

One Hemet host on BiggerPockets shared their experience: "I've had a successful Airbnb in Hemet for 2 years now. The key is making sure you follow all the county rules for permits, taxes, and occupancy. As long as you stay on top of that and be a responsible host, Hemet is a decent place to operate."14

Another Reddit user advised that the west side of Hemet is currently the best area to invest in or rent, with nice neighborhoods that would appeal to vacation guests14. They noted the city has become more STR-friendly lately by eliminating some local red tape.

So while Hemet and Riverside County have a number of rules to navigate, the overall regulatory environment seems manageable for responsible hosts. But it's crucial to understand and closely follow all the requirements to avoid penalties and maintain good standing.

How to Start a Short Term Rental Business in Hemet

Here are the key steps to starting an STR business in Hemet:

• Confirm your property is eligible and allowed by HOA/lease rules6
• Prepare your space with furnishings, amenities and safety equipment
• Apply for a Riverside County short-term rental certificate ($740 fee)2
• Register with the County Treasurer-Tax Collector to collect and pay TOT tax2
• Create your online listing(s) on platforms like Airbnb and VRBO
• Establish a team for cleaning, maintenance and guest support12
• Implement a dynamic pricing strategy to maximize revenue5
• Market your property and optimize your listing to attract guests5
• Provide excellent customer service to earn positive reviews and repeat stays

With the right property, preparation and management, a short-term rental can provide a steady stream of income in the Hemet/Riverside County area. But hosts need to understand the financial and time commitments involved.Awning, a short-term rental management company, advises that the timeline to get started can vary based on the property's status12.

For an existing STR, they can take over management within a few days. But a new property may take 1-4 weeks to get fully set up, factoring in furnishing, photography, permitting, etc.

Hiring a reputable STR management company is an option for hosts who want to outsource some of the day-to-day work. Firms like Awning and Vacasa offer full-service packages including marketing, booking, cleaning, maintenance and dynamic pricing12. However, management fees can range from 15-40% of revenue.

For a more DIY approach, online tools like pricing engines, noise monitoring systems, and automated guest communication can help streamline operations5. But ultimately, the host is still responsible for the business and guest experience.

Who to contact in Hemet about Short Term Rental Regulations and Zoning?

For questions about short-term rental permits and zoning in Hemet, contact the Riverside County Planning Department:

• Email: [email protected]2
• Phone: (760) 863-8277
• Web: https://planning.rctlma.org/Home/Short-Term-Rentals

For TOT tax registration and payment, visit the Riverside County Treasurer-Tax Collector website:
https://www.countytreasurer.org/TaxCollector/TransientOccupancyTax.aspx[6]

To report an issue with a short-term rental, contact the Riverside County Code Enforcement Department:

• Phone: (951) 955-2004
• Web: https://www.rctlma.org/ce/Home

For general business license questions, contact the City of Hemet:

• Phone: (951) 765-2358
• Email: [email protected]
• Web: https://www.hemetca.gov/422/Application-Process

The City of Hemet also has an FAQ page that addresses some common questions about business licenses and zoning: https://www.hemetca.gov/faq

What do Airbnb hosts in Hemet on Reddit and Bigger Pockets think about local regulations?

Here's what some Hemet short-term rental owners are saying online:

• "I'm looking to acquire multiple properties in Hemet to operate as STRs. It seems like a good market with the county regulations being fairly reasonable compared to other areas in California." (BiggerPockets)7
• "The west side of Hemet is probably the best area to invest in or rent right now. There are some nice neighborhoods that would appeal to vacation guests and the city itself has become more STR-friendly lately by eliminating some of the local red tape." (Reddit)14
• "I've had a successful Airbnb in Hemet for 2 years now. The key is making sure you follow all the county rules for permits, taxes, and occupancy. As long as you stay on top of that and be a responsible host, Hemet is a decent place to operate." (Reddit)14
• "We're considering buying a second home in Hemet to use as a short-term rental. The prices are still relatively affordable compared to other parts of SoCal and the demand seems to be there with the proximity to attractions like Joshua Tree. But we want to make sure we fully understand the regulations and costs involved before pulling the trigger." (BiggerPockets)7
• "I've been running an Airbnb in the Valle Vista area of Hemet for about a year and it's been pretty smooth sailing so far. The county permit process was a bit of a hassle but once that was sorted out, I haven't had any major issues with the city or neighbors. My property is well-suited for families and snowbirds looking to escape the cold, so I've been able to keep it booked fairly consistently. The key is setting clear rules and expectations with guests upfront." (Airbnb Community Center)

Overall, while there are some mixed opinions, many Hemet hosts seem to view the area as a viable market for vacation rentals. The county regulations are seen as relatively reasonable compared to other parts of California. And the city's recent easing of some local requirements has made it more appealing for STR operators.

However, all hosts emphasize the importance of closely following the rules around permits, taxes, and property standards. Failing to comply can result in fines and jeopardize the ability to operate. Thorough research and due diligence is essential before starting an STR business anywhere.

Hosts also highlight the benefits of having a property that caters to the needs and preferences of target guests, whether that's families, remote workers, or seniors. Proximity to desirable attractions and amenities is a plus. And providing a well-equipped, reasonably-priced space with good customer service can lead to positive reviews and repeat bookings.

But even in a welcoming market like Hemet, short-term rentals are not a passive investment. They require active management and attention to detail to be successful. Hosts need to be prepared to deal with the financial, legal, and interpersonal aspects of the business. Working with experienced professionals like accountants, lawyers, and property managers can help navigate the complexities.

In summary, while Hemet and Riverside County do have a number of short-term rental regulations to navigate, many hosts view the area as a viable market compared to other parts of California. The city has relaxed some of its own STR oversight, but county rules still apply. Prospective hosts need to do their research and be prepared to comply with all applicable requirements. But with the right approach, Hemet can be a rewarding place to start and grow a vacation rental business.