Sacramento Short Term Rental Regulation: A Guide For Airbnb Hosts

What are Short Term Rental (Airbnb, VRBO) Regulations in Sacramento, California?

Sacramento, California has a short-term rental ordinance that went into effect on February 18, 2016, which allows hosts to offer a primary and secondary residential dwelling unit for stays of 30 days or less with a short-term rental permit1. The ordinance applies to the City of Sacramento and not to other cities and towns near Sacramento, in unincorporated Sacramento County, and beyond. Hosts are required to register their short-term rental with the City, and the application fee is $230. After the city processes the application, hosts will receive their Short-Term Rental Permit, which must be renewed annually for a fee of $160. Hosts are also required to pay Sacramento's annual business operations tax, which is currently $54, and collect and remit transient occupancy taxes to the city1.

The ordinance also prohibits hosts from renting to more than six guests at a time and requires hosts to maintain a rental registry for a three-year period. Hosts must also adhere to the Rental Housing Program Standards, which include requirements for minimum bedding, heating, and ventilation. Additionally, hosts must ensure that their short-term rental properties are clean, safe, and free of any health hazards1.

Hosts are required to pay Sacramento's annual business operations tax, which is currently $54, and collect and remit transient occupancy taxes to the city. Guests who book Airbnb listings that are located in Sacramento, CA will pay the following tax as part of their reservation: Sacramento Transient Occupancy Tax: 12% of the listing price including any cleaning fees, for reservations 30 nights and shorter1.

The ordinance also prohibits hosts from renting to more than six guests at a time and requires hosts to maintain a rental registry for a three-year period. Hosts must also adhere to the Rental Housing Program Standards, which include requirements for minimum bedding, heating, and ventilation. Additionally, hosts must ensure that their short-term rental properties are clean, safe, and free of any health hazards1.

Hosts must also ensure that their short-term rental properties are accessible to individuals with disabilities and comply with all applicable accessibility regulations. Additionally, hosts must ensure that their properties are not used for any illegal activities or purposes1.

The Sacramento Community Development Department or Department of Finance can provide more information about the regulations. Hosts can also consult a local lawyer or tax professional for legal advice1.

Starting a Short Term Rental Business in Sacramento

Sacramento has regulations for short-term rentals (STRs) that are enforced through the city's zoning code and planning code. These regulations apply to both primary and secondary residential dwellings, with the primary residence being defined as a unit where the permittee resides for at least 184 nights during the calendar year. Hosts with secondary residences cannot rent for more than 90 days in any calendar year without obtaining a conditional use permit.In Sacramento, short-term rentals are defined as a dwelling unit or portion of a dwelling unit that is rented for a period of less than 30 consecutive days.

This definition includes both entire homes and individual rooms within a home. Hosts must ensure that their short-term rental properties are safe and comply with all applicable building codes, zoning laws, and other regulations.Short Term Rental Licensing Requirement in SacramentoTo operate a short-term rental in Sacramento, hosts must register their properties with the city and obtain a Short-Term Rental Permit. The initial application fee is $230, and permits must be renewed annually for a fee of $160.

Hosts are also required to pay Sacramento's annual business operations tax, which is currently $54, and collect and remit transient occupancy taxes to the city.The application process for a Short-Term Rental Permit in Sacramento involves several steps. First, hosts must complete an online application and provide proof of ownership or authorization to operate the property as a short-term rental.

Hosts must also provide a Business Operation Tax Account and categorize it as a hotel. Additionally, hosts must provide a copy of any Covenants, Conditions, & Restrictions (CC&Rs) or Homeowner Association rules (HOAs) with their application and cannot operate a short-term rental in violation of any CC&Rs or similar regulations.

Required Documents for Sacramento Short Term Rentals

To obtain a Short-Term Rental Permit in Sacramento, hosts must provide several documents, including a Business Operation Tax Account, proof of liability insurance, and a fire safety plan. Hosts must also ensure that their renters are aware of and follow all applicable city regulations, including noise and parking restrictions.

Hosts must also adhere to the Rental Housing Program Standards, which include requirements for minimum bedding, heating, and ventilation. Additionally, hosts must ensure that their short-term rental properties are clean, safe, and free of any health hazards.

Sacramento Short Term Rental Taxes

Guests who book Airbnb listings in Sacramento will pay a transient occupancy tax of 12% of the listing price, including any cleaning fees, for reservations 30 nights and shorter. Airbnb collects and remits this tax on behalf of hosts, making the process easier for both parties.Hosts are responsible for collecting and remitting transient occupancy taxes to the city for reservations longer than 30 nights. Hosts must also ensure that their renters are aware of and follow all applicable city regulations, including noise and parking restrictions.

Sacramento-wide Short Term Rental Rules

Sacramento has a number of rules that apply to short-term rentals throughout the city. Hosts cannot rent to more than six people at a time, per parcel, and must adhere to the Rental Housing Program Standards. Additionally, hosts must make sure their renters are aware of and follow all applicable city regulations, including noise and parking restrictions.

Hosts must also ensure that their short-term rental properties are accessible to individuals with disabilities and comply with all applicable accessibility regulations. Additionally, hosts must ensure that their properties are not used for any illegal activities or purposes.

Does Sacramento Strictly Enforce STR Rules?

Is Sacramento Airbnb Friendly?Sacramento does enforce its short-term rental regulations, with hosts facing fines and penalties for non-compliance. However, some hosts do operate in Sacramento despite the rules, often by listing their properties on Airbnb without obtaining a permit or registering with the city.

According to Bigger Pockets and Reddit responses, Sacramento is generally considered to be Airbnb-friendly, with hosts able to generate significant revenue from their short-term rental properties.However, some hosts have reported issues with the city's enforcement of short-term rental regulations, including fines and penalties for non-compliance.

Additionally, some hosts have reported difficulties in obtaining a Short-Term Rental Permit due to the city's strict requirements and regulations.Hosts have reported mixed experiences with the city's enforcement of short-term rental regulations.

Some hosts have reported receiving warnings or fines for non-compliance, while others have reported being able to operate their properties without any issues. Some hosts have also reported difficulties in obtaining a Short-Term Rental Permit due to the city's strict requirements and regulations.

How to Start a Short Term Rental Business in Sacramento

To start a short-term rental business in Sacramento, hosts should follow these steps:

• Review the city's short-term rental regulations and ensure that their property meets all requirements.
• Obtain a Business Operation Tax Account and categorize it as a hotel.
• Collect and remit transient occupancy taxes to the city.
• Adhere to the Rental Housing Program Standards and ensure that renters are aware of and follow all applicable city regulations.
• Apply for a Short-Term Rental Permit and pay the required fees.
• Add the permit number to the listing on Airbnb or other hosting platforms.
• Ensure that the property is accessible to individuals with disabilities and complies with all applicable accessibility regulations.
• Ensure that the property is safe, clean, and free of any health hazards.
• Ensure that the property is not used for any illegal activities or purposes.
• Maintain accurate records of all reservations, including the names and contact information of renters.
• Ensure that the property is in compliance with all local, state, and federal laws and regulations.
• Consider obtaining liability insurance to protect against potential accidents or incidents.
• Stay up-to-date on any changes to short-term rental regulations in Sacramento.

Who to Contact in Sacramento about Short Term Rental Regulations and Zoning

For more information about short-term rental regulations and zoning in Sacramento, hosts can contact the city's Revenue Division Business Permits office at 916-808-8500 or businesspermits@cityofsacramento.org. Hosts can also visit the city's website for more information about short-term rental regulations and the application process for a Short-Term Rental Permit.

What do Airbnb Hosts in Sacramento on Reddit and Bigger Pockets Think about Local Regulations?

According to Bigger Pockets and Reddit responses, Airbnb hosts in Sacramento have mixed feelings about local regulations. Some hosts appreciate the city's efforts to regulate short-term rentals and ensure that they are operated safely and responsibly. However, others feel that the regulations are overly burdensome and make it difficult to operate a short-term rental business in the city.

Some hosts have reported difficulties in obtaining a Short-Term Rental Permit due to the city's strict requirements and regulations. Additionally, some hosts have reported issues with the city's enforcement of short-term rental regulations, including fines and penalties for non-compliance.

Despite these concerns, many hosts continue to operate their short-term rental properties in Sacramento, often generating significant revenue in the process. Some hosts have reported success in navigating the city's regulations and obtaining a Short-Term Rental Permit, while others have found ways to operate their properties without a permit or registration.