The BREAKDOWN: Monterey County Vacation Rental Ordinances

Mar 18

Hello from Bri Steel, Broker/Realtor® & Owner of Bixby Realty!

If you are considering buying a short-term rental in Carmel, Pebble Beach, or the greater Monterey area this brief overview of the Monterey County vacation rental rules is for you.

Read through the following information to help you consider all the risks associated with your investment, and remember that we are here to help you clear up any doubts you may have.

Knowing what regulations affect your vacation rental in Monterey County is important.

Any Short Term Rentals (STRs) located in an unincorporated area of Monterey County are subject to County regulations. Different regulations apply to the unincorporated inland and coastal areas of Monterey County.

-If your home's address shows a "CZ" on the Zoning Map, it is in the Coastal Zone.

-If your home's address does not show a "CZ" and is not on the Zoning Map, it is not in the Coastal Zone but the Unincorporated Inland.

Current Monterey County Regulations

Monterey County has an ordinance regulating STRs in offshore areas.

The lengthy process can take months, the permit fee is about $8,000, and the application is tedious. If the owner receives a permit, they may rent for a period of 7 days or more.

Any unauthorized STR in a non-coastal area that breaks the law is subject to a citation and fine!

This information is essential for you if your property is located in Coastal Zones.

In July 2015 the County of Monterey issued an official memorandum outlining its own "interpretation" for regulating STRs. The County stated that if STRs are not permitted specifically by ordinance, they are prohibited.

After the Coastal Commission objected to this interpretation, the County claimed that the owners of STRs could obtain a BnB permit for a "similar use."

But the thing is BnBs require the owner to be present during the guests' stay. Therefore, any home operating in the Coastal Zone as a non-hosted STR is considered "illegal."

Similar BnB permits are also available for hosted STRs on the coast, but the permit cost is $14,000. With a price that high, no permit has been issued, so the County considers any STR in the coastal zone illegal and subject to citations and fines.

On December 20, 2021, the County announced a plan to step up its enforcement with a proactive policy. No nuisance complaint is needed. Find out more here.

If you are interested in the history of the Monterey County Vacation Rental Alliance vs. Monterey County in Short-Term Rentals, read about it here.

At Bixby Realty we bring a fresh and innovative “boutique” approach to real estate on the Monterey Peninsula. In the process, we make dreams come true.

Looking to sell? We will make your home SHINE. Listings like ours that are beautifully presented and professionally inspected sell faster and for more money.

Looking to buy? We help our clients write offers that WIN. We are competitors at heart and negotiators at work. We get results.

Call or email us to set up an appointment with our broker and owner, Bri Steel.

Bri Steel
Broker/Realtor® + Owner
Bixby Realty
831.200.6338
bri@bixbyrealty.com