Is Airbnb Legal in San Diego? 2026 Rules, Permits & Taxes

License required

Yes

Taxes on a stay

12.75%

Yearly night cap

20 nights

Fine for hosting without a permit

Up to $10,000

Active Airbnb listings

9,530

Next rule change

Jan 1, 2030

The rules in brief

Who needs it

Every host renting any home, room or part of a home in the City of San Diego for less than one month, whatever the zoning. One license per host and one dwelling unit per host.^{1,2,8,11,12,13,15,22}

Issued by

City of San Diego, Office of the City Treasurer

Valid for

Two years from the date of issue for every tier, renewable; the City emails a renewal notice 60 days before the license expires. Licenses cannot be transferred to another host or home.

Processing

Tier 1 and Tier 2 licenses are issued once the application is complete and the fees are paid; Airbnb's San Diego page says a license number typically arrives within 1 business day. Tier 3 licenses go to a lottery and waitlist when applications exceed the cap, and the application period closes within 45 days of the cap being reached.

On listings

The number must appear on every listing

Platform checks

City law bars a hosting platform from processing a booking unless the listing has a valid license number on the City's registry, and platforms send the City monthly listing data. Airbnb requires San Diego hosts to add the STRO and Transient Occupancy Tax numbers to the listing.

Fees

Who qualifies

• The host must be a natural person aged 18 or older with the legal right to occupy the home and allow stays under a month: the owner, or a tenant whose lease allows subletting for less than a month. An LLC cannot be the host.
• Tier 1: 20 rental days or less a year; the host does not need to live there, but a room rented under Tier 1 must be in the host's primary residence.
• Tier 2: rooms in the host's primary residence for more than 20 days a year, or the whole home for up to 90 days a year while the host is away; the host must live there at least 275 days a year.
• Tier 3: whole-home rentals for more than 20 days a year outside Mission Beach, capped at 1% of housing units; must be used at least 90 days a year, with a two-night minimum stay.
• Tier 4: the same for Mission Beach, capped at 30% of housing units there; all licenses are issued and applications are closed.
• An active Transient Occupancy Tax certificate, a paid Rental Unit Business Tax account, and, for hosts who do not own the home, a Business Tax Certificate and a right-to-occupy document.
• No pending City enforcement action on the home and no license revoked in the past 12 months.
• Accessory dwelling units, vehicles and temporary structures are not eligible.

How to apply

1. 1 Confirm the home is inside the City of San Diego (its nine council districts); homes outside city limits are not covered by the city ordinance.
2. 2 Choose a tier: Tier 1 for 20 days a year or less, Tier 2 for rooms or a home you live in at least 275 days a year, Tier 3 for a whole home outside Mission Beach.
3. 3 Get a free Transient Occupancy Tax certificate through the Transient Occupancy Registration System and confirm the parcel's Rental Unit Business Tax account is active and paid. A host who is not the owner also needs a Business Tax Certificate and a right-to-occupy document.
4. 4 Apply through the City's online STRO portal, list every platform where the home is advertised, upload the required documents and pay the application and license fees.
5. 5 Add the Transient Occupancy Tax and STRO license numbers to every listing, post the exterior notice and give guests the Good Neighbor Policy.
6. 6 Renew before the two-year term ends; a lapsed license means starting a new application.

Permit rules

STRO license required for stays under a month

Any rental of a home, or part of a home, for less than one month in the City of San Diego needs an STRO license. Operating without one has been unlawful since May 1, 2023.^1,8 In force since May 1, 2023

Tax certificate and no pending enforcement before applying

An application needs a Transient Occupancy Tax certificate number, proof of the Rental Unit Business Tax where it applies, and cannot be processed for a home with a pending City enforcement action.^1,8

License and tax numbers on every advertisement

Every advertisement must show the Transient Occupancy Tax certificate number and the STRO license number.^1,9,22

Platforms may not book unlicensed homes

A hosting platform may not process a booking for a home without a valid license number on the City's registry, must collect and remit the hotel tax when it collects rent, and must send the City monthly listing data.^2,8 Applies to: Hosting platforms

Advertised price must include mandatory fees

Since July 1, 2024, California's Honest Pricing Law (SB 478) applies to short-term rentals: the advertised price must include mandatory fees, and only government taxes and fees may be listed separately.¹⁸ In force since July 1, 2024

Tier 2: live in the home 275 days a year

A Tier 2 (home share) host must use the home as their primary residence at least 275 days of the year in which it is rented, and may rent rooms for more than 20 days a year.^1,8

Tier 3: whole-home licenses capped at 1% of housing units

Tier 3 licenses for whole homes outside Mission Beach are limited to 1% of the city's housing units outside Mission Beach. On October 9, 2026, 4,859 had been issued and 802 remained; once the cap is reached, applications close within 45 days and a lottery sets the waitlist.^8,12 Applies to: Whole homes outside Mission Beach

Tier 4: Mission Beach whole homes closed

Whole-home licenses in Mission Beach are capped at 30% of the housing units there. All 1,099 Tier 4 licenses were issued as of October 9, 2026, and the waitlist application period closed on August 15, 2025.^1,8 Applies to: Mission Beach

One license and one home per host

A host may hold one license at a time and operate one dwelling unit; licenses cannot be transferred to another host or home, and a property manager cannot be the host of several homes.⁸

Host must be an adult natural person

The City Treasurer's July 2026 regulation requires the host to be at least 18 years old when applying; the ordinance defines a host as a natural person, so a company cannot hold the license.¹¹

Tenants need the owner's authority

A host who is not the owner needs a Business Tax Certificate and a right-to-occupy document, such as a lease that allows stays under a month or the owner's signed authorization form.^8,11 Applies to: Tenants and managers

Applies in every zone

The ordinance covers all dwelling units in the City regardless of base zoning, so there is no zone where a license is not needed.⁸

No accessory dwelling units

Accessory dwelling units (ADUs, or granny flats) cannot be used for short-term rental; only companion units permitted before the October 15, 2017 prohibition qualify.⁸ Applies to: ADUs · In force since October 15, 2017

Coastal licensing requirement set to lapse on January 1, 2030

The licensing and tier provisions that form part of the certified Local Coastal Program stay in force in the Coastal Overlay Zone until January 1, 2030 unless the City amends them or the Coastal Commission extends the date.¹ Applies to: Coastal Overlay Zone · Takes effect January 1, 2030

Tier 1: 20 days a year or less

A Tier 1 license covers home share or whole-home rentals totaling 20 days or less in a calendar year. A room rented under Tier 1 must be in the host's primary residence, and the host does not need to live in the home for whole-home days.^1,8

Tier 2: whole home up to 90 days while away

A Tier 2 host may rent the whole home while away for up to 90 days a calendar year.⁸

Whole-home licenses must be used 90 days a year

A Tier 3 or Tier 4 host must use the license at least 90 days each year and file quarterly reports showing the days the home was rented.^1,8 Applies to: Tier 3 and Tier 4

No whole-home hosting for 21 to 89 days a year

A host who is not living in the home cannot rent it for 21 to 89 days a year; the choices are 20 days or less, 90 days or more on a Tier 3 license, or a Tier 2 license for a primary residence.⁸ Applies to: Whole homes

Two-night minimum stay on whole-home licenses

Tier 3 and Tier 4 stays must be at least two consecutive nights by the same guest.^1,9 Applies to: Tier 3 and Tier 4

Notice posted outside the home

A notice with the tax certificate and license numbers and a contact for the host or local contact must be visible from the sidewalk or street, on 8.5 by 11 inch paper in black, bold, 20-point capital letters.^1,8

Local contact answers within one hour

The host or a designated local contact must respond to a complaint in person or by telephone within one hour and act to resolve it.^1,8

Good Neighbor Policy for every guest

Hosts give guests a Good Neighbor Policy covering the number of guest rooms, the maximum number of occupants, parking, trash and noise limits; noise infractions can draw administrative citations of up to $1,000 for both the guest and the host.^1,10

Fire Code compliance

The home must meet the current California Fire Code, which the City may confirm by inspection or a host affidavit.¹

Human trafficking training and guest notice

Hosts must keep proof of a human trafficking awareness course and post guidance in the home for guests to report human trafficking.^1,9

Four-year records and quarterly reports

Hosts keep each stay's dates, nights, gross receipts and tax numbers for four years, and Tier 3 and Tier 4 hosts also file quarterly utilization reports.^1,8

Median nightly rate, booked nights

$265

Taxes on that night (12.75%)

$34

Guest pays, before Airbnb and cleaning fees

$299

What the host still handles

• A free Transient Occupancy Tax registration certificate from the Office of the City Treasurer, needed for the STRO application and shown on every listing even though Airbnb collects the tax
• Monthly Transient Occupancy Tax returns for direct bookings and platforms that do not collect the tax, due by the last day of the following month
• A Rental Unit Business Tax account for the parcel, owed by owners who rent for more than 6 days a year ($50 per parcel plus $5 per unit)
• A Business Tax Certificate for hosts who do not own the home ($34 a year for 12 employees or fewer)
• Quarterly utilization reports for Tier 3 and Tier 4 licenses^{3,13,14,15,21,22}

• Civil penalties for code violations, including STRO violations, are assessed at a daily rate of up to $10,000 per violation, capped at $500,000 per property per calendar year (amounts adjust yearly with inflation).^4,6
• Administrative citations can be issued for each violation observed, in any amount up to $10,000 per day since July 15, 2026 (previously up to $1,000). The change does not apply in the Coastal Overlay Zone until the Coastal Commission certifies it.^5,6
• Operating without a license can bring a Notice of Violation with penalties, and it jeopardizes the host's ability to get a license later.⁸
• A hearing officer may revoke a license on a third violation of the operating rules within 12 months, and the City does not process a new application from a host whose license was revoked in the previous 12 months.¹
• Noise infractions can draw administrative citations of up to $1,000 for both the guest and the host.¹⁰
• Late hotel tax draws a penalty of 1% of the tax due for the first day, plus one-third of 1% for each further day, up to 25%.¹³

1. January 1, 2030 Upcoming
   Coastal licensing requirement set to lapse

   Under the sunset clause, the STRO licensing requirement stops applying in the Coastal Overlay Zone on January 1, 2030 unless the City amends it or the Coastal Commission extends the date for good cause.¹

2. July 31, 2026
   Treasurer clarifies who can be a host

   A City Treasurer regulation dated July 31, 2026 requires hosts to be at least 18 and requires hosts who do not own the home to hold a Business Tax Certificate and provide a right-to-occupy document, including at renewal.¹¹

3. July 15, 2026
   Higher ceilings for administrative citations

   Ordinance O-22109, passed June 15, 2026, raised the maximum administrative citation from $1,000 to $10,000 a day and the yearly cap on civil penalties from $400,000 to $500,000 per property. The amendment does not apply in the Coastal Overlay Zone until the Coastal Commission certifies it.^4,5,6

4. August 15, 2025
   Mission Beach waitlist applications close

   The Tier 4 (Mission Beach whole home) waitlist application period closed on August 15, 2025 and the City created a waitlist by random lottery.⁸

5. June 27, 2025
   Lottery rule for capped licenses

   The City Treasurer issued a regulation setting how Tier 3 and Tier 4 licenses are lotteried and waitlisted once the caps are reached: applications close within 45 days of the cap, a stratified lottery by community planning area ranks the waitlist, and applications reopen when the Tier 3 waitlist reaches 75.¹²

6. May 1, 2025
   Hotel tax rises to 11.75% to 13.75% by zone

   After litigation delayed Measure C, the City began collecting the voter-approved increase on May 1, 2025, raising the Transient Occupancy Tax from 10.5% to 11.75%, 12.75% or 13.75% by tax zone.^13,14,20

7. March 1, 2025
   STRO fees increase

   City Council approved higher STRO application and license fees from March 1, 2025: Tier 1 $33 plus $193, Tier 2 $33 plus $284, Tiers 3 and 4 $41 plus $1,129.⁸

8. May 1, 2023
   STRO license required

   Operating a short-term rental in the City of San Diego without a Short-Term Residential Occupancy license became unlawful on May 1, 2023.⁸

Estimate what a San Diego home could earn

1. 1. San Diego Municipal Code, Chapter 5, Article 10, Division 1: Short-Term Residential Occupancy · City of San Diego
2. 2. San Diego Municipal Code, Chapter 5, Article 10, Division 2: Hosting Platforms · City of San Diego
3. 3. San Diego Municipal Code, Chapter 3, Article 5, Division 2: Additional, Voter-Approved Transient Occupancy Tax · City of San Diego
4. 4. San Diego Municipal Code, Chapter 1, Article 2, Division 8: Administrative Civil Penalties · City of San Diego
5. 5. San Diego Municipal Code, Chapter 1, Article 2, Division 9: Administrative Citations · City of San Diego
6. 6. Ordinance O-22109, strikeout version (2026 Land Development Code update) · City of San Diego
7. 7. California Revenue and Taxation Code section 7280 - Occupancy taxes · California Legislative Information
8. 8. Short-Term Residential Occupancy (STRO) · City of San Diego Office of the City Treasurer
9. 9. STRO Host Operating Requirements - Checklist (revised July 2025) · City of San Diego Office of the City Treasurer
10. 10. STRO Good Neighbor Guidelines · City of San Diego Office of the City Treasurer
11. 11. Regulation Clarifying STRO License Requirements (July 31, 2026) · City of San Diego Office of the City Treasurer
12. 12. Regulation on STRO Lottery Administration (June 27, 2025) · City of San Diego Office of the City Treasurer
13. 13. Transient Occupancy Tax (TOT)/Tourism Marketing District (TMD) · City of San Diego Office of the City Treasurer
14. 14. City of San Diego 'Hotel Room Tax' to Increase Starting May 1 (news release, March 20, 2025) · City of San Diego
15. 15. Rental Unit Business Tax Fees · City of San Diego Office of the City Treasurer
16. 16. Application Deadline Nears for City of San Diego Whole Home, Short-Term Rental Licenses (news release, November 21, 2022) · City of San Diego
17. 17. Short Term Rental Alliance of San Diego v. City of San Diego, No. 22cv1831 (S.D. Cal. June 12, 2023), order on motion to dismiss · U.S. District Court, Southern District of California
18. 18. SB 478 - Hidden Fees (Honest Pricing Law) · California Attorney General
19. 19. Short-Term/Vacation Rentals in the California Coastal Zone (letter to planning directors, December 6, 2016) · California Coastal Commission
20. 20. Transient Occupancy Tax (TOT) Measure C FAQs · City of San Diego Office of the City Treasurer
21. 21. Occupancy tax collection and remittance by Airbnb in California · Airbnb Help Center
22. 22. San Diego, CA · Airbnb Help Center