Carlsbad, California Short Term Rental Regulations

City Code of Ordinances

Carlsbad defines short-term rentals as any rental of a portion or the entirety of a legally permitted housing unit for a period of time shorter than 30 days. Included in this are multi-family homes and condominiums. If the property is part of an HOA, please ensure that the covenants, conditions, and restrictions (CC&Rs) permit short-term vacation rentals. The city does not enforce HOA regulations and CC&Rs.

The "coastal zone" in the City of Carlsbad and the "La Costa Chateaus" in 2003 and 2005 Costa Del Mar allow short-term vacation rentals. The California Coastal Commission defines the "coastal zone" as the region that typically extends 1,000 yards inland from the mean high tide line or, in some cases, inland to the first major ridgeline.

Business License Requirements

All businesses operating inside the city limits of Carlsbad must hold an active license. Before advertising their property, operators of short-term vacation rentals must get a business license and a short-term vacation rental permit. Annual renewal is required for these.

Below is a list of all the documents required to get a short-term vacation rental license or permit:

• Business License Application (downloaded)
• Online Business License Application
• Permit Application
• Impact Response Plan
• Declaration Notification

Refer to City of Carlsbad Short-term Vacation Rentals for more information. 

Building and Housing Standards

Carlsbad has rules and regulations that specify minimum building, design, maintenance standards, habitability, health, and safety requirements. Some rules and regulations that apply to residential and non-residential properties may apply to your listing. For more information, consult the City of Carlsbad Building Codes & Standards for more information.

Tourist and Local Taxes

A 10% temporary occupancy tax (TOT, also known as the "hotel tax") and a 2% Carlsbad Tourism Business Improvement District assessment are applied to short-term vacation rentals (CTBID). The TOT and the CTBID assessment must be collected and paid for by the property owner or the owner's agent. Payments for the monthly TOT must be made on or before the last day of the month that immediately follows the month for which the payment is due.

Other Rules

It is also essential to understand and abide by other contracts or rules that bind you, such as city requirements, leases, condo boards, co-op rules, HOA rules, or rules established by tenant organizations. Visit the City of Carlsbad for more information.