Marin County, California, sets caps for short-term rentals
- Apr 23, 2024 | Jennifer Sokolowsky
New regulations for short-term rentals (STRs) in Marin County, California, have been approved by the California Coastal Commission. The Marin County Board of Supervisors passed the law in January 2024, and the supervisors will vote on the ordinance again on May 7 before it becomes law.
Currently, the county has a moratorium on new short-term rentals in West Marin communities that ends May 23, 2024. The moratorium was originally passed in 2022 amid concerns about an affordable housing shortage. It was then extended while the county studied options for regulating STRs that would help preserve housing stock for locals while preserving coastal access.
Because the new ordinance affects coastal communities, the county needed the commission’s approval. The commission has become more involved in local regulation of vacation rentals in recent years, frequently ruling that short-term rentals are essential to public access.
Under the update, the number of STRs is capped at 1,200 in unincorporated parts of the county, except for Stinson Beach, which has a cap of 192 STRs, and Dillon Beach, which has a cap of 204 STRs. Other townships in West Marin also have their own caps, including Bolinas, Fallon, Forest Knolls, Inverness, Lagunitas, Marshall, Muir Beach, Muir Woods Park, Nicasio, Olema, Petaluma, Point Reyes Station, San Geronimo, Tomales, Valley Ford, and Woodacre.
In Marin County, an STR is defined as a lease term of 30 days or less. The county has regulated STRs since 2018, requiring operators in unincorporated areas to obtain a business license. They must also designate a local contact person who can be available in case of any issues.
The latest law specifies that only one short-term rental permit is allowed per person. Licenses must be renewed by property owners every two years and one-time transfers of STR ownership to a spouse or child can occur anytime. STR permit numbers must be included on all STR listings and advertisements. STR hosts must also follow rules on septic systems, parking, noise, trash, safety, and signage.
Starting January 1, 2024, the county is no longer issuing permits for STRs operating in multi-family buildings. Accessory dwelling units (ADUs) built in 2020 or later cannot be used as STRs, aligning with state law.
Marin STR hosts must also comply with lodging tax rules
Marin County hosts must also apply for a transient occupancy tax (TOT) certificate, collect TOT from guests, and file TOT returns. Airbnb and Vrbo automatically collect TOT on behalf of hosts in unincorporated Marin County for bookings made through their sites.
Avalara MyLodgeTax can help short-term rental hosts automate and simplify short-term rental compliance. MyLodgeTax makes sure hosts are registered with the right jurisdictions and filing all required returns on time — whether a short-term rental marketplace is collecting taxes or not. For more information on short-term rental tax obligations, see our California vacation rental tax guide. If you have tax questions related to vacation rental properties, drop us a line and we’ll get back to you with answers.
