Executive Overview: STR Status in Lemon Grove, CA

Short-term rentals are allowed in Lemon Grove, CA, but with significant restrictions. The city permits "home-sharing" (hosted short-term rentals) while explicitly prohibiting "vacation rentals" (unhosted short-term rentals). This means you may only operate a short-term rental if it is your primary residence and you remain physically present throughout your guests' stay. Unhosted rentals of any dwelling for 30 consecutive days or less are prohibited in Lemon Grove.

Starting a Short-Term Rental Business in Lemon Grove

Operating a compliant short-term rental in Lemon Grove requires following a six-step process:

Step 1: Pre-Application Requirements

• Confirm your property qualifies as your primary residence (you must live there at least 275 days per year)
• Ensure you can comply with all ordinance requirements, including the five-hour daily presence requirement
• Review the complete Home-Sharing Ordinance (Chapter 18.48 of the Lemon Grove Municipal Code)

Step 2: Apply for Home-Sharing Permit

• Complete the Home-Sharing Permit Application
• Pay the $79 application fee
• Submit required documentation (see "Required Documents" section below)
• Upon approval, receive your Home-Sharing Permit Number (required on all advertising)

Step 3: Obtain Business License

• Apply for a Home Occupation Business License ($49 fee)
• Complete the Business License application
• This license is required for all home-sharing operations

Step 4: Registration and Approval

• Your Home-Sharing Permit and Business License will be issued
• You'll be added to the City's public Home-Sharing Registry
• Your permit number will be published, allowing legal operation

Step 5: Tax Compliance

• Register for and collect Transient Occupancy Tax (TOT)
• Remit TOT payments according to the City's TOT Form requirements
• TOT is required for all transient uses, including home-sharing

Step 6: Annual Renewal

• Renew both your Home-Sharing Permit and Business License annually
• Notify the City if you discontinue operations for removal from the registry

Required Documents, Permits, Licenses, and Guidelines

Permits and Licenses

1. Home-Sharing Permit ($79 fee)

   • Required for all home-sharing operations
   • Must be renewed annually
   • Permit number required on all advertising

2. Business License ($49 fee)

   • Home Occupation Business License required
   • Must be renewed annually
   • Separate from any other business licenses

3. Transient Occupancy Tax (TOT) Registration

   • Required to collect and remit TOT
   • TOT Form must be completed and submitted
   • Separate tax registration process

Required Documentation

1. Proof of Primary Residency (minimum two of the following):

   • Motor vehicle registration
   • Driver's license
   • Voter registration
   • Tax documents showing dwelling as primary residence
   • Utility or phone bill (dated within last 30 days)

2. Property Owner Authorization (if not the owner):

   • Property owner must sign application
   • Required for tenants, lessees, or sub-lessees

3. HOA Authorization (if applicable):

   • Letter of authorization from homeowners association
   • Must indicate home-sharing is permitted under CC&Rs

4. Site Plan

   • Must show parking spaces available to guests
   • Must demonstrate compliance with parking requirements

5. Safety Compliance Checklist:

   • Operable window/door in sleeping rooms
   • Functional smoke alarms
   • Carbon monoxide alarms
   • Properly secured water heater
   • Functional heating/ventilation equipment
   • Valid fire extinguisher
   • Posted emergency information sign

Guidelines and Standards

• Good Neighbor Guidelines must be posted in dwelling and provided to guests
• Home Occupation Regulations must be followed (Chapter 18.20 LGMC)
• City inspection may be required for safety compliance

Specific Regulations for Short-Term Rentals

City of Lemon Grove Regulations

Residency and Presence Requirements

• Host must reside in the dwelling as primary residence (minimum 275 days/year)
• Host must be physically present in the dwelling for at least 5 hours in every 24-hour period during home-sharing
• Only one host allowed per dwelling unit
• No short-term rentals permitted while host is away from residence

Property Eligibility

• Must be primary residence of host
• Vacation rentals prohibited (unhosted rentals)
• Only legally constructed residential structures permitted
• Prohibited: non-permitted structures, garages, storage sheds, vehicles, RVs, tree houses, temporary structures
• Income-restricted units prohibited for home-sharing

Occupancy Limits

• Maximum 2 guests per bedroom (excluding host's bedroom) plus 1 additional guest
• Example: 4-bedroom house = maximum 7 guests
• Includes legally constructed guest houses and ADUs

Stay Requirements

• Minimum stay: 3 days, 2 nights
• Maximum stay: 30 consecutive days
• No limit on frequency of home-sharing use

Parking Requirements

• Guests must park on-site only (no street parking)
• Parking not permitted in required front or side setbacks (except driveway)
• Guest parking must be in addition to host's required parking
• Must provide site plan showing guest parking

Special Events and Commercial Use

• Events, parties, gatherings exceeding guest limits prohibited
• Special events (weddings, banquets, corporate retreats) prohibited in association with home-sharing use

San Diego County Regulations

The provided content does not include specific San Diego County regulations for short-term rentals. If operating within Lemon Grove city limits, city regulations supersede county regulations.

California State Regulations

The provided content does not include specific California state regulations for short-term rentals beyond local municipal requirements.

Enforcement and Penalties

Revocation

Home-sharing permits subject to revocation if:

• Permit conditions not fulfilled
• Other violations exist

Misdemeanor Charges

Home-sharing non-compliance considered misdemeanor with penalties per Section 17.04.070 of LGMC:

• Fine and/or imprisonment upon conviction

Registry and Public Information

• Home-Sharing Registry published on city website
• All permit numbers publicly listed
• Public can check if nearby operations are permitted

Contact Information

Community Development Department / Planning Division

• Address: 3232 Main Street, Lemon Grove, CA 91945
• Phone: (619) 825-3805
• Fax: (619) 825-3818
• Website: www.lemongrove.ca.gov

Development Services Department

• Phone: (619) 825-3800
• For Home-Sharing Questions: Contact Community Development Department

City Hall

• Address: 3232 Main Street, Lemon Grove, CA 91945
• Phone: (619) 825-3800

Source Links

Primary Sources

• Lemon Grove Home-Sharing Information Page
• Home-Sharing Updated 2025 PDF
• Home-Sharing Permit Application

Archived Ordinance Documents

• Ordinance No. 452 - Home-Sharing Ordinance
• Good Neighbor Guidelines
• TOT Form

Additional Resources

• Business Licenses Information
• Get a Permit Information
• ADU Information

Important Notes for Investors

Lemon Grove's regulatory environment is particularly restrictive compared to other jurisdictions. The requirement for hosts to be physically present for at least 5 hours daily during guest stays essentially eliminates passive income opportunities. This "hosted" requirement combined with the prohibition on vacation rentals means properties cannot generate revenue while owners are away.

Current registry status shows "No Active Permits at this Time," indicating either:

1. Very limited compliance among current operators
2. Inability to meet residency requirements
3. Low investor interest due to restrictions

Consider adjacent jurisdictions if seeking investment opportunities in the broader San Diego area, as San Diego city proper has different regulations allowing for unhosted short-term rentals under specific licensing tiers.

Essential due diligence should include verification that potential acquisitions can serve as primary residences meeting the 275-day requirement, and confirmation that parking and safety requirements can be met for the intended property configuration.