Overview

Short-term rentals are permitted in Moss Landing, CA, but with significant restrictions. According to recent Monterey County regulations finalized in September 2025, commercial vacation rentals are banned in Moss Landing's residential areas, while other types of short-term rentals face strict limitations and regulatory requirements.

How to Start a Short-Term Rental Business in This Market

Legal Pathways to Operate

Given the commercial STR ban in Moss Landing residential areas, investors have limited legal options:

1. Homestays: Hosted STRs where the owner occupies at least one bedroom during guest stays may be permitted with proper licensing
2. Limited Vacation Rentals: Non-hosted STRs rented no more than three times per year may be allowed
3. Properties Outside Residential Zones: Consider properties in commercial zones or outside the restricted residential areas of Moss Landing

Pre-Application Requirements

Before pursuing any STR operation:

• Verify property zoning and specific location within Moss Landing
• Confirm whether your property falls within the banned commercial STR zones
• Assess whether your intended operation fits within permitted categories

Required Documents, Permits, Licenses, and Guidelines

Mandatory Licensing (If Permitted)

1. Vacation Rental License: Required for all STR operators in unincorporated Monterey County

   • Fee: $965
   • Registration deadline: October 14, 2024 (for new operations)
   • Must display license number on all listings and advertisements

2. County Business License: Required before beginning STR operations

   • Must be obtained prior to vacation rental license application

3. Transient Occupancy Tax (TOT) Certificate: Required for tax collection and reporting

   • Operators must collect TOT from guests on all stays
   • File regular TOT returns with the county

Additional Requirements

• Neighbor Notification: Send informational letters to neighbors within 300-foot radius
• Property Manager Designation: Must have 24/7 manager available to respond within 30 minutes
• Coastal Development Permit: May be required for commercial vacation rentals (discretionary approval)

Specific Regulations

Banned Areas

Commercial vacation rentals are explicitly banned in:

• Moss Landing residential areas
• Big Sur
• Carmel Highlands
• Residential areas of Carmel Valley

Operational Restrictions

• Property Manager: Must be available 24/7 and able to respond within 30 minutes
• Quiet Hours: Must observe local quiet hours
• Sound Restrictions: Outdoor amplified sound is prohibited
• Fire Safety: Outdoor fire pits and fireplaces are banned at all vacation rental properties
• Occupancy Limits: Must follow county health standards and occupancy regulations
• Parking: Must comply with parking regulations
• Garbage and Health Standards: Must maintain property according to county health codes

Permit Caps and Limitations

• Inland Planning Areas: Commercial STRs capped at 4% of housing stock
• Coastal Zones: Commercial STRs capped at 4% (requires California Coastal Commission approval)
• Definition: STRs defined as residential property used for transient lodging for 30 days or fewer
• Property Types: Only allowed in single-family dwellings

Compliance Deadlines

• New Operators: Must apply and obtain permits by April 14, 2025
• Existing Operators: Must comply by permit expiration or within seven years, whichever comes first
• Marketplace Compliance: STR platforms must remove noncompliant listings within 10 days of county notification

Tax Requirements

Transient Occupancy Tax (TOT)

• Collection Requirement: Must collect TOT from all guests
• Reporting: File regular TOT returns with Monterey County
• Platform Limitations: Airbnb and Vrbo do not collect TOT for Monterey County hosts
• Operator Responsibility: Hosts are solely responsible for tax compliance and remittance

Contact Information

Monterey County Housing & Community Development

• Website: County of Monterey Planning Services
• Main Department: Housing & Community Development Department
• Planning Services: Contact for zoning and coastal development permit questions

Monterey County Treasurer-Tax Collector

• Transient Occupancy Tax Questions: Contact for TOT certificate and filing requirements
• Website: County Treasurer-Tax Collector

California Coastal Commission - Central Coast District

• Address: 725 Front Street, Suite 300, Santa Cruz, CA 95060
• Phone: (831) 427-4863
• Website: www.coastal.ca.gov

Source Links

1. County of Monterey - Vacation Rentals
2. Monterey Herald - County finalizes STR regulations
3. Avalara - STR bans in Monterey County
4. California Coastal Commission - LCP Amendment Documents

Disclaimer: This guide is for informational purposes only and does not constitute legal advice. Short-term rental regulations are subject to frequent changes. Consult with local authorities and legal counsel before making investment decisions.