Short-Term Rental Laws in Palm Springs, CA (2026)
Short-term rentals (stays of 28 nights or less) are legal in Palm Springs only with a city Vacation Rental Registration Certificate ($1,046 per year as of December 1, 2025, plus a one-time $25 TOT permit), and each owner may hold just one certificate. The biggest restrictions are the annual contract caps — 26 rental contracts per calendar year for post-October 17, 2022 permittees (grandfathered 'existing permittees' keep 32 plus 4 third-quarter contracts after Ordinance 2118 cancelled a planned 2026 reduction) — and a 20% per-neighborhood certificate cap under which new applications are refused in neighborhoods at or above the limit. Rentals are limited to single-family dwellings (prohibited in apartments), and hosts remit 11.5% city TOT plus a 1% TBID monthly. Always confirm current requirements with the city before operating.
Palm Springs STR rules at a glance
| Legal status | Restricted |
|---|---|
| Permit required | Yes |
| Permit name | Vacation Rental Registration Certificate |
| Permit fee | $1,046 |
| Renewal | Annual |
| Owner occupancy required | No |
| Primary residence only | No |
| Max units per owner | 1 |
| Total occupancy taxes | ~12.5% of gross revenue |
| Insurance | Yes — owner must carry a short-term rental or personal liability insurance policy with a minimum limit of $500,000 per occurrence for the complete term of the certificate; evidence of insurance is required at application and each renewal (the city need not be named additional insured). |
| Enforcement | Enforcement is run by the Department of Special Program Compliance (Vacation Rental Compliance), with a 24/7 complaint hotline (760-322-8383) and published hotline/citation/suspension reports. No pre-citation or courtesy notices are given for vacation rental violations. Owners must file an online Contract Summary before every guest stay (used to audit compliance with annual contract caps), pass an annual building/fire/safety inspection, provide a pool/GFI electrician certification, meet guests in person (at the property or within 24 hours of arrival), post the Good Neighbor Brochure and certificate, and maintain a local contact available 24/7 who can respond in person within 30 minutes. Citations are administered via a third-party Citation Processing Center; certificate-related appeals go to the Administrative Appeals Board. The regulatory scheme's validity was upheld in Protect Our Neighborhoods v. City of Palm Springs (Cal. Ct. App., Jan. 7, 2022), which held short-term rentals are permitted uses consistent with the city's zoning code. |
| Current rules effective | 2025-12-01 |
What will guests pay in taxes on a Palm Springs stay?
Itemized occupancy taxes for Palm Springs, CA — enter your nightly rate to see the real cost breakdown.
Palm Springs occupancy tax calculator
| Gross rent | $450.00 |
| City of Palm Springs Transient Occupancy Tax (vacation rentals / 'all other hotels' rate) (11.5%)· host remits | $51.75 |
| Greater Palm Springs Tourism Business Improvement District (TBID) assessment (1%)· collection varies | $4.50 |
| Total tax (12.5%) | $56.25 |
| Guest pays | $506.25 |
Estimate only. Platform collection varies by listing site and agreement; verify rates with the taxing authorities.
Permits & licensing
Palm Springs requires Vacation Rental Registration Certificate to operate a short-term rental — the fee is $1,046, renewed annual.
Per Resolution No. 25344 (adopted 2025-09-25), effective December 1, 2025: Vacation Rental new/annual registration $1,046; Junior Vacation Rental (max 6 contracts/yr) $523; Homeshare $261; one-time Land Use Permit for Estate Homes (5+ bedrooms) $647; certificate transfer fee $222; Administrative Appeals Board appeal fee $1,324. A one-time $25 Transient Occupancy Tax Permit is also required. Note: as of May 2026 the city's certificate application page still displayed the pre-December 2025 fee of $1,072 (with $453 Estate Home LUP), which conflicts with the fee schedule announced on the city's main Vacation Rentals page; the December 1, 2025 schedule is the most recent official fee action.
Zoning & location rules
Ordinance 2075 (adopted 2022-11-28) allows vacation rentals and homesharing only as 'ancillary and secondary' uses of residential property, limits them to single-family dwelling units, and prohibits them in apartments. It caps Vacation Rental Registration Certificates at 20% of total residential dwelling units in each Organized Neighborhood: applications for properties in neighborhoods at or above 20% are returned (a waiting list is available). The 20% caps do not apply to Junior or Homeshare certificates. Estate Homes (single-family dwellings with 5 or more bedrooms) additionally require a one-time Land Use Permit and certificates are issued for use of at most 5 or 6 bedrooms. Properties in HOAs must submit an HOA letter confirming STR use does not violate CC&Rs. Instead of a night cap, annual contract caps apply: 26 contracts/year for new permittees (application filed after 2022-10-17); 32 contracts plus up to 4 additional third-quarter contracts for existing permittees; 6 contracts/year under a Junior certificate; no contract limit for owner-present Homeshares.
Taxes
| Tax | Rate | Who collects |
|---|---|---|
| City of Palm Springs Transient Occupancy Tax (vacation rentals / 'all other hotels' rate)Owner/agent must hold a TOT permit ($25 one-time) and file monthly returns — including zero returns — with the city Finance Department; failure-to-file penalty is 10% of TOT due or $50, whichever is greater, plus interest. Airbnb's California tax-collection list does not include City of Palm Springs TOT, so hosts remain responsible for reporting and remitting it. Group meeting hotels pay 13.5%; vacation rentals pay 11.5%. California has no statewide lodging tax. | 11.5% | host |
| Greater Palm Springs Tourism Business Improvement District (TBID) assessmentSince July 1, 2021, vacation rental and homeshare lodging pays the 1% TBID assessment on gross rental revenue for short-term stays (city FAQ: stays of 27 days or less); owners/agents remit it with the monthly TOT. Airbnb collects the 1% Greater Palm Springs TBID on its bookings ('1% of the listing price including any cleaning fees, for reservations 27 nights and shorter'). | 1% | varies |
Enforcement & penalties
Enforcement is run by the Department of Special Program Compliance (Vacation Rental Compliance), with a 24/7 complaint hotline (760-322-8383) and published hotline/citation/suspension reports. No pre-citation or courtesy notices are given for vacation rental violations. Owners must file an online Contract Summary before every guest stay (used to audit compliance with annual contract caps), pass an annual building/fire/safety inspection, provide a pool/GFI electrician certification, meet guests in person (at the property or within 24 hours of arrival), post the Good Neighbor Brochure and certificate, and maintain a local contact available 24/7 who can respond in person within 30 minutes. Citations are administered via a third-party Citation Processing Center; certificate-related appeals go to the Administrative Appeals Board. The regulatory scheme's validity was upheld in Protect Our Neighborhoods v. City of Palm Springs (Cal. Ct. App., Jan. 7, 2022), which held short-term rentals are permitted uses consistent with the city's zoning code.
Advertising or operating a vacation rental without a registration certificate: $5,000 administrative fine, liability for back TOT (with penalties and interest), and permanent ineligibility to operate a vacation rental in the city. Advertising without the city ID number, operating without a contract or without filing the contract summary, or failing to timely pay TOT: $2,500 fine plus 6-month certificate suspension for a first offense; $5,000 fine plus certificate revocation for a second. Estate Homes receiving 3 citations in 24 months face Planning Commission review of the Land Use Permit and up to a 2-year certificate suspension under PSMC 5.25.090(b). Citation appeals must be filed within 15 calendar days.
⚠️ HOA/condo rules may prohibit STRs regardless of city law.
Recent rule changes in Palm Springs
December 1, 2025material
New vacation rental fee schedule effective (Resolution No. 25344)
Adopted September 25, 2025 and effective December 1, 2025: Vacation Rental new/annual registration fee $1,046; Junior $523; Homeshare $261; Estate Home Land Use Permit $647; Administrative Appeals Board appeal fee $1,324; transfer fee $222.
Official source →November 12, 2025material
Ordinance 2118 cancels January 1, 2026 contract-cap reduction for existing permittees
City Council amended PSMC 5.25.070(b), removing the scheduled reduction that would have cut 'Existing Permittees' (applications filed on or before October 17, 2022) from 32 contracts plus 4 third-quarter contracts down to 26 contracts per year on January 1, 2026. New permittees remain capped at 26 contracts per calendar year.
Official source →February 1, 2024
Online application and TOT remittance via GovOS launched
Effective February 2024, new Vacation Rental Registration Certificate applications are accepted through GovOS, which also handles monthly TOT remittance and pre-stay Contract Summary submissions.
Official source →November 28, 2022material
Ordinance 2075 restates vacation rental ordinance; adds 20% neighborhood caps
Council amended and restated Chapter 5.25: vacation rentals confirmed as ancillary/secondary residential uses, limited to single-family dwellings and prohibited in apartments; certificate cap of 20% of residential units per Organized Neighborhood (new applications returned in capped neighborhoods, with waitlist); 26-contract annual cap for new permittees. Provisions took effect in stages beginning late 2022/2023.
Official source →
Frequently asked questions
›Is Airbnb legal in Palm Springs?
Airbnb is legal in Palm Springs, CA, but with significant restrictions — check the zoning and eligibility rules on this page before listing. Always confirm current requirements with the city before operating.
›Do I need a permit for a short-term rental in Palm Springs?
Yes. Palm Springs requires a Vacation Rental Registration Certificate to operate a short-term rental, which costs $1,046 and must be renewed every year. Always confirm current requirements with the city before operating.
›How much does a Palm Springs short-term rental permit cost?
The Vacation Rental Registration Certificate costs $1,046 (annual renewal). Per Resolution No. 25344 (adopted 2025-09-25), effective December 1, 2025: Vacation Rental new/annual registration $1,046; Junior Vacation Rental (max 6 contracts/yr) $523; Homeshare $261; one-time Land Use Permit for Estate Homes (5+ bedrooms) $647; certificate transfer fee $222; Administrative Appeals Board appeal fee $1,324. A one-time $25 Transient Occupancy Tax Permit is also required. Note: as of May 2026 the city's certificate application page still displayed the pre-December 2025 fee of $1,072 (with $453 Estate Home LUP), which conflicts with the fee schedule announced on the city's main Vacation Rentals page; the December 1, 2025 schedule is the most recent official fee action.
›Can I Airbnb a non-primary residence in Palm Springs?
Yes — Palm Springs does not limit short-term rentals to primary residences, although each owner is capped at 1 unit. Zoning and other restrictions may still apply. Always confirm current requirements with the city before operating.
›What taxes do short-term rental hosts pay in Palm Springs?
Hosts in Palm Springs are subject to: City of Palm Springs Transient Occupancy Tax (vacation rentals / 'all other hotels' rate) (11.5%), Greater Palm Springs Tourism Business Improvement District (TBID) assessment (1%) — roughly 12.5% total on gross rental revenue. Platforms like Airbnb collect some of these automatically; check each line's collection method on this page.
›What happens if I operate a short-term rental illegally in Palm Springs?
Advertising or operating a vacation rental without a registration certificate: $5,000 administrative fine, liability for back TOT (with penalties and interest), and permanent ineligibility to operate a vacation rental in the city. Advertising without the city ID number, operating without a contract or without filing the contract summary, or failing to timely pay TOT: $2,500 fine plus 6-month certificate suspension for a first offense; $5,000 fine plus certificate revocation for a second. Estate Homes receiving 3 citations in 24 months face Planning Commission review of the Land Use Permit and up to a 2-year certificate suspension under PSMC 5.25.090(b). Citation appeals must be filed within 15 calendar days. Enforcement is run by the Department of Special Program Compliance (Vacation Rental Compliance), with a 24/7 complaint hotline (760-322-8383) and published hotline/citation/suspension reports. No pre-citation or courtesy notices are given for vacation rental violations. Owners must file an online Contract Summary before every guest stay (used to audit compliance with annual contract caps), pass an annual building/fire/safety inspection, provide a pool/GFI electrician certification, meet guests in person (at the property or within 24 hours of arrival), post the Good Neighbor Brochure and certificate, and maintain a local contact available 24/7 who can respond in person within 30 minutes. Citations are administered via a third-party Citation Processing Center; certificate-related appeals go to the Administrative Appeals Board. The regulatory scheme's validity was upheld in Protect Our Neighborhoods v. City of Palm Springs (Cal. Ct. App., Jan. 7, 2022), which held short-term rentals are permitted uses consistent with the city's zoning code.
Palm Springs's STR rules changed 2 times recently.
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Related
Nearby covered cities
- San Diego, CAPermit required
- Los Angeles, CAPrimary residence only
- Phoenix, AZPermit required
- Scottsdale, AZPermit required
- Sedona, AZPermit required
Sources
- City of Palm Springs — Vacation Rentals (program home: Ordinances 2075 & 2118, contract caps, fee schedule)retrieved July 9, 2026
- City of Palm Springs — Vacation Rental Certificate (application, fees, insurance)retrieved July 9, 2026
- City of Palm Springs — Vacation Rental FAQs (official PDF)retrieved July 9, 2026
- City of Palm Springs — Vacation Rental Neighborhood Percentage Information (20% density cap)retrieved July 9, 2026
- City of Palm Springs — Vacation Rental TOT and TBID Informationretrieved July 9, 2026
- City of Palm Springs — Administrative Citation Information (appeals, suspensions)retrieved July 9, 2026
- Palm Springs Municipal Code Chapter 5.25 — Vacation Rentals (eCode360)retrieved July 9, 2026
- Airbnb Help — Occupancy tax collection and remittance by Airbnb in Californiaretrieved July 9, 2026
This page is informational only and is not legal, tax, or financial advice. Rules change and enforcement varies — verify current requirements with Palm Springs and a qualified professional before operating.