Average Rent in Redwood City, CA & Real Estate Market Forecast 2026

Short-Term Rental (STR) Regulations

As of September 2021, Redwood City, CA has regulations in place for short term rentals (STRs) that investors should be aware of before purchasing a property for this purpose.

1. Registration and Permits: All STR hosts in Redwood City are required to obtain a business license and a short-term rental permit from the city. The permit must be renewed annually, and hosts must provide proof of liability insurance.

2. Occupancy Limits: The city has set occupancy limits for STRs to ensure the safety and well-being of guests. The maximum number of guests allowed in a STR is typically limited to two per bedroom, plus an additional two guests.

3. Noise and Nuisance Regulations: STR hosts are required to adhere to noise regulations and ensure that their guests do not disturb the peace and quiet of the neighborhood. Excessive noise or disturbances can result in fines or penalties.

4. Transient Occupancy Tax (TOT): Hosts are required to collect and remit a transient occupancy tax on all short-term rentals in Redwood City. This tax is typically a percentage of the rental rate and must be paid to the city on a regular basis.

5. Zoning Restrictions: Investors should be aware of any zoning restrictions that may apply to STRs in Redwood City. Some neighborhoods may have specific regulations regarding short-term rentals, and it is important to ensure that the property is zoned appropriately for this use.

6. Compliance with State and Local Laws: In addition to city regulations, investors should also be aware of any state laws that may apply to short-term rentals in California. It is important to stay informed about any changes or updates to regulations that may impact STRs in Redwood City.

Overall, investors should thoroughly research and understand the regulations and requirements for short-term rentals in Redwood City before purchasing a property for this purpose. Failure to comply with these regulations can result in fines, penalties, or other consequences that may impact the success of the investment.