Short Term Rentals

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Registration

We are excited to announce that our new short-term rental (STR) system is officially live! This new platform streamlines the registration process, making it easier than ever for residents to register their short-term rental and pay their transient occupancy tax (TOT).

For information on how to pay TOT click here.

To Register please click here.

For questions, email shorttermrentals@redwoodcity.org

What are Short-Term Rentals?

Short term rentals are generally defined as lodging or overnight stays lasting less than 30 consecutive days in a residential dwelling. Common examples include renting a house or an apartment for a week or weekend for a short stay or for several weeks associated with business travel or longer vacations. Short term rentals are most commonly offered and rented through online hosting platforms such as Airbnb, VRBO and HomeAway. You can read more about short term rentals in this handout: Short Term Rentals Handout.

What are the Laws Regarding Other Types of Rentals?

Rentals for 30 or more consecutive nights (by the same visitors) are not subject to short-term rental regulations or subject to hotel (transient occupancy) taxes. In addition, rental/tenant protections and rent control provisions may apply to stays of 30 or more days.

If rentals are offered for 30 days or more nights per guest stay (for those dwelling units not authorized to offer short-term rentals by the Office of Short-Term Rentals), ensure that booking calendars and advertisements for all online listings clearly indicate a 30-day minimum stay.

Regulations

Primary Residence. A primary residence is a dwelling unit where a person has been physically present and that the person regards as home. A person may only have one primary residence at any given time.
Annual Limit for Un-hosted Rentals. A primary residence may be occupied as a short-term rental for no more than 120 days per calendar year where no host is present.
No Limit for Hosted Rentals. There shall be no limit on the number of days a primary residence may be occupied as a short-term rental where the host is present.
Local Contact Person. Hosts shall identify a local contact person to be available during the term of an unhosted stay. This person shall respond to complaints.
Parking. Existing on-site spaces shall be made available to short-term renters.
Special Events. Special events such as weddings and corporate retreats are prohibited.
Registration. Registration and payment of Transient Occupancy Tax are required.
Accessory Dwelling Units. Short-term rental of accessory dwelling units shall NOT be permitted unless the unit was registered with the City prior to January 1, 2020.

These regulations do not apply to properties in unincorporated Redwood City.

Why regulate Short-Term Rentals?

The short-term rental industry has experienced tremendous growth in recent years. While short-term rentals can provide needed income to residents and broader lodging options than the existing hotel market, there can be downsides to these uses. The popularity and profitability of short term rentals has spurred an industry where dwellings are bought and used exclusively for short-term rentals, removing available housing stock. A rotating series of renters in residential neighborhoods can create traffic, noise, parking, and safety concerns for neighborhoods. Short term rentals can also introduce a commercial use into previously residential areas, as larger homes are now commonly rented for "corporate retreats" and other types of traditionally commercial and business uses.

Objectives

Allow limited short term rental uses while preventing the loss of housing stock.
Preserve residential character and establish operating standards to reduce potential noise, parking, traffic, property maintenance and safety impacts on adjacent neighbors.
Provide a registration mechanism for the City to track and enforce these requirements as needed and ensure appropriate collection of transient occupancy taxes (TOT).

The transient occupancy taxes collected from short-term rentals are dedicated towards construction and preservation of affordable housing.

Background Materials

Final Ordinance adopted on March 26, 2018.
City Council Report of January 8, 2018.
Planning Commission Report of November 21, 2017.
Resources from the 21 Elements (A collaborating group of 20 Cities and the County of San Mateo working together on housing-related issues)

Contact

Planning Division
shorttermrentals@redwoodcity.org

What is a Short-Term Rental?

Why did City Council adopt the short-term rental ordinance?

In response to the increase in vacation rentals due to the popularity of Airbnb and other online platforms, Council wanted to update the zoning code to reflect what qualifies as short-term rental without taking away from the long-term housing stock in a rising renter’s market and disrupting existing neighborhoods. At the same time, they wanted individuals to be able to rent spare rooms in their homes to allow for additional sources of income. This code also outlines that ADUs operating without a permit and short-term rental registration after January 2020 do not qualify as a short-term rental.

Does the law apply in all zoning districts?

I am a tenant. May I operate a short-term rental in my unit?

I own a duplex/triplex and reside in one of the units. May I rent out one of the vacant units as a short-term rental if I am present in my unit during my guest’s stay?

Do I need my HOA or landlord’s permission to operate a short-term rental?

Is there a maximum number of days I can operate a short-term rental?

Where no host is present, a primary residence can operate as a short-term rental for a maximum of 120 days per year. These are cases where the owner does not live at the property they are renting. If the host lives on site, there is no limit. These are cases where the owner lives full-time at the property they are renting.

Short-term rental units may not be rented by the same tenant for more than 29 consecutive calendar days at a time.

May I rent out a guest house, cottage, in-law unit, or ADU/JADU as a short-term rental?

It depends. Any guest house, cottage, in-law unit, or ADU/JADU that was permitted AND registered with the City before January 2020 can be used as a short-term rental so long as the host continues to reside in the main house.

Since 2016, California State ADU Laws have evolved to minimize barriers to affordable housing options to address the statewide housing crisis and promote long-term housing. As such, if a guest house, cottage, in-law unit, or ADU/JADU was permitted after January 2020, it is not allowed to be used as a short-term rental but can be used as a long-term rental.

As part of a short-term rental can I rent out several rooms separately?

Do I need both a Permit and a Rental License? What is the cost?

What are Transient Occupancy Taxes?

What are the penalties for violating the short-term rental ordinance?

Owners violating the policy will receive up to 3 courtesy letters at the address associated with their property that will outline the following:

Courtesy Letter #1: reminder of website information and corresponding short-term rental ordinance (60 days)
Courtesy Letter #2: warning that if you do not comply with registration requirements what the repercussions will be (30 days)
Courtesy Letter #3: explanation of fine accrual and administrative action triggered by days of violation (30 days)

Failure to comply with the communications in a timely manner will result in a code enforcement investigation, which could warrant administrative fees and suspension of future short-term rental privileges.