La Jolla · Buyer and seller guides
Short-term rentals in La Jolla: San Diego's vacation rental rules in plain words
Short answer: To rent a home in La Jolla for stays of less than a month, you need a license from the City of San Diego. Renting the whole home more than 20 days a year takes a Tier 3 license. There's a cap on how many the city gives out. You have to rent at least 90 days a year to keep one. And the license doesn't transfer when a home is sold, so a buyer applies for their own.
I'm Weston Clark, a real estate agent with Compass in San Diego. Buyers ask me all the time, "Can I rent this out when we're not here?" Sellers ask whether their vacation rental license helps the sale. The honest answers are in the city's rules, so here's what they say, quoted, and what they mean in everyday words. I'm not a lawyer, and this isn't legal or tax advice. The city's short-term rental office has the final word on your home.
What counts as a short-term rental
San Diego's Municipal Code, the city's book of local laws, says: "Short-term residential occupancy means the occupancy of a dwelling unit or part thereof for less than one month."
In plain words: renting your home, or even one room, for stays shorter than a month is a short-term rental. The city calls it "STRO" for short. The code also says "A license is required for all short-term residential occupancy." The city adds that it has been against the law to run one without a license since May 1, 2023.
The four license types
The city has four kinds of licenses, which it calls tiers. A host can hold only one at a time. Here's each one in simple terms:
- Tier 1, part-time: the code says this is for rentals adding up to "20 days or less per calendar year." You don't have to live there.
- Tier 2, home sharing: renting part of your own home, or the whole home while you're away for short stretches. The code says you have to live there "for no less than 275 days of the calendar year." The city says you can be away for up to 90 days a year and rent the whole home during that time.
- Tier 3, whole home (everywhere except Mission Beach): renting a home you don't live in for more than 20 days a year. A La Jolla home falls here.
- Tier 4, whole home in Mission Beach: the same idea, but only for the Mission Beach area. The city says applications for it are closed.
Tiers 3 and 4 both require "A two consecutive night minimum stay by the same guest." In other words, no one-night stays.
Tier 3 licenses are limited
The code says the number of Tier 3 licenses "shall not exceed 1 percent of the total housing units in the City of San Diego," not counting Mission Beach. Simply put, there's a cap, and once it's reached, new applicants wait.
On its website, updated October 23, 2026, the city listed 4,854 Tier 3 licenses issued and 807 still available. That number changes, so check the city's page for today's count before you count on getting one.
The 90-day rule
This one catches people. The code says Tier 3 and Tier 4 hosts must "use the license a minimum of 90 days each year during the term of the license and submit quarterly reports" to the city.
In everyday words: if you get a whole-home license, you have to actually rent the home at least 90 days a year, and you report your rental days to the city every three months. The city says a Tier 3 or Tier 4 host who doesn't rent at least 90 days a year risks losing the license. It also says renting a home you don't live in for 21 to 89 days a year isn't allowed under any license. So "a few weeks in summer" falls in a gap: 20 days or less with Tier 1, or 90 days or more with Tier 3.
If you're buying a home you might rent out
The most important line for buyers is this one from the code: "Licenses are not transferrable. The City shall not accept any request to transfer or assign ownership or location of any license or license application."
Put simply: if the home you're buying has been a vacation rental, its license stays with the seller. It doesn't come with the house. You'd apply for your own, and for a Tier 3 license that means getting in line under the cap. So I'd never price a home based on rental income you can't be sure you'll be allowed to earn.
A few more things I look at with buyers:
- One license per person. The code says a host "may not operate more than one dwelling unit for short-term residential occupancy at a time within the City of San Diego." If you already host somewhere else in the city, that matters.
- ADUs are out. The city says its code "prohibits using ADUs for short-term rental." That's the backyard cottage or granny flat. Only companion units permitted before October 15, 2017 can be used. My ADU guide covers the rest.
- HOA rules. If the home is in a homeowners association, its rules can limit rentals too. Read them before you buy. My HOA guide and condo guide explain where to find them.
- You can apply during escrow. The city says you can apply while you're buying, with papers showing you're the new owner, such as the deed.
Thinking of it as a part-time home? My second home guide covers loans and taxes for homes you don't live in full time.
If you're selling a home that's been a vacation rental
Your license doesn't pass to the buyer. The city says that if you've sold the home, the host sends the city a cancellation form. Buyers may still ask about your rental history. When you share it, I suggest sharing real records rather than guesses, and saying clearly that the buyer would need their own license. My disclosures guide covers what sellers share in writing.
Taxes, fees and day-to-day rules
Before applying, the city says a host needs:
- A Transient Occupancy Tax certificate. That's the city's hotel tax, which applies to short stays, and the city says the certificate itself is free.
- An active and paid Rental Unit Business Tax account, a yearly city tax on rental property.
- If the host isn't the owner, a Business Tax Certificate and proof they have the right to rent the home short term, such as a signed statement from the owner.
As of March 1, 2025, the city lists these fees. None are refundable, and licenses last two years.
- Tier 1: $33 to apply, $193 for the license.
- Tier 2: $33 to apply, $284 for the license.
- Tier 3 and Tier 4: $41 to apply, $1,129 for the license.
Once you're renting, the city says you post a notice outside, visible from the sidewalk, that lists a local contact. That contact has to respond to a neighbor's complaint within one hour. Guests get a Good Neighbor Policy notice, and there's a sign inside on reporting human trafficking. The city says hosts who break the rules risk penalties, up to losing their license.
Outside the City of San Diego
These rules cover homes inside the City of San Diego, which includes La Jolla. Other cities in the county set their own rules, so a home in Del Mar, Solana Beach or Coronado follows that city's rules instead.
Common questions
Can I rent out my La Jolla home on Airbnb or VRBO?
Yes, if you get the right license from the City of San Diego first. Any stay shorter than one month needs a city license. For a whole-home rental of more than 20 days a year in La Jolla, that's a Tier 3 license, and only a limited number are given out.
Does the seller's short-term rental license come with the house?
No. The city's code says "Licenses are not transferrable." If you buy a home that has been a vacation rental, you apply for your own license. The seller's license doesn't pass to you.
How many days a year do I have to rent it?
It depends on the license. With a Tier 1 license you rent 20 days a year or less. With a Tier 3 whole-home license you have to rent at least 90 days a year to keep it, and you send the city reports every quarter. Renting a whole home 21 to 89 days a year, when you don't live there, doesn't fit any license.
Can I rent out my ADU or granny flat short term?
Generally no. The City of San Diego says its code prohibits using ADUs for short-term rental. Only companion units permitted before October 15, 2017 can be used that way.
What does a short-term rental license cost?
As of March 1, 2025, the city lists a $41 application fee and a $1,129 license fee for a Tier 3 or Tier 4 license. Tier 1 is $33 plus $193, and Tier 2 is $33 plus $284. Licenses last two years and the fees aren't refundable.
Do these rules apply in Del Mar or Coronado?
No. These are City of San Diego rules, and La Jolla is part of the city. Other cities in the county set their own rules, so check with the city where the home is.
Sources: San Diego Municipal Code, Chapter 5, Article 10, Division 1 (Short-Term Residential Occupancy), sections 510.0102, 510.0104, 510.0106 and 510.0107; City of San Diego Office of the City Treasurer, Short-Term Residential Occupancy (STRO) page and FAQs, updated October 23, 2026. Checked November 4, 2026. This page is general information, not legal or tax advice. For questions about your home, the city's STRO office is at stro@sandiego.gov or (619) 615-6120, and a real estate attorney can answer legal questions.
Questions about a home you're buying or selling?
Thinking about buying a home you might rent out, or selling one that has been a vacation rental? Send me a note and we can talk it through. Or call or text (858) 997-8998.