Carmel-by-the-Sea short-term rental rules: the 30-day minimum
If you’re buying a second home in Carmel-by-the-Sea, the rental question comes up fast. The short answer is no nightly or weekly rentals in the residential district. Here’s what the city’s code actually says, with links to the source.
By Jonathan Balog, Broker Associate, Compass · Carmel-by-the-Sea · Facts checked Oct 24, 2026
The short version: In Carmel-by-the-Sea’s single-family (R-1) residential district, no home or subordinate unit may be rented for less than 30 consecutive days. The city defines anything under 30 days for a fee as a “transient rental.” A limited number of transient rentals exist only in the R-4 and commercial districts, under permits issued before Ordinance 2019-003 or a housing-incentive permit. Advertising an unpermitted transient rental is itself a violation. Rentals of 30 days or more are the normal path for owners.
Consecutive days
The minimum rental in the residential district.
No transient rentals
Prohibited in the single-family district.
Ordinance 2019-003
Pre-2019 permits are legal nonconforming.
Also regulated
Advertising an unpermitted rental is a separate offense.
The 30-day rule, in the city’s own words
The city’s Planning and Building Department states it plainly: “In order to preserve Carmel-by-the-Sea’s residential character, no home or subordinate unit may be rented for less than 30 consecutive days in the residential district.”
What counts as a “transient rental”
The city defines a transient rental as any residential unit occupied for sleeping or lodging for less than 30 consecutive days in exchange for a fee or similar consideration. These units must pay transient occupancy tax.
Short-term rentals are prohibited in the single-family (R-1) zoning district. A “subordinate unit,” such as a guesthouse or ADU, falls under the same 30-day rule.
- Under 30 days
- Fee or consideration
- R-1 prohibited
Questions about a specific property? The city points people to the Planning and Building Department at (831) 620-2010.
Where transient rentals are allowed
Outside the R-1 district, the city recognizes two narrow permit types in the R-4 (multifamily) and commercial districts.
Legal nonconforming permits
Transient rental permits issued before Ordinance 2019-003 are classified as legal nonconforming. The city says they don’t expire and can transfer to a new owner when the property sells. The permit runs with the land and can’t move to another location.
- Pre-2019 only
- Runs with the land
Housing-incentive permits
New transient rentals can be permitted in the CC, SC, RC and R-4 districts only as an incentive for building new rental housing: one transient unit for every three new rental units, with one rented as low income and one as moderate income. These require a conditional use permit and stay at the original approved site.
- Conditional use permit
- 3 new rental units
- Not in R-1
Buying a property marketed with a permit? Ask for the permit and confirm it with the city before you count on that income.
Listing an unpermitted rental is a violation too
Municipal Code section 17.28.040 bars any owner, tenant, or their agent from posting, publishing, or maintaining an ad for an unpermitted transient rental, including on a website, platform, or app.
Who it covers
Owners, tenants, and their agents or representatives. Online hosting platforms themselves are excluded from the definition.
Each day counts
Each day an ad stays up in violation is a separate offense.
Monthly rentals: how owners use their homes
Because rentals of 30 consecutive days or more fall outside the city’s transient-rental definition, monthly rentals are how many Carmel-by-the-Sea owners offset costs while keeping the house for their own visits.
Peninsula Luxe
I also run Peninsula Luxe, a rental management company that handles monthly rentals of 30 days or more. If you’re buying with part-time rental use in mind, I can talk through how monthly stays fit around your own calendar.
- 30+ day stays
- Monthly rentals
What the 30-day rule means when you buy
The rule shapes which homes make sense for which buyers. If you plan to use the house yourself for part of the year, monthly rentals can fit around your visits. If you were counting on nightly income, Carmel-by-the-Sea’s residential district isn’t the place for it, and it’s better to know that before you write an offer. If you’re buying with rental income in mind, start with my Carmel-by-the-Sea buyer’s guide.
Homes outside city limits, in Carmel Valley, Pebble Beach, or the Carmel Highlands, fall under Monterey County rules instead, which are different. Check the rules for the exact address.
Carmel-by-the-Sea homesCarmel-by-the-Sea market statsCarmel homesCarmel market stats
Buying a second home in Carmel-by-the-Sea?
Tell me how you plan to use it, and I’ll help you match the house to the rules before you commit.
Before you rely on this
- This is a plain-English summary, not legal advice. Confirm the rules for a specific parcel with the City of Carmel-by-the-Sea Planning and Building Department, (831) 620-2010.
- Zoning and permits are tied to the parcel. Verify any claimed transient rental permit with the city.
- Codes change. Check the current Carmel Municipal Code on eCode360.
- Areas outside city limits follow Monterey County rules, which this page doesn’t cover.
Carmel-by-the-Sea short-term rentals: quick questions
Does Carmel-by-the-Sea allow short-term rentals?
Not in the residential district. The city says no home or subordinate unit may be rented for less than 30 consecutive days there. Limited transient rentals exist only in the R-4 and commercial districts under specific permits.
What is the minimum rental period in Carmel-by-the-Sea?
30 consecutive days in the residential district. The city defines anything shorter, for a fee, as a transient rental.
Can I Airbnb my house in Carmel-by-the-Sea?
Not for stays under 30 days in the single-family (R-1) district, where transient rentals are prohibited. Advertising an unpermitted transient rental on a website or app is also a violation under CMC 17.28.040.
Are monthly rentals allowed in Carmel-by-the-Sea?
Rentals of 30 consecutive days or more fall outside the city’s definition of a transient rental, so they aren’t subject to the transient-rental ban.
Are weekly rentals allowed in Carmel-by-the-Sea?
No, not in the residential district. A weekly rental is under 30 days, which the city treats as a transient rental.
What is the Carmel-by-the-Sea short-term rental ordinance?
Ordinance 2019-003 set the current transient-rental rules. Permits issued before it are legal nonconforming; new transient units are allowed only as a housing incentive in the R-4 and commercial districts.
Can a short-term rental permit transfer when a property sells?
The city says legal nonconforming permits issued before Ordinance 2019-003 don’t expire and transfer to a new owner with the property. They can’t move to another location.
Can I rent out my ADU or guesthouse short term in Carmel-by-the-Sea?
No. The city’s rule covers any home or subordinate unit in the residential district: under 30 consecutive days isn’t allowed.
Do these rules apply to Carmel Valley or Pebble Beach?
No. Those areas are outside Carmel-by-the-Sea’s city limits and fall under Monterey County rules, which are different. Check the county rules for the specific address.
Who do I contact about short-term rental rules in Carmel-by-the-Sea?
The city’s Planning and Building Department, (831) 620-2010.
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