Short-term rentals are the part of ADU rentals that trips up owners most. The rules differ from long-term renting, and they differ by city. This guide explains where the rules come from and how to check yours.
LA ADU Guide is an information site, not a law firm. We could not read every source in full for this page, so treat it as a map of what to check, not a final answer.
Short-term vs long-term
A long-term rental is a normal lease. A short-term rental usually means a stay of 30 days or fewer, listed on a site like Airbnb or Vrbo. Cities often treat them as a different use, with different permits and taxes.
What state ADU law says
Gov. Code 66314(d)(1) says an ADU "may be rented separate from the primary residence." The same subsection starts "Except as provided in Article 4 (commencing with Section 66340)," so read the full text for limits. The rental language in the ADU statutes has been amended over the years, including around rental terms. Read the current Gov. Code 66314 and the latest HCD Handbook for the exact wording. We did not confirm the current text on short-term stays, so do not assume state law lets you list the unit nightly.
What cities and counties can do
Cities and the county can regulate short-term rentals in general. Even where state law allows an ADU to be rented, a local short-term rental ordinance, a business license rule or a tax requirement may still apply. The City of Los Angeles has a Home-Sharing Ordinance run through City Planning. We did not verify its current details for ADUs. Ask Planning these questions:
- Is an ADU eligible to be listed as a home share?
- Must the host live on the property?
- Is there a cap on nights per year?
- Is registration required, and what does it cost?
- What taxes apply to guest stays?
If your lot is in another city or in unincorporated LA County, ask that jurisdiction. Rules can be very different.
Other limits to check
| Source | What to look for |
|---|---|
| City or county ordinance | Permit, registration, night limits, host presence |
| HOA rules | Minimum rental terms or a ban on short stays. See ADU HOA rules in California |
| Deed restrictions | Rental limits recorded against the property |
| Loan terms | Occupancy or rental use clauses |
| Insurance | Many home policies exclude short-term guests |
| Taxes | Local transient occupancy tax and income tax. See rental income and property tax |
Checklist before you list
- [ ] Read your city's current short-term rental or home-sharing rules
- [ ] Ask the city whether an ADU is eligible
- [ ] Check HOA documents and deed restrictions
- [ ] Ask your insurer about guest stays
- [ ] Ask your lender if rental use affects the loan
- [ ] Register or get a permit if required
- [ ] Set up tax collection and records
- [ ] Keep the unit permitted and inspected
Risks
- Fines for listing without a required permit
- A listing removed by the platform
- Insurance claims denied
- An HOA fine or lawsuit
- Losing a state-law protection if you mix up short and long terms. For long-term tenants, see renting an ADU: tenant rules in LA
Common questions
Is renting for 31 days or more a short-term rental? Many ordinances define short-term as 30 days or fewer, but definitions vary. Read the city's own definition.
Can I rent the main house short term and the ADU long term? Some cities allow combinations and some do not. Ask the city how it treats each unit.
Do the platforms check permits? Some require a local registration number. Do not rely on a platform to tell you what is legal.
Does a furnished mid-term rental of a few months count? It depends on the length of stay and the local definition. Ask the city and read the HOA rules.
What if the rules change? They do, and cities update them. Recheck each year and keep your registration current.
Where to look
- The city's municipal code section on short-term rentals or home sharing
- City Planning or the business license office
- The Treasurer or Finance office for transient occupancy tax
- Your HOA documents and title report
- The HCD ADU Handbook for state ADU rules
What to remember
- State law lets an ADU be rented separately. It does not automatically allow nightly rentals.
- Local rules decide short-term use, and they differ by city.
- Check the city, HOA, insurance and lender before you list.
See the ADU financing hub for related guides.