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Updated about 2 years ago on . Most recent reply

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Wes Delabar
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Liscence needed to manage short term rentals in California

Wes Delabar
Posted

My wife and I own and manage a couple vacation rentals in southern California. We have been approached by some neighbors of our properties and they are asking about us possibly managing them. My question is what is the license needed to be able to manage a short-term rental in California? do you need to have a broker's license like you do if you were to manage long-term tenants? Any advice or help would be greatly appreciated thank you.

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43
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Eduardo Aguilar
  • Real Estate Agent
  • Sacramento, CA
38
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Eduardo Aguilar
  • Real Estate Agent
  • Sacramento, CA
Replied

Hi All- I know that this is an older post but just encountered this question from my client who is looking to set up a MTR Property Management Business. In the quick research that I did, I found the guidance from the DRE at the link below that exempts Owner/Managers and a narrow exemption for folks managing STRs for compensation from the licensing requirement. It does however state that a license is required and "will be enforced" for individuals serving as Agents on behalf of owners managing properties that require a >30+ stay. Absent further clarity I would operate with the understanding that managing STRs offers a gray that you can potentially work around. Managing MTRs or LTRs however, you're better off securing your license to be on the safe side. 

DRE Guidance: https://pire.info/3Py5lgp

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