10 verified short-term rentals rules for Milpitas, California, sourced directly from the municipal code and official government pages.
Verified from official government sources
Milpitas requires every short-term rental to hold both a Home Occupation Business License and a Planning Department STR permit, authorized by the STR ordinance the City Council adopted March 3, 2020 and codified in the Zoning Code (Section XI-10-13.17). Rentals were illegal before July 2020, when registration first opened.
Milpitas short-term rentals must control guest noise, and the STR ordinance specifically bans use of outdoor pools, spas, and hot tubs between 10 p.m. and 7 a.m. Hosts must maintain a 24-hour local contact who can respond to complaints within one hour, on top of the City's general noise regulations.
Anyone in Milpitas receiving rent for a stay under 31 days must collect a 14% Transient Occupancy Tax (TOT) and remit it monthly to the City. Hosts also pay annual Home Occupation Business License and STR permit fees per the Planning Fee Schedule. Airbnb collects TOT under a City agreement.
Milpitas requires short-term rental hosts to post the unit's parking capacity, the location of parking spaces, and any parking rules inside the unit so guests know where they may park. STR parking is governed within the City's broader off-street parking regulations.
Milpitas caps short-term rental occupancy at two persons per bedroom plus one additional person. The maximum number of occupants must be clearly posted inside the unit. Unhosted rentals are prohibited, and rentals are limited to stays of up to 30 consecutive days.
Milpitas requires every short-term rental host to carry property liability insurance of no less than $500,000, or to prove that equal-or-higher liability coverage is provided by every hosting platform through which the unit is rented. Proof of coverage is part of the permit application.
Milpitas does not publish a fixed annual cap on rented nights. Instead, it limits each stay to 30 consecutive days and requires the host to live in the home at least 275 nights per year, which functionally limits how many nights the home can be rented unhosted to outside guests.
Milpitas hosts register as a business (type 'Short-Term Rental,' SIC 6519001) before applying for a Planning STR permit. The City-issued STR registration number must appear on every listing, and the permit renews annually, expiring each December 31. No exterior signage is allowed.
Milpitas prohibits unhosted short-term rentals. The host must live in the dwelling at least 275 nights per year, and either the host or a designated local contact must be available 24 hours a day to respond to complaints within one hour. Pure absentee, whole-home rentals are not allowed.
Milpitas allows short-term rentals only in a host's primary residence: the host must live at least 275 nights per year in the actual dwelling unit offered. New residents must have lived there 60 consecutive days before applying. Unhosted, investor-only rentals are prohibited.
County ordinances apply to unincorporated areas and may supplement Milpitas city rules.
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