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Monterey County, CA Short-Term Rentals: Night Caps (2026)

Some Restrictions
Compiled from the official code textEditor Martyn O'NeillLast verified September 2026

Key Facts

Annual rental cap
3 contracts per 12 months
Turnover limit
1 contract at a time, per week
Governing definition
§ 7.120.020(N)
Max overnight guests
2/bedroom +1, cap 10
Above 3x/year
Must license as commercial (§ 7.120.070)

Summary

A non-hosted 'limited vacation rental' in unincorporated Monterey County can be rented no more than three times in any 12-month period. County Code § 7.120.020(N) defines the category by that three-rental annual cap, and § 7.120.060(B) further limits it to one rental contract at a time and only one per seven-day period.

These county ordinances apply to unincorporated areas of Monterey County. Incorporated cities within the county may have their own rules that take precedence over county-level regulations.

N."Limited vacation rental" means a vacation rental that is non-hosted and rented for not more than three times per 12-month period. ... B.Limited vacation rentals are limited to only one rental contract at any given time and only one rental contract per seven-day period.

View official code

Official source re-checked September 7, 2026: no newer edition of the code had been published (publisher’s edition: Code of Ordinances: Supplement 56).

Full Breakdown

060(B) layers on a turnover cap of one rental contract at a time and only one contract per seven-day period, on top of the three-per-year ceiling in the definition. 5 times the overnight figure and never more than fifteen. 070, which carries no annual cap but still limits the property to one active rental contract at a time.

Violations & Fines

Renting a licensed limited vacation rental more than three times in a 12-month period without upgrading to a commercial vacation rental license is a Chapter 7.120 violation, subject to the § 7.120.160(D) civil citation ladder of up to $1,000 (or 175% of the daily rate) for a first offense, $2,500 (275%) for a second, and $5,000 (375%) for a third within a year, plus possible license revocation under § 7.120.130(A)(1) for violating the chapter.

Frequently Asked Questions

How many times a year can I rent my Monterey County home as a non-hosted vacation rental before I need a different license?
Up to three times in any 12-month period under the 'limited vacation rental' definition in § 7.120.020(N). A fourth or later rental in the same 12 months requires licensing the property as a commercial vacation rental under § 7.120.070 instead.
Does the three-rental cap apply if I live in the home while renting it out?
No. The three-rentals-per-year cap in § 7.120.020(N) applies only to 'non-hosted' limited vacation rentals, meaning the operator doesn't occupy the unit. If the owner occupies a bedroom while it's rented, the property instead qualifies as a homestay under § 7.120.020(J), which has no annual cap.
Can I sign back-to-back rental contracts for a limited vacation rental?
No. Section 7.120.060(B) limits a limited vacation rental to only one rental contract at any given time and only one contract per seven-day period, on top of the overall three-contracts-per-year cap in the category's definition, so frequent turnovers within a single week are not allowed even within the annual limit.

Sources & Official References

Other rules in Monterey County

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All Monterey County rules

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