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Palm Springs, CA Short-Term Rentals: Night Caps (2026)

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

Key Facts

New permittees
26 contracts per year
Existing permittees
32 contracts (+4 in Q3)
Junior certificate holders
6 contracts per year
Owner-designated free guests
up to 5 exempt from cap
First administrative citation
$500

Summary

Palm Springs Municipal Code Section 5.25.070(b) limits how many rental contracts a vacation rental may sign in a calendar year: 26 for permits issued after Ordinance 2075 took effect, 32 for existing permittees (plus four bonus third-quarter contracts), and just six for junior vacation rental certificates. Any paid or unpaid occupancy by non-owner guests counts as a contract.

For new permittees, on and after the effective date of Ordinance No. 2075, no more than 26 contracts for vacation rental use of a property shall be allowed or provided in any calendar year. For existing permittees, no more than 32 contracts for vacation rental use of a property shall be allowed or provided in any calendar year; however, up to four additional contracts shall be allowed or provided for the third quarter of a calendar year so long as the entire term of each such contract occurs during such third quarter. ... For any property for which a Junior vacation rental registration certificat has been issued, no more than six contracts for vacation rental use of that property shall be allowed or provided in any calendar year.

View official code

Official source re-checked September 7, 2026: no newer edition of the code had been published (publisher’s edition: rev 4923139; v14 updated 2026-06-24).

Full Breakdown

The city defines a "contract" broadly: it is any occupancy of a registered vacation rental by someone other than the owner while the owner is absent, regardless of whether money changes hands or the stay is documented in writing. That definition closes the obvious workaround of hosting unpaid guests to dodge the cap. New permittees issued after Ordinance No. 2075 took effect are held to 26 contracts a year; permittees who already held a certificate before that date keep a higher 32-contract allowance, with four extra contracts allowed in the third quarter, July through September, provided each one runs entirely within that quarter.

Properties operating under a junior vacation rental registration certificate, the city's lower tier for smaller or restricted units, are capped at just six contracts annually. 25 still applies to them. 75, each event counts separately against the same annual cap. 25 apply only to parcels within city jurisdiction; tribal trust parcels are not subject to municipal vacation rental regulation regardless of street address.

Violations & Fines

Exceeding the cap or otherwise violating Chapter 5.25 is a misdemeanor for each day of violation and draws an administrative citation of $500 for a first offense and $1,000 for each subsequent one under Section 5.25.090(a). A third violation within any 12-month period brings a mandatory two-year suspension of the vacation rental registration certificate under Section 5.25.090(b), appealable through the Chapter 2.50 hearing process.

Frequently Asked Questions

What counts as a "contract" under the cap?
Any occupancy of a registered vacation rental by a non-owner while the owner is not present counts as a contract under Section 5.25.070(b), whether or not rent is charged or a written agreement exists. That prevents owners from dodging the annual limit by calling stays "free" or informal.
Does the cap apply on tribal trust land in Palm Springs?
No. The Agua Caliente Band of Cahuilla Indians holds a checkerboard of sovereign trust land throughout the city, including sections of downtown, and city ordinances such as Chapter 5.25 do not reach those parcels. Whether the cap applies can depend on exactly which section a property sits in.
Can I add extra contracts if I'm an existing permittee?
Yes. Existing permittees who already held a certificate before Ordinance No. 2075 took effect are allowed 32 contracts a year and may add up to four more, but only for stays whose entire term falls within the third quarter, July through September, under Section 5.25.070(b).
What happens to unpaid free stays I designate for friends or family?
Up to five people named on the application or renewal may stay for free without the owner present, and those stays are excluded from the annual contract cap, but every other Chapter 5.25 requirement, including filing a contract summary before each stay, still applies to them.

Sources & Official References

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