Merced County, CA Short-Term Rentals: Occupancy Limits (2026)

Unincorporated Merced County controls short-term rental occupancy primarily through a limit on guest bedrooms rather than a flat headcount. Under the County's short-term rental standards (Zoning Code Section 18.60.270), a short-term rental may provide no more than five bedrooms for the transient occupancy of guests at any one time. A short-term rental is defined as lodging rented to a guest for a period of 30 days or less; longer-term occupancy is not a short-term rental and falls under standard residential rules and TOT exemptions. Because the use must operate within an existing dwelling and (in residential and commercial contexts) is tied to the property being the owner's primary residence, occupancy is further constrained by the home's lawful capacity and any conditions placed on the Administrative Permit. The five-bedroom ceiling distinguishes a permitted short-term rental from a larger lodging operation such as a hotel, motel, or hostel, which are expressly excluded from the short-term rental category. The Director may impose additional occupancy-related conditions through the Administrative Permit to ensure compatibility with the surrounding neighborhood.