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Berkeley, CA Short-Term Rentals: Taxes & Fees (2026)

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

Key Facts

Enforcement fee
2% of rents charged
Occupancy tax
12% under BMC Ch. 7.36
Liability insurance minimum
$1,000,000
Unhosted stay cap
90 days per calendar year
Required approvals
Zoning Certificate and Business License
Post-violation suspension
1-year ban after third citation

Summary

Beyond the citywide 12% occupancy tax, Berkeley's short-term rental ordinance layers on a host enforcement fee of 2% of rents charged and requires $1 million in liability insurance, a Zoning Certificate and a business license before a host residence can be listed.

Enforcement Fees. 1. For the initial enforcement period, while enforcement costs are being determined, the host shall pay an additional enforcement fee in an amount equal to 2 percent of the rents charged by that host, not to exceed the cost of the regulatory program established by this chapter over time. 2. Enforcement fees may be paid by the hosting platform on behalf of the host. ... H. Transient Occupancy Tax. Either the host or hosting platform must pay the transient occupancy tax.

View official code

Official source re-checked September 8, 2026: no newer edition of the code had been published (publisher’s edition: current through Ordinance 8031-NS, passed July 28, 2026).

Full Breakdown

314 regulates short-term rentals, defined as renting a dwelling unit, accessory dwelling unit or accessory building for less than 14 consecutive days. E, during the initial enforcement period a host must pay an additional enforcement fee equal to 2% of the rents charged, capped so it never exceeds the cost of running the regulatory program; a hosting platform may pay this fee on the host's behalf, and after the initial period the City Council can revise the fee by resolution. J makes the host responsible for paying all City taxes and fees owed in a timely manner.

04, list the Zoning Certificate number on any rental advertisement, and provide $1 million in liability insurance (which the hosting platform can supply on the host's behalf). Short-term rentals are permitted only in a host's principal residence, are capped at 90 days per year when the host is not present, and are barred outright in below-market-rate units and in accessory dwelling units permitted after April 3, 2017. A property with a no-fault eviction is barred from short-term rental use for five years unless the vacated unit is a single-family home reoccupied by its owner.

Violations & Fines

A host who skips the Zoning Certificate, business license, enforcement fee or $1 million insurance requirement is subject to the general penalty and administrative citation provisions of BMC Sections 1.20 and 1.28, and operating in violation is also declared a public nuisance abatable under Sections 1.24, 1.26 and 23.414. A host is barred from operating any short-term rental for one year after a third violation affidavit is issued under the Second-Response Ordinance for loud or unruly gatherings.

Frequently Asked Questions

What extra fee do Berkeley short-term rental hosts pay beyond the hotel tax?
BMC Section 23.314.050.E imposes a host enforcement fee equal to 2% of rents charged during the initial enforcement period, capped at the actual cost of the regulatory program, in addition to the 12% transient occupancy tax under Chapter 7.36.
Who is responsible for paying the transient occupancy tax on a short-term rental?
Section 23.314.050.H requires either the host or the hosting platform to pay the transient occupancy tax, and Section 23.314.050.J separately makes the host responsible for paying all City taxes and fees owed on time.
Does a Berkeley short-term rental host need a business license?
Yes. Section 23.314.050.K requires the host to provide, upon request, the Business License number required by BMC Chapter 9.04 along with the Zoning Certificate for the short-term rental.

Sources & Official References

Other rules in Berkeley

All Berkeley rules

How Berkeley compares: Cities with the Highest Short-Term Rental Taxes·California rules heatmap·Compare Berkeley to another location·View the California short-term rentals overview

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