Is Airbnb legal in Hollywood?

Overview of Airbnb Regulations in Hollywood (2024)

Hollywood, as part of Los Angeles, is governed by specific short-term rental regulations that hosts must comply with to legally operate their listings on platforms like Airbnb. The Home-Sharing Ordinance, effective since November 1, 2019, outlines important rules targeted at balancing tourist accommodations with the residential housing market and local community needs.

Key Requirements for Hosts:

1. Primary Residence Limitation: Hosts may only list their primary residence, meaning they must live in the property for at least six months out of the year.

2. Registration and Permits: Hosts are required to obtain a Home-Sharing permit, which includes a mandatory registration process and an annual fee ($192 for Regular permits and $1,030 for Extended permits as of mid-2023). It is critical that hosts acquire a unique registration number to display on their listings.

3. Annual Rental Cap: There is a limit of 120 rental days per year unless hosts apply for an Extended Home-Sharing permit, which has additional criteria including a public hearing process.

4. Record Maintenance: Hosts must maintain clear records of rental activity and be prepared to present these to city inspectors upon request.

Taxes and Compliance:

Hosts are also obligated to collect and remit the Transient Occupancy Tax (TOT), set at 14% of the rental price for stays of 30 days or less. This requires hosts to register for a Transient Occupancy Registration Certificate, ensuring compliance with financial regulations.

Safety and Legal Compliance:

Safety features such as smoke detectors and fire extinguishers must be present in all rental properties, and platforms like Airbnb must ensure that all listings comply with local safety regulations.

Enforcement:

The City of Los Angeles employs enforcement mechanisms to ensure compliance, which can include fines or legal action against hosts operating without the necessary permits. The city maintains a complaint hotline to facilitate reporting of unauthorized rentals.

Community Impacts:

The rise of short-term rentals has led to concerns about affordable housing availability, as many properties shift from long-term rentals to short-term rentals, potentially driving up housing prices.

In summary, hosts in Hollywood must navigate a complex regulatory environment designed to maintain community standards while allowing for home-sharing opportunities. Compliance with these laws is vital to avoid penalties and ensure the sustainability of the housing market.