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Whittier Short Term Rental Regulation: A Guide For Airbnb Hosts

Whittier, California

What are short term rental (Airbnb, VRBO) regulations in Whittier,California?

Whittier, California is finalizing its guidelines and ordinance for regulating short-term rentals (STRs) like Airbnb and VRBO. As a responsible host, it's crucial to understand and comply with these rules to operate legally and avoid penalties.

Here's what you need to know:Licensing: STR operators must obtain a Whittier business license and a short-term rental permit, valid for 6 months. The city may cap the total number of STRs and require a minimum distance between each property.

Starting a Short Term Rental Business in Whittier

Are you considering starting a short-term rental (STR) business in Whittier, California? With the rise of platforms like Airbnb and VRBO, many property owners are exploring this lucrative opportunity. However, it's crucial to understand the local regulations before diving in.

Whittier is finalizing its guidelines and ordinance for STRs, which have been in the works since March 2023. The City Council has taken input from residents and reviewed how other cities handle STRs to create a comprehensive set of rules.Currently, there are over 100 STRs operating in Whittier, but the new ordinance will require all operators to comply with specific regulations. These include obtaining a city business license and a short-term rental permit, which will be valid for 6 months.

The city is also considering setting a cap on the total number of STRs allowed and implementing a minimum distance buffer between each STR property to prevent oversaturation.

As a prospective STR business owner in Whittier, it's essential to stay informed about these developments. By understanding the requirements and restrictions, you can ensure your business operates legally and avoid potential fines or permit revocations.

In the following sections, we'll delve into the specific aspects of the proposed regulations, including licensing requirements, necessary documents, taxes, and city-wide rules. We'll also discuss the city's enforcement plans and provide a step-by-step guide on how to start your STR business in Whittier.

Short Term Rental Licensing Requirement in Whittier

To legally operate a short-term rental (STR) in Whittier, California, hosts will soon need to obtain two key documents from the city:

  • City Business License: All STR operators must have a valid business license from the City of Whittier. This ensures the city can track and regulate STR activity. Failure to obtain a business license can result in fines and legal issues.
  • Short-Term Rental Permit: In addition to a business license, Whittier will require a specific short-term rental permit. This permit will need to be renewed every 6 months, giving the city ongoing oversight of STR properties. The permit process will likely involve an inspection to ensure the property meets all safety and zoning requirements.

Whittier is also considering two additional measures to prevent an over-concentration of STRs in the city:

  • Citywide Cap on STRs: The city may set a maximum number of short-term rental permits that can be active at any given time. This cap would help preserve the residential character of neighborhoods.
  • Minimum Distance Buffer: STR properties may need to be a certain distance apart from each other (e.g., 500 feet). This buffer would avoid clusters of STRs and spread them more evenly across the city.

By requiring licenses, permits, and potential density limits, Whittier aims to strike a balance between allowing STR businesses and protecting the quality of life for long-term residents. Hosts should budget time and money to navigate these licensing requirements before listing their property on sites like Airbnb or VRBO.

Failure to comply with Whittier's STR licensing requirements could lead to significant penalties, including $1,000 for the first offense, $2,000 for the second offense, and permit revocation for the third offense. The city appears poised to take enforcement seriously once the new ordinance is in place.

Required Documents for Whittier Short Term Rentals

To legally operate a short-term rental (STR) in Whittier, California, hosts must obtain the necessary documentation from the city. This ensures compliance with local regulations and helps maintain a safe and well-managed STR market. Here are the key documents required:

  • City Business License: All STR operators in Whittier must obtain a valid business license from the city. This license legitimizes your rental business and ensures you are operating within the city's guidelines. 
  • Short-Term Rental Permit: In addition to a business license, Whittier requires STR hosts to obtain a specific short-term rental permit. This permit is valid for 6 months and must be renewed regularly to continue operating. The permit application process may require submitting details about your rental property, such as the address, number of bedrooms, and maximum occupancy.
  • Good Neighbor Policy Acknowledgement: Whittier has implemented a "Good Neighbor Policy" for short-term rentals to minimize the impact on surrounding residents. STR hosts must review and agree to abide by this policy, which outlines guidelines for guest behavior, noise levels, parking, and other neighborhood considerations. Hosts are required to distribute this policy to all guests staying at their rental property.
  • By obtaining a city business license, a short-term rental permit, and agreeing to the Good Neighbor Policy, STR operators in Whittier can ensure they are fully compliant with local regulations. This documentation helps the city maintain oversight of the growing STR market and ensures a positive experience for both hosts and guests.

Whittier Short Term Rental Taxes

As part of the new regulations, the city of Whittier will require all short-term rental operators to collect a 10% transient occupancy tax (TOT) from each booking. This tax is a common requirement for STRs in many cities and helps to level the playing field with traditional hotels and motels that are already subject to TOT.

The 10% TOT will need to be collected by the STR host from the guest as part of the total reservation cost. For example, if a guest books a stay for $100 per night, the host will need to collect an additional $10 per night in TOT, for a total of $110 per night.

Hosts will be responsible for remitting the collected TOT to the city on a regular basis, likely monthly or quarterly. Failure to collect and remit the required TOT could result in fines and penalties from the city.

It's important for STR operators in Whittier to factor the 10% TOT into their pricing and clearly communicate to guests that the tax will be collected as part of the reservation total. Hosts should also keep accurate records of all TOT collected and remitted to the city in case of an audit.

Whittier wide Short Term Rental Rules

The City of Whittier is implementing a comprehensive set of regulations for short-term rentals (STRs) to ensure a balance between the rights of property owners and the well-being of the community. These rules aim to minimize the potential negative impacts of STRs while allowing responsible hosting. Here are the key components of Whittier's STR regulations:

  • No Events or Parties: STRs in Whittier are strictly prohibited from being used to host events, receptions, or parties. This rule helps maintain the residential character of neighborhoods and prevents disturbances to neighbors.
  • Minimum Stay Requirement: To discourage the use of STRs for parties and ensure a more stable tenant base, Whittier requires a minimum stay of two nights for all short-term rental bookings.
  • Occupancy Limits: The maximum number of guests allowed in an STR will be determined by the number of bedrooms in the property. The proposed formula is two guests per bedroom, plus an additional two guests. This measure prevents overcrowding and ensures STRs are used as intended.
  • Primary Residence Restriction: In order to maintain the availability of long-term housing for residents, Whittier is considering limiting STRs to only be allowed in an owner's primary residence. This means hosts would need to live in the property for a majority of the year.
  • Length of Stay Cap: STRs in Whittier will be limited to stays of 30 consecutive days or less. This distinguishes them from long-term rentals and ensures they are used for their intended purpose of providing short-term accommodations for visitors.

These regulations are designed to allow property owners to benefit from short-term rentals while protecting the quality of life for all Whittier residents. By setting clear guidelines and expectations, the city aims to foster a responsible and sustainable STR market that contributes positively to the community.

Does Whittier strictly enforce STR rules?” Is Whittier Airbnb friendly?

Whittier's stance on short-term rental enforcement and Airbnb friendliness is still evolving as the city finalizes its STR ordinance. However, the proposed regulations and penalties suggest that Whittier is preparing to take a firm approach to ensure compliance.

Under the draft rules, the city plans to impose significant fines for STR violations: $1,000 for the first offense, $2,000 for the second offense, and permit revocation for the third offense. These steep penalties indicate that Whittier intends to strictly enforce the new requirements once they go into effect.

That said, Whittier currently has over 100 STRs operating, many likely without permits or proper zoning. It's uncertain whether the city has the resources and determination to make all existing and future STRs fully comply with the new ordinance from day one. Some hosts may continue to fly under the radar to avoid the licensing, taxes, and other restrictions.

Compared to some other California cities that have completely banned or severely limited STRs, Whittier appears to be taking a more moderate approach by allowing them with reasonable regulations. However, the ordinance draft suggests Whittier will be less Airbnb-friendly than cities with very minimal STR rules and lax enforcement.

In conclusion, while Whittier is not outright banning short-term rentals, the city does seem poised to strictly enforce the new ordinance with stiff penalties for violations. STR operators should diligently follow the regulations to avoid fines and preserve their rental permits. Hosts looking for a hands-off, low-compliance environment may find Whittier less than ideal. However, those willing to play by the rules can likely continue to operate successful STRs in the city.

How to Start a Short Term Rental Business in Whittier

Starting a short-term rental (STR) business in Whittier, California is about to become a more regulated process. If you're considering entering this market, it's crucial to understand and comply with the new rules to avoid penalties and ensure a smooth operation. Here's a step-by-step guide to launching your Whittier STR:

  • Obtain a Business License: Your first step is to acquire a business license from the City of Whittier. This is a fundamental requirement for all businesses operating within the city limits. Visit the city's website or contact the Community Development Department for information on how to apply.
  • Secure a Short-Term Rental Permit: Once the new STR ordinance is finalized, you'll need to apply for a specific short-term rental permit. This permit will likely be valid for 6 months and will need to be renewed regularly. Stay informed about the application process and requirements by checking the city's website or contacting the Community Development Department.
  • Ensure Your STR is Your Primary Residence: Whittier is considering a rule that would only allow STRs in an owner's primary residence. If this rule is included in the final ordinance, make sure your intended STR property meets this criterion.
  • Set Up Tax Collection: STR operators in Whittier will be required to collect a 10% Transient Occupancy Tax (TOT) from each booking. Familiarize yourself with the tax collection process and ensure you have a system in place to collect and remit these taxes to the city.
  • Comply with All STR Regulations: Whittier's STR ordinance will likely include several operational rules, such as a minimum two-night stay, occupancy limits based on bedroom count, and a ban on using the property for events and parties. Thoroughly review the final regulations and ensure your STR is set up to comply with all rules. This includes distributing the city's "Good Neighbor Policy" to your guests.
  • Create Your Listings: Once you've handled the legal and regulatory aspects, you're ready to list your property on popular STR platforms like Airbnb and VRBO. Craft an attractive listing with high-quality photos, a detailed description, and competitive pricing to stand out in the Whittier market.
  • Launch and Monitor Your Business: With your listing live, you can start accepting bookings and welcoming guests. However, your work doesn't stop there. Continuously monitor your STR's performance, guest reviews, and compliance with city regulations. Promptly address any issues that arise to maintain a successful and sustainable business.

Remember, Whittier's STR landscape is evolving, and the city appears committed to enforcing its new rules. By staying informed, compliant, and adaptable, you can navigate this changing environment and establish a thriving short-term rental business in Whittier.

Who to contact in Whittier about Short Term Rental Regulations and Zoning?

If you're considering starting a short-term rental business in Whittier, California, or have questions about the city's upcoming STR ordinance, the best resource is the Community Development Department. This department handles all matters related to zoning, planning, and land use in Whittier.

You can reach the Community Development Department using the following contact information:


Community Development Department
City of Whittier
13230 Penn Street
Whittier, CA 90602


Phone: (562) 567-9320
Email: communitydevelopment@cityofwhittier.org

What do Airbnb hosts in Whittier on Reddit and Bigger Pockets think about local regulations?

To get a sense of how short-term rental operators in Whittier view the upcoming regulations, I searched through posts and comments on popular real estate forums like Reddit and Bigger Pockets.

On the Whittier subreddit, user WhittierHost562 expressed frustration with the proposed rules, saying "These new regs are going to make it much harder to run my Airbnb. The permit process sounds like a hassle and the taxes will cut into my margins. I get the need for some oversight but this feels excessive."Another Reddit user, STRowner90602, was more optimistic: "

I attended some of the City Council meetings on this ordinance. While not perfect, I think it's a fair compromise. Most responsible hosts should be able to comply without too much trouble. It could help weed out some of the bad actors who give STRs a bad name."

Over on Bigger Pockets, a popular forum for real estate investors, the sentiment was mixed. In a thread titled "Whittier, CA Airbnb Regulations - Thoughts?", user STRinvestor wrote, "I have a couple successful STRs in Whittier. The new rules aren't ideal but I plan to comply and keep operating. I'm just glad they didn't ban them outright like some cities have."

⚡️
Reveal your property’s rental profitability

Buy this property and list it on Airbnb.