🎯 STRisker: Bulletin - Santa Cruz County, CA
Unanimous Vote Sets Tighter Rules for Vacation Rentals in Santa Cruz County
Santa Cruz Cracks Down: New Caps on Short-Term Rentals
Santa Cruz County just made a big move in the ongoing tug-of-war between housing needs and vacation rentals. On Tuesday, the Board of Supervisors voted unanimously to put strict new limits on short-term rentals (STRs), responding to years of community concerns that homes were being gobbled up by Airbnb and Vrbo listings instead of being available for locals.
The new ordinance caps the number of non-hosted rentals — those where the owner doesn’t live on site — at 270 across the county. This is a major shift, since before now, there was no countywide limit at all. That cap means far fewer investment properties can be converted into STRs, and it puts clear boundaries on how much of the housing stock is pulled away from long-term residents.
The rules also bring new accountability to the platforms themselves. Companies like Airbnb and Vrbo must now remove unpermitted rentals from their sites within 10 days after the county flags them. This closes a big loophole where illegal or unlicensed rentals continued to operate openly online.
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To prevent corporations from dominating the market, the ordinance also limits each property owner or entity to just one STR permit. This was a direct response to fears that big investors would swoop in and buy up multiple homes, leaving locals priced out.
Still, not all neighborhoods fall under the cap. Designated areas like Live Oak, Seacliff/Aptos/La Selva Beach, and Davenport/Swanton will maintain their own specific STR limits. Those coastal communities already had stricter guidelines in place, so the countywide rules are layered on top of what’s already there.
To keep things from going stale, supervisors also created a subcommittee to keep reviewing and updating the rules as the STR market evolves. That ongoing oversight was described by District 3 Supervisor Justin Cummings as a key win:
“Today is a milestone in us advancing and making meaningful changes to this policy,” he said.
For Santa Cruz, the move is both symbolic and practical — a recognition that tourism is vital, but so is protecting neighborhoods and keeping housing available for people who live and work in the county year-round. Whether you’re a renter struggling to find housing, a homeowner running an Airbnb, or just someone tired of party houses down the street, the new ordinance changes the game.
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