Short Term Rental Permits

Status: The City Council is actively reviewing options to amend Short-Term Rental regulations, but no new ordinance has been adopted. The existing ordinance remains in effect: View current STR ordinance on eCode360.

Overview

Short-term rentals (STRs) are dwellings rented for 30 days or less. Solvang’s current rules remain in effect while the City evaluates potential updates. The goal is to balance the community’s tourism economy with neighborhood character and housing availability.

At it's September 22, 2025, the City Council directed city staff to revise the ordinance that includes the following:

  • Limiting Vacation Rentals to the VMU District Only
  • Allow existing Vacation Rental Permit holders outside of the VMU to apply for new vacation rental permits. These will be non-transferable
  • Establish an annual fee for permits
  • Establish a cap on the number of permits issued
  • Establish a minimum stay criteria of 30 nights per year for permit holders
  • Establish occupancy limits
  • Initiate a new inspection program for health, safety, welfare
  • Establish parking requirements
  • New tools to ensure compliance of the ordinance and ensure vacation rentals are operating in permitting zones only

The revised ordinance will go to Planning Commission late Fall 2025, then go to City Council for adoption. It is expected that new permits will be issued approximately 4-6 months after adoption, with existing permit holders being to apply first. If you have questions please contact the Rafael Castillo, Community Development Director, at rcastillo@cityofsolvang.com 

  • Check zoning & current rules before advertising or operating. Email Planning with your address/APN: planningdept@cityofsolvang.com.
  • Maintain a valid City Business Certificate.
  • Transient Occupancy Tax (TOT): If applicable, register and remit TOT to the City.
  • Follow good-neighbor practices: on-site parking, trash service, and quiet hours.

STR timeline

  1. 1
    2016
    Short-Term Rental ordinance adopted; rules codified and now available on eCode360. Current ordinance
  2. 2
    2024–2025
    Compliance review and data gathering on STR activity, neighborhood impacts, and housing considerations.
  3. 3
    2025 (Spring–Summer)
    Council study sessions on policy options (e.g., where STRs are allowed, caps/spacing, homestays, enforcement).
  4. 4
    2025 (Late Fall)
    Draft ordinance to Planning Commission for recommendation then to City Council for adoption
  5. 5
    2026 Implementation
    The City will work with its selected vendor to create an online permitting portal and payment system.

Frequently asked questions

Is a new STR ordinance in effect?

No. A new ordinance has not been adopted. The existing ordinance remains in effect: view it on eCode360.

Where are STRs currently allowed?

Refer to the current ordinance and your zoning. Planning can confirm what applies to your property: planningdept@cityofsolvang.com.

Do I need a Business Certificate and pay TOT?

Yes. STR operators must maintain a current Business Certificate and, where applicable, register and remit Transient Occupancy Tax (TOT).

How can I stay informed?

Watch City Council and Planning Commission agendas on the City website. Any proposed ordinance and public hearings will be posted there.