Carmel Valley, CA

  • Overview
  • Performance
  • Listings
  • Buy Box

Key Performance Metrics

Market snapshot

Performance indicators for the Carmel Valley short-term rental market based on reliable data.

Listings

40 / 185

Reliable / Active

Cap Rate

3%

Middle-Earners Gross Yield

Revenue

$38,245

Middle-Earners Revenue

Occupancy

73%

Middle-Earners Occupancy

Home Value

$1,446,178

Median Home Sale Price

Top Earners

$89,638

Top-Earners Revenue

Carmel Valley

Market Revenue Seasonality

Top Listings

Highest revenue

The highest-performing listings in Carmel Valley.

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C

Challenging to Investors

Carmel Valley Regulations

STRs are legally allowed only under limited, heavily regulated conditions: Carmel-by-the-Sea bans them in most residential areas, while unincorporated Monterey County restricts them to single‑family dwellings, caps commercial STRs at 4%, and bans them in many sub‑areas (Big Sur, Carmel Highlands, and residential portions of Carmel Valley and Moss Landing). Compliance is costly (≈$965 county license plus business license, 24/7 manager, neighbor notifications, strict quiet/fire rules) and high‑risk (daily fines up to $5,000, permit revocation, and marketplace enforcement).

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About Carmel Valley

Carmel-by-the-Sea, more commonly called Carmel, is a small and famously picturesque village in Monterey County on California's central coast. With a resident population of roughly 4,000, it has long been associated with storybook architecture, white-sand shoreline, a thriving arts scene, and an eclectic cast of celebrity and artistic residents. Best known for its walkable downtown of whitewashed cottages, art galleries, and tasting rooms, Carmel also serves as a gateway to the broader Monterey Peninsula and to the dramatic Big Sur coastline stretching south along Highway 1. It sits about 120 miles south of San Francisco and roughly 330 miles north of Los Angeles, both reached by car via scenic coastal or inland routes.

Carmel Beach anchors the village, a long crescent of soft white sand that feels almost Mediterranean and is famously dog-friendly. Visitors come for sunset walks, tide-pooling, and the cypress-lined bluffs that overlook Carmel Bay. The beach is just a few blocks from the center of town, easily reached on foot within minutes.

Just a few minutes' drive south of Carmel lies Point Lobos State Natural Reserve, often called the "crown jewel" of the California state park system. The reserve protects rugged headlands, hidden coves, and one of the richest marine habitats on the West Coast, where sea otters, harbor seals, sea lions, and migrating gray whales can often be seen from the shoreline trails.

A short distance to the north and west of town, the gated 17-Mile Drive winds through Pebble Beach and the Del Monte Forest, passing iconic landmarks such as the Lone Cypress, Fanshell Beach, and the manicured fairways of Pebble Beach Golf Links. The route is one of the most scenic drives in the country, and several pullouts are open to the public even without a resort reservation.

About five miles northeast, the city of Monterey offers the celebrated Monterey Bay Aquarium on Cannery Row, where kelp forests, sea otters, and jellies draw visitors year-round. Closer to home, the historic Mission San Carlos Borromeo de Carmelo — founded in 1770 and once home to the Junípero Serra — anchors the south end of the village and remains an active parish and museum.

Carmel is a compelling base for short-term rentals because it pairs small-town charm with an extraordinary concentration of coastal, cultural, and culinary draws within a tight radius. Guests can spend the morning walking the village, the afternoon at Point Lobos or the aquarium, and the evening dining at a wine country restaurant — all without long drives, which keeps occupancy steady across weekends, holidays, and shoulder seasons.

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