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Placerville, CA
Challenging To Investors
Local STR Agent
Local STR Agent

Short-term rentals are NOT allowed in residential zones within the City of Placerville. This is a critical finding for investors: Placerville has adopted one of the most restrictive STR ordinances in California, prohibiting STRs entirely in residential areas while limiting commercial-zone STRs to a maximum of 10 permits citywide.
STRs are permitted exclusively in commercial zones: Central Business District (CBD), Commercial (C), and Highway Commercial (HWC) zones, where they are classified as commercial lodging facilities rather than residential uses.
Placerville hosts earn a median $27,729/year with $205 ADR and 51% occupancy.
Top performers pull in $43,160+ per year.
See the full Placerville market breakdownBefore proceeding, confirm your property is located in one of the permitted commercial zones:
Properties in residential zones are ineligible for STR permits regardless of other qualifications.
Applications are submitted to the Development Services Department on the second floor of City Hall (3101 Center Street, Placerville). The application review is ministerial, meaning staff either approve or deny based on objective criteria rather than discretionary judgment.
Following application submission, you must complete:
All corrections must be completed within 60 days of accepted application.
Maximum occupancy is determined by the lesser of:
Bedroom-Based Occupancy Limits:
Parking-Based Occupancy Limits:
Interior Signage Required:
Exterior Signage Required:
STR permits may be revoked by the Development Services Director if:
Important Note: As of the latest available information, hosted STRs remain prohibited in residential zones. However, Placerville is considering allowing hosted STRs in single-family residential zones under the following proposed conditions:
Proposed Hosted STR Standards (Not Yet Adopted):
Investors should note: These regulations are under consideration but not yet adopted. Current law prohibits all STRs in residential zones.
While Placerville has its own municipal ordinances, California state law provides the overall framework:
Physical Address:
Development Services Department
Second Floor, City Hall
3101 Center Street
Placerville, CA 95667
Phone:
Email:
Office Hours:
Placerville's restrictive STR ordinance presents significant challenges for residential STR investors:
For investors interested in the broader El Dorado County area, note that unincorporated county areas have different, more permissive VHR regulations. However, within Placerville city limits, STR investment opportunities are severely limited to commercial-zone properties.
Recommended Action: Consult with local commercial real estate professionals and verify current zoning before considering any STR investment within Placerville city limits.
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Placerville is a historic foothill city in El Dorado County, California, with a population of roughly 10,000 residents. Tucked into the western slope of the Sierra Nevada, the city carries the nickname "Old Hangtown" from its rough-and-tumble Gold Rush days, and that frontier character is still visible in the weathered brick storefronts along its main street. Today Placerville has a relaxed, small-town atmosphere, surrounded by pine-forested hills, vineyards, and apple orchards, and it serves as a natural gateway between California's Central Valley and the high country around Lake Tahoe. The city sits about 45 miles east of Sacramento, reached by following U.S. Highway 50 up into the foothills.
Just outside town, the Apple Hill region is one of Placerville's most popular draws. Beginning in the mid-20th century as a network of family apple farms, the area has grown into a year-round destination with u-pick orchards, bakeries, pumpkin patches, Christmas tree farms, and a large cluster of small wineries. The drive from downtown Placerville to most Apple Hill ranches is roughly 15 to 25 minutes, and traffic during fall harvest weekends can be heavy.
To the northeast, El Dorado National Forest covers a vast swath of the central Sierra, offering camping, hiking, fishing, and winter snow play. The forest stretches from the foothills near Placerville up to the alpine zone, and trailheads like those around Ice House Reservoir and Wrights Lake are typically reached in about an hour to an hour and a half from the city, depending on the destination.
A short drive northwest leads to Marshall Gold Discovery State Historic Park in Coloma, the site where James W. Marshall's 1848 discovery set off the California Gold Rush. The park preserves a working replica of Sutter's Mill, historic buildings, and the rushing South Fork of the American River, which is also popular for gold panning, swimming, and gentle rafting. The park is roughly 20 minutes from Placerville via Highway 49.
Closer to home, Gold Bug Park & Mine is a small but distinctive attraction within the city limits. Visitors can tour a preserved hard-rock gold mine, pan for flakes in the stamp mill area, and walk easy nature trails with views over the canyon. It is a few minutes' drive from Main Street and is a frequent stop for families exploring the area's mining heritage.
Placerville's mix of Gold Rush history, foothill wine and farm country, and easy access to both Sacramento and the Sierra Nevada makes it a quietly versatile base for short-term rentals. Travelers can spend a morning walking a historic main street, an afternoon tasting cider and wine among the pines, and the next day floating down the American River or standing on a Tahoe shoreline, all without having to change lodging.
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