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Sunset Beach, California

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Sunset Beach, CA

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STR Regulations for Sunset Beach, California

Scope: Sunset Beach (within the City of Huntington Beach, California)

Overview: Are STRs allowed?

  • Yes, short‑term rentals are explicitly allowed in Sunset Beach under Huntington Beach’s Short‑Term Rental Ordinance (Ordinance No. 4224; HBMC Chapter 5.120).
  • The City regulates STRs with two geographic “zones”: Zone 1 is the rest of Huntington Beach; Zone 2 is Sunset Beach.
  • Hosted STRs (owner‑occupied, with the host on‑site throughout the stay) are permitted in Zone 1 and Zone 2.
  • Unhosted STRs (owner not on‑site) are permitted only in Sunset Beach for properties that obtained an unhosted STR permit by March 1, 2022. After that date, the City issues permits only for hosted STRs; no new unhosted permits are issued. Existing, permitted unhosted STRs in Sunset Beach may continue to operate if they remain in compliance and renew as required.
  • All STR operations must be authorized by a valid, non‑transferable City of Huntington Beach Short‑Term Rental Permit, and all applicable taxes must be collected and remitted.

How to start an STR business in Sunset Beach Step-by-step process

  1. Confirm eligibility
  • Determine whether your property is in Sunset Beach (Zone 2).
  • Hosted STRs: Allowed for owner‑occupied properties citywide (including Sunset Beach).
  • Unhosted STRs: Allowed only for Sunset Beach properties that secured an unhosted STR permit by March 1, 2022; unhosted permits are no longer available for new applicants.
  • For multifamily/condo/townhome properties, verify that HOA/Condominium CC&Rs permit short‑term rentals. The City will not issue a permit if prohibited by governing documents.
  • Affordable housing units and ADUs/Jr. ADUs that were not legally established prior to the ordinance’s effective date are not eligible.
  1. Obtain an STR Permit
  • Apply through the City’s Permit Center portal (HB ACA). The application covers both hosted and unhosted (Sunset Beach only) STRs.
  • Complete the application and submit required documents (see “Required documents” below).
  • Pay the permit fee. The City charges the same fee schedule for hosted and unhosted STRs:
    • Initial permit: Approximately $639 for the first two years (some City materials list $624; plan on the current fee).
    • Renewal: Approximately $332 annually (some City materials list $324; plan on the current fee).
  • Note on timing: The City previously encouraged all STRs to obtain permits by December 31, 2021. For unhosted Sunset Beach STRs, thevesting window was until March 1, 2022.
  1. Arrange inspections and insurance
  • Third‑party inspection certification (life/safety) is required prior to issuance.
  • A Code Enforcement inspection will be scheduled after a complete application is submitted.
  • Maintain general liability insurance and provide proof at issuance and upon renewal.
  1. Identify your Local Contact Person (LCP)
  • You must designate a Local Contact Person who is available 24/7, 365 days a year, and can respond within one hour to any complaint and take corrective action.
  • For hosted STRs, the owner/host must serve as the LCP.
  • Post the LCP’s name and 24/7 phone number in a visible exterior location at the STR.
  1. Apply for a Business License and tax registrations
  • After your STR permit is approved, obtain the required City Business License (with TOT registration).
  • Enroll in the City’s tax portal to collect and remit Transient Occupancy Tax (TOT) and Tourism Business Improvement District (TBID) assessments each quarter.
  1. Comply with ongoing requirements
  • Display the City‑issued STR permit number on all advertisements (Airbnb, VRBO, etc.).
  • Collect and remit TOT and TBID each quarter.
  • Maintain the property in good condition with no outstanding code violations.
  • Respond to complaints within one hour; three violations within 12 months can result in permit revocation.

Required documents, permits, licenses, and guidelines Permits and licenses

  • Short‑Term Rental Permit (City of Huntington Beach) — valid initially for two years, then renewed annually; non‑transferable.
  • City Business License (with TOT registration).
  • Transient Occupancy Tax (TOT) enrollment (10% TOT).
  • Tourism Business Improvement District (TBID) assessment enrollment (TBID is collected as a percentage of gross STR revenue).

Core application materials

  • Property owner authorization (e.g., notarized affidavit if applicant is a renter/lessee).
  • Proof of ownership or legal right to operate.
  • Proof of general liability insurance (minimum coverage per City standards).
  • Third‑party inspection certification confirming life/safety compliance.
  • Code Enforcement inspection (scheduled by the City after application submittal).
  • Neighborhood Notice (as instructed by City staff).
  • Confirmation that HOA/Condominium CC&Rs permit STRs (if applicable).
  • Identification of Local Contact Person and 24/7 contact information.

Key operational documents to have on hand

  • STR permit conditions and any inspection checklist
  • Host/Operator responsibilities summary
  • Platform responsibilities (if you list on Airbnb, VRBO, etc.)
  • Exterior STR sign template (to display permit and contact information)

Specific regulations and operating rules (Sunset Beach and Citywide)

  • Definition: A short‑term rental is the rental of a residential dwelling unit (or portion thereof) for 30 consecutive nights or fewer.
  • Zoning:
    • Zone 1 (all of Huntington Beach except Sunset Beach): Hosted STRs allowed.
    • Zone 2 (Sunset Beach): Both hosted STRs and unhosted STRs are allowed only if a permit was obtained by March 1, 2022. After that date, only hosted STR permits are issued.
  • One STR per property (for single‑family, duplex, triplex, or other residential properties).
  • For multifamily properties:
    • Up to 3 STR permits for properties with 4+ units (subject to CC&Rs/HOA rules).
    • Up to 1 STR permit for properties with 2–3 units.
    • Condos/townhomes require HOA approval.
  • Host/Operator responsibilities:
    • The Local Contact Person must be available 24/7/365 and respond within one hour to complaints.
    • The STR must comply with the City’s Noise Ordinance.
    • No events (commercial parties, weddings, fundraisers, conferences) are permitted.
    • The property must be maintained free of code violations.
  • Advertising:
    • The City‑issued STR permit number must appear on all online listings and advertisements.
    • Platforms must list the permit number in the display.
  • Taxes:
    • Transient Occupancy Tax (TOT): 10% of gross rental revenue.
    • TBID assessment: 6% of gross STR revenue.
    • Remit quarterly via the City’s Deckard portal. If no rental activity occurs in a quarter, submit a $0 return by the due date to avoid penalties. Due dates:
      • Q1 (Jan–Mar): last City business day in April
      • Q2 (Apr–Jun): last City business day in July
      • Q3 (Jul–Sep): last City business day in October
      • Q4 (Oct–Dec): last City business day in January
  • Occupancy/staying: The ordinance addresses “consecutive nights” (30 or fewer). Other occupancy limits (e.g., maximum guests) are typically set by life/safety inspections and local codes. Confirm specific occupancy rules during inspection.
  • Enforcement and penalties:
    • Daily fines for violations ($1,000 per day).
    • Three violations within a 12‑month period can trigger permit revocation.
    • Unpermitted advertisements may be removed by platforms (effective dates noted by the City: by Dec 31, 2021 for all unpermitted listings).
  • Municipal code reference:
    • HBMC Chapter 5.120 (Short‑Term Rentals); Ordinance No. 4224 is the enabling ordinance.

Local authority contacts and reporting

  • Permit and Planning/Zoning Information:
    • Phone: (714) 536‑5271
    • Email: planning@surfcity‑hb.org
  • Code Enforcement / Issue Reporting:
    • Online complaint form: City “Report an Issue” portal
    • Email: codeenforcement@surfcity‑hb.org
    • Phone: (714) 375‑5155
  • Permit Center / General City Questions:
    • Phone: (714) 536‑5511
  • Physical Address (for official correspondence):
    • City of Huntington Beach, Community Development Department
    • 2000 Main Street, Huntington Beach, CA 92648

Important links (source pages)

  • City STR main page and permit portal
    • Short‑Term Rentals (Permit Center) — City of Huntington Beach
    • Huntington Beach ACA Permit Portal (for online STR permit applications)
  • Ordinance and City code
    • Ordinance No. 4224 (HBMC Chapter 5.120) — STR Ordinance (reference link provided by the City)
    • Huntington Beach Municipal Code (search Chapter 5.120 STR)
  • Taxes and quarterly remittance
    • Deckard Portal — TOT/TBID reporting for STRs
    • City Business License Information
  • Forms and guidance (Document Center)
    • STR Applications: Hosted; Hosted Renewal; Unhosted Renewal
    • Frequently Asked Questions — STRs (FAQ PDF)
    • Property Inspection Certification Form
    • Code Enforcement Inspection Checklist
    • Neighborhood Notices (Hosted; Unhosted renewal)
    • Exterior STR Sign Template
    • STR Host/Operator Requirements; STR Hosting Platform Responsibilities; STR Permit Conditions
    • STR Permit Eligibility Requirements; STR Regulations; STR Required Permit
    • STR Business License and TOT Information Flyer
    • Business License Application

Practical guidance for Sunset Beach STR investors

  • Due diligence before purchase:
    • Confirm HOA/Condominium CC&Rs explicitly permit short‑term rentals.
    • Verify whether the property is eligible for hosted use (owner‑occupied) or whether it holds a pre‑March 1, 2022 unhosted STR permit (Sunset Beach).
    • Review any outstanding code violations or inspection findings that could affect eligibility.
  • Setup and operations:
    • Choose a reliable Local Contact Person (or professional property manager) with 24/7 coverage.
    • Standardize interior rules to comply with noise, occupancy, and safety requirements; include house rules in your guest agreement and welcome materials.
    • Display the exterior STR sign with permit number and contact details as required.
  • Advertising and compliance:
    • Always include the City‑issued STR permit number on listings.
    • Maintain insurance coverage and submit timely renewals.
    • File quarterly TOT and TBID returns—even if no rentals occurred—using the Deckard portal.
  • Risk management:
    • Keep meticulous records of inspections, insurance, and renewals.
    • Implement guest screening and party‑prevention protocols given the City’s “no events” rule.
    • Respond promptly to neighbor complaints to avoid accumulating violations that could lead to permit revocation.

State-level context (California)

  • Short‑term rentals are regulated primarily by local municipalities. The City of Huntington Beach (including Sunset Beach) governs STR permits and operations within its jurisdiction.
  • Hosts/operators remain responsible for all applicable local taxes, registration, and safety requirements.

This guide is intended for investors and operators seeking to establish and maintain compliant short‑term rentals in Sunset Beach. For specific questions about eligibility, application status, or code interpretations, contact the City of Huntington Beach Planning and Zoning Division or the Permit Center at the phone numbers and email listed above.

What do Airbnb hosts actually earn in Sunset Beach?

Sunset Beach hosts earn a median $78,286/year with $551 ADR and 65% occupancy.

Top performers pull in $146,849+ per year.

See the full Sunset Beach market breakdown

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Sunset Beach

Market Saturation Score

036912
Mild Saturation
3/ 12
months with declining YoY revenue
2–4 declining months: early saturation pressure - watch for trend persistence.
View Full Sunset Beach Market Analysis

Photos of Sunset Beach

Overview of Sunset Beach

Sunset Beach is a tiny, laid-back unincorporated community in Orange County, California, tucked along a narrow strip of coast between the Pacific Ocean and Pacific Coast Highway. With only a few hundred residents, it has the feel of an old-school surf town that has resisted the larger development seen in surrounding communities, attracting visitors who appreciate its quiet stretch of sand, walkable streets, and small-town atmosphere. It sits just west of Huntington Beach and is often considered part of that broader coastal scene, serving as a gateway to the wider Orange County coast. The community lies roughly 35 miles southeast of downtown Los Angeles and about 90 miles north of San Diego, placing it within easy reach of Southern California's biggest urban centers.

Just a few minutes south along Pacific Coast Highway, Huntington Beach draws visitors with its iconic pier, wide sandy beaches, and surf-centric downtown. Known internationally as "Surf City USA," the area hosts surf competitions, beach volleyball tournaments, and a bustling Main Street with restaurants, surf shops, and the regular energy of a busy beach town. The drive from Sunset Beach to the pier is typically under ten minutes, making it an easy day trip for guests who want more dining and activity options than the sleepy enclave provides.

A short distance to the south, the Bolsa Chica Ecological Reserve offers a striking contrast to the surf-and-sand atmosphere. This stretch of restored coastal wetlands is one of the largest such habitats in Southern California and is a favorite stop for birdwatchers, hikers, and nature photographers. Walking trails and observation points let visitors spot herons, egrets, and seasonal migratory species, and the reserve is generally less than fifteen minutes from Sunset Beach by car.

For those interested in shopping, dining, and entertainment, [Pacific City](en.wikipedia.org/wiki/Pacific_City_(Huntington_Beach) in Huntington Beach is another nearby draw. This open-air center features boutique shops, ocean-view restaurants, and a luxury cinema, and it sits just a few minutes' drive from the beach. Further afield, the attractions of Long Beach, including the Aquarium of the Pacific and the historic Queen Mary, are reachable in roughly twenty to twenty-five minutes, while the upscale coastal communities of Newport Beach and Laguna Beach lie to the south along Pacific Coast Highway.

Sunset Beach's appeal as a base for a short-term rental lies in its combination of small-town tranquility and proximity to some of Southern California's most popular coastal destinations. Guests can spend their mornings surfing or walking the uncrowded sand, then take short drives to the energy of Huntington Beach, the natural beauty of Bolsa Chica, the dining at Pacific City, or the broader cultural offerings of greater Los Angeles and Orange County. That balance of quiet retreat and accessible adventure gives the community a steady, year-round appeal for travelers seeking an authentic Southern California beach experience.

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