Short-Term Rental Permit Rules on the Central Coast: Pismo Beach, Avila Beach, Cayucos & Paso Robles

Owner Resources

Short-Term Rental Rules on the Central Coast

The Central Coast STR landscape varies by jurisdiction. Pismo Beach has the most detailed publicly documented program in this area — it requires an annual permit with mandatory fire safety inspection and has prohibited new STRs in residential zones since November 2023.

Avila Beach, Cayucos, and Paso Robles each operate separate programs under San Luis Obispo County or their own city codes. California has no state preemption law protecting STR rights, so each jurisdiction sets its own rules. Confirm requirements with each city or county planning department before listing.

Pismo Beach STR Permit Requirements

Mandatory annual permit: A permit is required before operating any STR in Pismo Beach. Submit your application through the CitizenServe online portal to the Planning Division.

Eligible zones: Since November 7, 2023, new STRs in residential zones are prohibited. Only properties in C-1 (commercial), RR (rural residential), or R-4 (high-density residential) zones in the downtown core may receive new permits. Existing permitted addresses in residential zones may continue operating under their current permits.

Important: If you own a residential property in Pismo Beach that does not have a current STR permit, you cannot obtain a new one under the November 2023 rule. Verify whether an existing permit is associated with a property before purchasing with STR income in mind.

Fire safety inspection: All units must pass a Code Enforcement inspection verifying: working smoke and carbon monoxide alarms, functional fire extinguishers, and 6-inch address numbering visible from the street. Properties must pass before the permit is issued.

Business license and TOT certificate: In addition to the Planning Division permit, you must obtain a business license and Transient Occupancy Tax (TOT) certificate from the Finance Department. Both are required before hosting.

TOT obligations: Both City of Pismo Beach TOT and San Luis Obispo County TOT apply to rentals in Pismo Beach. Platforms like Airbnb collect and remit TOT automatically, but you remain liable for any uncollected amounts. TOT rates were updated in March 2024 — confirm current rates with the Finance Department.

No permit cap: As of August 2026, Pismo Beach does not enforce a city-wide permit quantity cap or a primary-residence requirement for permitted zones. This makes it more permissive than cities like Laguna Beach or Santa Cruz, but the November 2023 residential zone ban limits new entry significantly.

Permit number in advertising: Your permit number must appear on all listing platforms.

Avila Beach, Cayucos, and Paso Robles: Each operates under separate rules. Avila Beach is an unincorporated community in SLO County; Cayucos is also unincorporated. Paso Robles is an incorporated city with its own STR ordinance. Confirm requirements with San Luis Obispo County planning or the City of Paso Robles before listing in any of these areas.

Rules change — here's how we keep this current

Pismo Beach enacted a significant restriction in November 2023 with little advance notice. Central Coast regulations continue to evolve. This page is reviewed regularly against verified government sources, but it is not a substitute for checking directly with the City of Pismo Beach Planning Division or your local manager before applying.

Last verified: August 2026.