Regulations Guide

Sacramento ADU Airbnb & Short-Term Rental Rules (2026)

Can you Airbnb your ADU in Sacramento? The answer depends on when it was built. Here's everything you need to know about ADU short-term rental regulations in Sacramento and Placer County.

Key Rule: ADUs Built After January 1, 2020 Cannot Be Short-Term Rentals

California Government Code Section 65852.2(e)(4) prohibits ADUs permitted on or after January 1, 2020 from being used for short-term rentals (stays under 30 consecutive days). This is a state-level law that applies to all California cities and counties, including Sacramento. Violations can result in fines of $1,000–$5,000 per occurrence.

Can I Short-Term Rent My ADU? Decision Guide

When was your ADU permitted?

Before January 1, 2020

Your ADU may be eligible for short-term rental. You must obtain a Short-Term Rental (STR) permit from the City of Sacramento or Sacramento County, register for Transient Occupancy Tax (TOT), and comply with all local STR regulations.

After January 1, 2020

Your ADU cannot be used for short-term rentals (under 30 days). This is California state law and cannot be overridden by local ordinance. Long-term rentals (30+ days) are permitted.

What You CAN Do

  • Long-term rental (30+ days) — no restrictions
  • Medium-term rental (1-6 months) — growing market
  • Furnished monthly rentals for travel nurses, contractors
  • House family members (no rental restrictions)
  • Use as home office or studio
  • Rent to Section 8 / Housing Choice Voucher tenants
  • Rent room in your PRIMARY home (not ADU) as STR with permit

What You CANNOT Do (Post-2020 ADUs)

  • List on Airbnb for nightly stays
  • List on VRBO for stays under 30 days
  • Operate as a vacation rental
  • Rent by the week (under 30 days)
  • Use as a party/event venue rental
  • Circumvent rules by listing under main house address

The Medium-Term Rental Alternative: $1,800–$3,000/month

While short-term rentals are restricted, medium-term furnished rentals (30+ days) are completely legal and increasingly lucrative in Sacramento. This market serves:

Travel Nurses

UC Davis Medical Center, Sutter Health, and Kaiser create constant demand for 3-6 month furnished housing.

Government Contractors

Sacramento's status as the state capital means a steady stream of consultants and contractors needing temporary housing.

Remote Workers

The "work from anywhere" trend brings professionals seeking 1-3 month stays in Sacramento's affordable, sunny climate.

Furnished medium-term ADU rentals in Sacramento command 20–40% premiums over unfurnished long-term rates. A 1-bedroom ADU that rents for $1,700/month unfurnished can fetch $2,200–$2,800/month furnished on platforms like Furnished Finder.

Sacramento Short-Term Rental Permit Requirements

If you have a pre-2020 ADU that qualifies for short-term rental, here are the City of Sacramento requirements:

  • Register with the City and obtain an STR permit
  • Pay Transient Occupancy Tax (TOT) — currently 12% in the City of Sacramento
  • Owner must reside on the property for at least 6 months per year
  • Maintain liability insurance of at least $500,000
  • Post permit number on all listing platforms
  • Comply with noise, parking, and occupancy limits

Frequently Asked Questions

Planning Your ADU for Long-Term Rental Income?

Even without Airbnb, Sacramento ADUs generate $1,200–$2,500/month in long-term rental income. Find a builder to start your project.