Austin vs San Diego: Short-Term Rental Rules Compared (2026)
Austin is currently "allowed with permit" while San Diego is "allowed with permit". On cost, Austin is the cheaper market to license ($836.30 vs $1,170). Full verified details for both markets below โ always confirm current requirements with each jurisdiction.
Side by side
| Rule | Austin, TX | San Diego, CA |
|---|---|---|
| Legal status | Allowed with permit | Allowed with permit |
| Permit required | Yes | Yes |
| Permit name | Short-Term Rental (STR) Operating License | Short-Term Residential Occupancy (STRO) License (Tiers 1-4) |
| Permit fee | $836.30 | $1,170 |
| Renewal | Biennial | Biennial |
| Primary residence only | No | No |
| Owner occupancy required | No | No |
| Night cap / year | None found | None found |
| Minimum stay | None found | 2 night(s) |
| Total occupancy taxes | ~17% | ~13.75% |
| Last verified | July 12, 2026 | July 10, 2026 |
Compare guest tax loads
Switch between the two markets to see itemized occupancy taxes on the same stay.
| Gross rent | $450.00 |
| Texas Hotel Occupancy Tax (state) (6%)ยท usually collected by platform | $27.00 |
| City of Austin Hotel Occupancy Tax (11%)ยท usually collected by platform | $49.50 |
| Total tax (17%) | $76.50 |
| Guest pays | $526.50 |
Estimate only. Platform collection varies by listing site and agreement; verify rates with the taxing authorities.
Austin, TX
Short-term rentals are legal citywide in Austin โ allowed as an accessory use in every zoning district โ but each STR must hold a city operating license ($836.30 for a new license, $385.30 renewal, valid two years as of October 2025). There is no owner-occupancy requirement (a 2023 federal court struck that down), but density is capped: at most two STRs per single-family site with 1,000-foot site-to-site spacing for additional units by the same operator, and generally 10% of units in multifamily buildings; starting July 1, 2026 platforms must delist unlicensed properties on city request. Guests pay 6% state plus 11% city hotel occupancy tax, both collected by platforms like Airbnb and Vrbo for platform bookings. Always confirm current requirements with the city before operating.
Full Austinrules, playbook & sources โSan Diego, CA
Short-term rentals (under one month) are legal in San Diego but every host needs a Short-Term Residential Occupancy (STRO) license, issued in four tiers; a whole-home Tier 3 license costs $1,170 total ($41 application + $1,129 license, valid two years), while part-time and home-share tiers cost $226-$317. The biggest restriction is that each host may hold only one license and operate only one dwelling unit citywide, and whole-home licenses are capped (1% of the city's housing stock for Tier 3; Mission Beach Tier 4 is fully allocated with a frozen waitlist). Guests also pay 11.75%-13.75% transient occupancy tax depending on zone. Always confirm current requirements with the city before operating.
Full San Diegorules, playbook & sources โInformational only โ not legal, tax, or financial advice. Rules change frequently in both markets; verify current requirements with each jurisdiction before operating.