Listing your house in Escondido on Airbnb is a walk in the park. As an Airbnb host, you’re in luck when operating vacation rentals in this city. The Escondido short-term rental laws are extremely lax because the city hardly regulates them. Compared to Airbnb regulations in San Diego, Escondido laws are extremely easy to navigate. You can Airbnb your property in Escondido with ease.
Here is a comprehensive guide on how to navigate the Escondido short-term rental laws in 2025 and start renting out your house on Airbnb.
Airbnb is Legal in Escondido
Airbnb is 100% legal in Escondido, California. Homeowners can rent out up to 3 units without a business license.
Operating a vacation rental property in Escondido CA is that easy?
Indeed, it is. Property owners can start renting out a property on Airbnb in Escondido today without a business license. The city of Escondido has very lax vacation rental laws surrounding Airbnb and VRBO. A property owner can legally rent out their home (or rooms) to Airbnb guests and start earning profit.
Escondido Short-term Rental Laws: Pros
Escondido should be at the top of your list for places to rent vacation homes. The short-term rental laws in Escondido are nearly nonexistent. Of course, regulations can – and likely will – change over time. The laws won’t stay this easy forever. Carlsbad vacation rental rules pale in comparison to Escondido laws. Make hay while the sun is shining! Rent your house on Airbnb in Escondido while it’s easy.
Business License for Short-term Rental Properties
If you are renting 3 units or less as a short-term rental property, you don’t need a business license. How great is that? For example, you can own and rent out 3 different properties on Airbnb without a business license. Escondido vacation rental laws make it easy to rent properties out to short-term guests.
You can also rent out rooms in an existing home without a business license. There is a very low barrier to entry to become an Airbnb host in Escondido. More strict cities in San Diego County make it much harder to operate vacation rentals. Chula Vista laws regarding Airbnb rentals require owners to live in the actual city. Escondido is the opposite.
The only time Airbnb hosts would need a business license is when renting out 4 or more units as short-term rentals. As far as Escondido vacation rental regulations go, this is not bad.
No Transient Occupancy Tax (TOT)
Similarly, to the business license law, vacation rental landlords don’t need to pay Transient Occupancy Tax to the city of Escondido unless they rent more than 3 units to short-term guests. Did we mention that the Escondido short-term rental regulations are easy?
Cities along the coast of North County SD have much more strict rules. Oceanside short-term rental laws require owners to pay transient occupancy tax regardless of the number of units they rent. Even when renting a room out on Airbnb, property owners must pay a TOT to the city. Yikes!
The vacation rental laws in Escondido require owners that rent more than 3 short-term units to pay a 10% tax on the revenue generated. Airbnb hosts that rent fewer units than that must only pay traditional taxes and fees required by the IRS.
- Form to pay the Transient Occupancy Tax (TOT): https://www.escondido.org/Data/Sites/1/media/PDFs/Finance/TOTReturnForm.pdf
- Application for Permit: https://www.escondido.org/Data/Sites/1/media/PDFs/Finance/TOTApplicationPermit.pdf
Escondido Vacation Rental Laws: Cons
Fortunately, there aren’t many cons to the existing Escondido vacation rental laws. Again, regulations change over time. The city of Escondido expects to enact more stipulations regarding Airbnb and VRBO in the future.
Since there isn’t much stopping vacation rental hosts, get started today! Property owners can even successfully Airbnb a house with a mortgage. Depending on the mortgage, getting permission from your bank may be required. Other than that, becoming an Airbnb host in Escondido is a worthwhile financial endeavor.
Steps to Airbnb Your House in Escondido
1. Apply to be an Airbnb Host
You can start applying to be an Airbnb host in Escondido through their website. They will require you to submit several pieces of information regarding your vacation rental. Once approved, you can start preparing your Airbnb listing. There aren’t many vacation rental regulations in Escondido standing in your way.
2. Create Your Airbnb Listing
Now that you’ve been approved as a host, you can prepare your Airbnb listing. A property doesn’t need to have the perfect location to attract Airbnb guests and make money as a vacation rental. Beach towns in San Diego County will always draw tourists in. Create an interesting theme for your Airbnb that will attract guests. Once you begin generating multiple reviews, it will cascade from there into a successful short-term rental property.
Accessory Dwelling Unit (ADU) as a Vacation Rental in Escondido
There are currently no restrictions regarding accessory dwelling units (ADUs) as vacation rentals in Escondido, CA. Of course, it’s important to build ADUs with the proper permits. Having an ADU on your property that is built to the city’s specific zoning and code requirements increases your property’s value. Selling a property to a company that buys houses in Escondido is easier with an ADU in the backyard. Make money now by renting out your ADU on Airbnb and earn profits later when you sell.
Short-term Rental Regulations for Townhomes and Condos
You guessed it… there are none! As long as you rent 3 units or less as vacation rentals, you’re in the clear. Property owners can Airbnb townhomes and condos in Escondido without needing a business license. These Airbnb hosts also don’t need to pay the transient occupancy tax to the city.
Navigating Escondido Short-term Rental Regulations
Escondido is an extremely Airbnb-friendly city. This is widely different from neighboring cities in San Diego County. Enjoy the lax short-term rental regulations in Escondido while they last. Vacation rental laws will change over time.
Once short-term rental regulations shift, review the laws to determine what makes sense. Many Airbnb hosts stop renting to short-term guests once laws become stricter. At that point, many homeowners sell their properties and move on. We buy houses as-is throughout the county. If you need to avoid strict Escondido short-term rental laws in the future, contact us to talk about options for your property.