Palm Springs, California is a popular tourist destination famous for its stunning landscapes, luxurious resorts, abundant golf courses, and vacation rentals. With its warm, sunny weather and astonishing scenery, Palm Springs is a vacationer’s paradise. The city hosts visitors from California’s more coastal cities and travelers from around the country – even around the world.
When you own a property in Palm Springs or you’re thinking about investing in a home that you could potentially turn into a rental, you likely know enough of the vacation rental market to understand that Palm Springs is an excellent place to own such an investment.
As with any investment, it’s important for you to understand the regulations and even the potential risks that can come with a vacation rental in Palm Springs. Fortunately, there are plenty of opportunities that also come with owning such a property.
Your best resource is a Palm Springs property management company. We can help you understand and comply with the laws and regulations that come with vacation rentals and also help you identify some of the most promising opportunities that exist in our market.
Palm Springs Regulations around Vacation Rental Property
Before investing in a vacation rental property in Palm Springs, it’s critical to understand the regulations in place to protect consumers, the community, and individual property owners. Since 2017, Palm Springs has had strict vacation rental regulations in place to ensure that the growth of these rental properties doesn’t become a nuisance to full-time residents and homeowners. According to the existing regulations, rental properties must follow specific operational guidelines such as:- Occupancy is limited to two adults per bedroom plus two additional occupants, with a maximum of 10 adults and four children in any given rental home.
- The owner or operator of the property must obtain a vacation rental permit.
- All vacation rental properties must be registered with the city of Palm Springs.
- Every rental property owner must follow requirements and guidelines regarding noise disturbances, fire codes, and advertising. Quiet time in vacation homes begins at 10pm.
Understand the Zoning Laws
Another factor to consider when you’re investing in Palm Springs vacation rentals is zoning. Not all areas and neighborhoods in Palm Springs are zoned for vacation rentals, and it’s critical to research this carefully before you spend money on a property that you plan to turn into a vacation rental. If a property is not zoned for vacation rentals, it may be difficult or even impossible to obtain a permit. This does not mean you cannot rent out a property to long-term residents; it simply means that turning your property into a vacation rental might come with additional challenges that are not easily overcome.Opportunities for Palm Springs Real Estate Investors
Despite the regulations and zoning restrictions, the vacation rental market in Palm Springs offers excellent opportunities for landlords. Palm Springs attracts millions of tourists each year, which means that there is a high demand for vacation rentals.- Per-night rents are high. Compared to traditional, long-term rentals, they can often make more money for investors. This can offer great return on investment (ROI) as well as consistent and recurring income, especially if you manage to keep your property occupied.
- There are a range of properties available for investors. Whether you’re looking for a single-family home in a gated community, a condo on a golf course, or a unit in a desirable building, there are plenty of interesting property types in desirable neighborhoods. You’ll have a lot of choices and a pool of willing vacation renters.
- You might enjoy the home yourself. Palm Springs is a fantastic place to vacation. If you don’t live here full-time yourself, an investment property in the area will give you a great place to getaway if you feel like a vacation of your own. Leave some days on the calendar for you or your family to spend some time on your property. You can also consider buying a future retirement home for yourself. While you wait to retire, you can rent the property out to vacationers.
Palm Springs Property Management:
Once you’ve decided to invest in a vacation rental property in Palm Springs, it’s important to partner with a professional property management team. Keeping your vacation property rented, managing the incoming and outgoing guests, and keeping the home maintained requires a lot of work and attention. It also requires experience.
Even if you have managed traditional rental properties in the past, vacation rental management is different and requires specialized skills. As a vacation rental landlord, you need to be responsive to guests and ensure that the property is in excellent condition. Your management company can take care of everything from property maintenance to guest communication. This can be an excellent option for landlords who want to maximize their income while minimizing their workload.
Palm Springs is a fantastic vacation rental market that offers excellent opportunities for real estate investors. However, it’s essential to understand the regulations and zoning restrictions before investing in the area. Additionally, vacation rental management and marketing and leasing require specialized knowledge, which is worth investing in for the best results.
Whether you’re thinking about renting out a home you already own or you want to buy something to rent to vacationers, Palm Springs vacation rentals can be a profitable and rewarding investment for landlords.
We’d be happy to help you make some great decisions. If you’re interested in learning more about the potential of vacation rental properties in Palm Springs, please contact us at Xepco Properties.
