Court Holds that Short-Term Rentals are Not Considered an Unauthorized “Business Use” (CA)

With Assembly Bill 3182 taking effect this past January, community association boards lost significant leeway to exercise their discretion and adopt/enforce rental restrictions. Though many rental restrictions, such as minimum lease term requirements, and “caps” on the total number of rentals within the community at a given time are intended to help maintain property values and minimize increases in insurance premiums, the State is nonetheless prioritizing expanding the pool of homes available to renters. Similarly, the Court in Lastavich v. Nob Hill Homeowners Association recently confirmed that short-term rentals are not considered an unauthorized commercial use of the home.   Read the article…………………………………..

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