Legality Verdict
Short-term rentals are legal in Mammoth Lakes, but only in specific zones and with strict compliance requirements. The 15% TOT and annual fees are material. Zoning and HOA restrictions are the primary investor risks.
- Legality Status: 2/5
- License Availability: 4/5
- Compliance Cost (% revenue): 2/5
- Regulatory Stability: 4/5
- Enforcement Climate: 4/5
TL;DR
Mammoth Lakes defines STRs as rentals under 31 days. All operators must obtain a Business Tax Certificate and pay a 15% Transient Occupancy Tax (TOT). Annual compliance fees total $375. STRs are only allowed in Commercial, RMF-2, Resort, and Specific Plan zones—single-family homes are excluded. The biggest gotcha: zoning and HOA restrictions sharply limit where STRs are legal, and any expansion requires a public vote.
Quick Facts
| Item | Detail |
|---|---|
| STR Definition | Rental of a dwelling for less than 31 consecutive days Town of Mammoth Lakes Official Website |
| Registration Required | Yes — Business Tax Certificate required Town of Mammoth Lakes – Business Tax and Registration |
| Permit Cost | Not codified — Business Tax Certificate fee applies; confirm with Town Town of Mammoth Lakes – Permit Applications and Fee Center |
| Annual Renewal | Not codified — Business Tax Certificate renewal fee applies; confirm with Town Town of Mammoth Lakes – Permit Applications and Fee Center |
| Certified Properties Program Fees | $125 application, $250 annual renewal (2026) RedAwning |
| Late Penalty | Not codified — subject to general business licensing code Town of Mammoth Lakes – Business Tax and Registration |
| State Sales Tax | Not separately imposed on STRs Town of Mammoth Lakes Official Website |
| Local Accommodations Tax | 15% Transient Occupancy Tax (TOT) Town of Mammoth Lakes Official Website |
| Total Effective Lodging Tax | 15% Town of Mammoth Lakes Official Website |
| License Cap | Not codified — no cap identified Town of Mammoth Lakes – Business Tax and Registration |
| Permitted Zones | Commercial, RMF-2 (by Use Permit), Resort, Specific Plan Town of Mammoth Lakes Official Website |
| Prohibited Zones | Residential Single Family, Rural Residential, RMF-1 Town of Mammoth Lakes Official Website |
| HOA/Condo Override | Yes — HOA rules may further restrict STRs Mammoth Lakes Real Estate & Rental FAQ |
| Occupancy Cap | Not codified — no separate city rule identified Town of Mammoth Lakes Official Website |
| Parking Requirement | Not codified — no separate city rule identified Town of Mammoth Lakes Official Website |
| Primary Regulator | Town of Mammoth Lakes, Community and Economic Development Dept. Town of Mammoth Lakes – Permit Applications and Fee Center |
| Enforcement Penalties | Not codified — subject to general business licensing code Town of Mammoth Lakes – Business Tax and Registration |
| Transferability | Not codified — confirm with Town Town of Mammoth Lakes – Business Tax and Registration |
| Last Updated | 2026-05-22 |
Regulatory Impact Snapshot
Underwriters should model compliance costs at 15.6% of gross revenue, with median Mammoth Lakes, CA STRs earning $63,925 at an average daily rate of $312 and 45% occupancy. The compliance stack includes a 15% Transient Occupancy Tax (TOT) on all rent and required fees, plus $375 in annual program and renewal fees. The binding constraint is zoning: STRs are only legal in select multi-family, commercial, and resort zones, and HOA rules may further restrict use. Expansion into single-family zones is blocked by voter initiative. Run this market in our Airbnb Calculator →
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Frequently Asked Questions
Basics
What is considered a short-term rental in Mammoth Lakes?
A short-term rental (STR) is any rental of a dwelling for less than 31 consecutive days. Town of Mammoth Lakes Official Website
Are STRs legal in Mammoth Lakes?
Yes, but only in specific zones and with required registration and tax compliance. Town of Mammoth Lakes Official Website
Can I operate an STR in a single-family home?
No, STRs are prohibited in Residential Single Family, Rural Residential, and RMF-1 zones. Town of Mammoth Lakes Official Website
Licensing
Do I need a permit to operate an STR?
Yes, a Business Tax Certificate is required for all STRs. Town of Mammoth Lakes – Business Tax and Registration
What are the fees for STR registration?
$125 application and $250 annual renewal for the Certified Properties program, plus Business Tax Certificate fees. RedAwning
Is there a cap on the number of STR licenses?
No cap is codified as of May 2026. Town of Mammoth Lakes – Business Tax and Registration
Are STR permits transferable on sale?
Not codified—confirm with the Town. Town of Mammoth Lakes – Business Tax and Registration
Taxes
What is the Transient Occupancy Tax (TOT) rate?
15% of all rent and required fees for stays under 31 days. Town of Mammoth Lakes Official Website
Do I need to collect and remit TOT myself?
Yes, operators must collect and remit TOT to the Town. Town of Mammoth Lakes Official Website
Does Airbnb or VRBO collect TOT for me?
As of May 2026, there is no evidence that platforms auto-collect/remit TOT for Mammoth Lakes. Town of Mammoth Lakes Official Website
Is there a state sales tax on STRs?
No separate state sales tax applies to STRs in Mammoth Lakes. Town of Mammoth Lakes Official Website
Operations
Where are STRs allowed in Mammoth Lakes?
Permitted in Commercial, RMF-2 (by Use Permit), Resort, and Specific Plan zones. Town of Mammoth Lakes Official Website
Can my HOA restrict STRs even if the Town allows them?
Yes, HOA or condo rules may further restrict or prohibit STRs. Mammoth Lakes Real Estate & Rental FAQ
Is there a maximum occupancy or parking rule?
No separate city rule is codified for occupancy or parking. Town of Mammoth Lakes Official Website
Are inspections required?
No specific inspection or life-safety requirement is codified for STRs. Town of Mammoth Lakes Official Website
Enforcement
What are the penalties for operating without a permit?
Not codified—subject to general business licensing code; confirm with the Town. Town of Mammoth Lakes – Business Tax and Registration
How does the Town enforce STR rules?
Enforcement is ordinance-driven, with staff oversight and periodic inspections, especially for TOT compliance. Destination Real Estate (blog)
Has there been a recent moratorium?
Yes, a moratorium on new STR certificates was lifted in April 2024. RedAwning
Are there pending changes to STR rules?
No pending amendments are codified as of May 2026; confirm with the Town for updates. Town of Mammoth Lakes Official Website
Permit Process
All STR operators in Mammoth Lakes must obtain a Business Tax Certificate before renting. The Certified Properties program adds a $125 application and $250 annual renewal fee. No separate STR permit is codified, but compliance with both business registration and zoning is mandatory. Town of Mammoth Lakes – Business Tax and Registration
Zoning
STRs are only permitted in Commercial, RMF-2 (by Use Permit), Resort, and Specific Plan zones. Single-family homes, Rural Residential, and RMF-1 zones are strictly off-limits for transient rentals. Any expansion of STR eligibility into these zones requires voter approval under Measure Z. Town of Mammoth Lakes Official Website
Taxes and Remittance
A 15% Transient Occupancy Tax (TOT) applies to all rent and required fees for stays under 31 days. Operators must collect and remit TOT directly to the Town. As of May 2026, there is no evidence that Airbnb or VRBO auto-collect/remit TOT for Mammoth Lakes. Town of Mammoth Lakes Official Website
Enforcement and Recent Actions
The Town enforces STR rules through ordinance-driven staff oversight and periodic inspections, especially for TOT compliance. In 2024, a moratorium on new STR certificates was lifted, and enforcement of loft safety standards was updated to require waivers instead of bed removal. Destination Real Estate (blog)
Recent Changes and Pending Legislation
A 187-day moratorium on new STR certificates ended in April 2024. The Certified Properties program replaced the old TOT certificate system. California SB 346 (2026) requires platforms to collect/remit TOT if the Town opts in, but as of May 2026, Mammoth Lakes operators remain responsible for remittance. RedAwning
Comparable Markets
- South Lake Tahoe, CA — Consider if you want a similar mountain resort with strict zoning.
- Truckee, CA — Consider if you want a market with active permit caps and neighborhood restrictions.
- Big Bear Lake, CA — Consider if you want a SoCal mountain market with a different enforcement climate.
Sources
- Town of Mammoth Lakes Official Website: https://www.townofmammothlakes.ca.gov/201/Transient-Occupancy-Tax-Information
- Town of Mammoth Lakes – Business Tax and Registration: https://www.townofmammothlakes.ca.gov/182/Business-Tax-and-Registration
- Town of Mammoth Lakes – Permit Applications and Fee Center: https://www.townofmammothlakes.ca.gov/247/Permit-Application-and-Fee-Center
- Town of Mammoth Lakes Official Website (Zoning): https://www.townofmammothlakes.ca.gov/503/Single-Family-Residential-Transient-Rent
- Mammoth Lakes Real Estate & Rental FAQ: https://www.mammothlakesresortrealty.com/buy/mammoth-lakes-real-estate-rental-faq/
- RedAwning: https://www.redawning.com/pm/market-overview/mammoth-lakes-california
- Eastern Sierra Now: https://www.easternsierranow.com/town-of-mammoth-lakes-transient-occupancy-tax-starts-soon/
- Destination Real Estate (blog): https://destinationmammoth.com/blog/town-of-mammoth-lakes-loft-compliance-what-you-need-to-know-before-you-airbnb
- Permit by State (2026 Guide): https://www.permitbystate.com/short-term-rental-rules-california
- Mono County Short-Term Rental Housing Study: https://monocounty.ca.gov/sites/default/files/fileattachments/planning_division/page/5732/mono_county_short_term_rental_study_final2.pdf
- Mammoth Lakes Planning & Economic Development: https://mammothlakes.granicus.com/MetaViewer.php?view_id=2&clip_id=430&meta_id=42688
- Governor of California – New in 2026: https://www.gov.ca.gov/2025/12/31/new-in-2026-california-laws-taking-effect-in-the-new-year/
This page is research, not legal advice. Consult local counsel before acquiring or operating a short-term rental in Town of Mammoth Lakes, Mono County, California.
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