Housing laws in San Luis Obispo
The state and local rules that shape renting, owning and building in San Luis Obispo and the rest of SLO County, plus the latest decisions from the City Council and Board of Supervisors. Every rule links to its official source.
The short version
| Rent cap | 8.6% per 12 months for covered rentals, Aug 1, 2026 – Jul 31, 2027 · details |
|---|---|
| Just cause | Required to end a tenancy after 12 months · details |
| Security deposit | Max one month's rent (two for qualifying small landlords) · details |
| Mobile homes (City) | Space rent increases capped at 9% a year, now including long-term leases · details |
| Short-term rentals (City) | Owner-occupied homestays allowed with a permit; vacation rentals prohibited · details |
| Lot splits | SB 9 allows many single-family lots to be split in two · details |
| Coming up | City is studying a mandatory rental registry · details |
Read by topic
Renters & landlords
The 8.6% rent cap, just-cause eviction, security deposits and City mobile home rules.
Read →Short-term rentals
Homestays and vacation rentals in the City of SLO, and County rules for Cambria, Cayucos, Avila and the coast.
Read →Building more housing
SB 9 lot splits, density bonus law, and how the City and County have updated their rules.
Read →Local housing actions
Recent City Council and Board of Supervisors decisions on housing, each linked to the official record.
Read →Housing Element & housing targets
Every California city and county must plan for its share of the region's housing need (RHNA) in a state-certified Housing Element.
- The City of San Luis Obispo's 2020–2028 Housing Element, adopted November 17, 2020, plans for 3,354 homes: 825 extremely low and very low income, 520 low income, 604 moderate income and 1,405 above moderate income (City Housing Element).
- SLO County was designated a Prohousing jurisdiction by the state in October 2025, which gives it priority for state housing and infrastructure grants (County of SLO).
Latest local actions
Welcome Home Village opens
The County opened Welcome Home Village on its Health Agency campus in San Luis Obispo: 40 permanent supportive housing units and 14 interim units, first serving people who had been living along the Bob Jones Bike Trail. Good Samaritan Shelter operates it; the trail encampment work is funded by a $13.4 million state Encampment Resolution Fund grant.
Source: County announcement
Mobile home rent rules updated for home sales
Council passed Ordinance 1759, amending the Mobile Home Park Rent Stabilization Ordinance to address space rent increases when a mobile home is sold under an existing lease, and adding a requirement that park owners notify tenants. It was introduced at an August 18 public hearing.
Source: City public hearing notice · Municipal Code 5.44.060
$350,000 for three affordable housing projects
On the consent agenda, Council released $350,000 in state Prohousing Incentive Program funds to three local affordable housing projects serving low-income families, seniors and residents who need supportive housing.
Source: Aug. 4 Council recap
See all local housing actions →
Official sources
General information, not legal advice. Laws and local rules change, and exemptions depend on the facts. For a specific situation, check the source or talk to a California-licensed attorney. Tenants and landlords can also use the California Courts eviction & housing self-help guide. Last reviewed October 8, 2026.