The Sunset of the STR Safety Net: San Bernardino’s Ban and the Pivot

,000 per day. For an owner who attempts to keep a listing active through the busy summer season, a single month of non-compliant operation could result in $30,000 in fines—likely wiping out any potential profit and venturing deep into equity-burning territory. At McIntire Kingstone, our advice is clear: do not test the city’s resolve. The cost of 'running the gauntlet' far exceeds the cost of a professional transition to long-term leasing.

The 60-Day Ripple Effect: LA County’s New Arrears Threshold

As San Bernardino owners pivot toward long-term rentals (LTR), they are entering a landscape that has changed dramatically in the last 30 days. Just across the county line, the Los Angeles County Board of Supervisors has enacted an ordinance that fundamentally changes the risk profile of every rental unit in unincorporated areas.

The Two-Month Threshold Explained

Under the new ordinance that took effect in mid-April 2026, a tenant must be at least two months behind in fair market rent before a landlord can initiate an eviction for non-payment. This is a significant shift from the previous one-month standard. Supervisors Janice Hahn and Hilda Solis framed the move as a 'breathing room' measure for tenants, but for property owners, it represents a 100% increase in the initial exposure to non-payment risk.

Impact on Former STR Properties

For investors moving from the daily-payment model of STRs to the monthly-payment model of LTRs, this new threshold creates a cash flow vulnerability. If a tenant stops paying on day one, a landlord must now wait 60 days to even begin the legal process, which can then take several more months to resolve through the court system. This '60-day ripple effect' means that tenant screening is no longer just a best practice—it is the only line of defense against long-term vacancy losses.

Drafting 'Post-STR' Leases: Accounting for Unique Wear and Tear

Transitioning a vacation property to a long-term lease requires more than just changing the listing description. These properties often feature high-end finishes, furniture packages, and amenities (like hot tubs or game rooms) that were designed for temporary use, not daily living. Your lease agreement must be updated to reflect this reality while adhering to California's strict Civil Code Section 1950.5 regarding security deposits.

Addressing Furnished Units

If you are renting the unit furnished, your lease must include a detailed 'Furniture and Furnishings Inventory.' This document should be signed by the tenant and include high-resolution photos of the condition of every item. Given the wear-and-tear profile of vacation furniture, we recommend including specific clauses regarding 'extraordinary wear' for items like pool tables or outdoor fire pits, which may not be suitable for long-term tenants without specific maintenance agreements.

Managing Modern Amenities

Many San Bernardino and Inland Empire STRs were outfitted with smart home technology (Ring cameras, smart locks, etc.). When pivoting to a long-term lease, you must ensure your lease accounts for tenant privacy rights under California law. You cannot maintain access to internal cameras, and you must specify how smart lock codes will be transitioned to the tenant to ensure their 'quiet enjoyment' of the premises. Failing to do so can result in a constructive eviction claim.

The Maintenance Surcharge Strategy

For former STRs with pools or extensive landscaping, it is often safer to include professional maintenance in the rent rather than delegating it to the tenant. A long-term tenant may not maintain a hot tub to the same standards as a professional STR cleaning crew, leading to expensive equipment failure. Drafting a lease that mandates owner-provided maintenance ensures the asset is protected over a 12-month period.

Understanding Legal Boundaries: The 'Appeals Court Win' and Relocation Fees

There is a glimmer of hope for property owners in a recent decision by the California Appeals Court. In a case involving the Apartment Association of Greater Los Angeles (AAGLA), the court partially sided with landlords, offering clarity on the legal boundaries of tenant relocation assistance.

The Victory on Relocation Limits

The court ruled that while municipalities have a right to protect tenants, there are limits to the financial burdens they can place on landlords, particularly regarding 'no-fault' evictions or substantial rent increases that trigger relocation payouts. For owners in the Inland Empire and LA, this means that while tenant protections are robust, they are not limitless.

Actionable Advice for Owners

• Stay Informed on 'Just Cause': Even if you are not in the city of LA, the California Tenant Protection Act (AB 1482) applies statewide. You must have a 'just cause' to terminate a long-term lease after a tenant has been in place for 12 months.
• Document Everything: The court’s ruling emphasizes the importance of proper documentation. If you are ending a long-term lease to perform substantial renovations (a common move when 'refreshing' an old STR), you must strictly follow the updated notification and relocation pay requirements to avoid litigation.
• Professional Management is Key: With the intersection of the STR ban, the new 60-day arrears threshold, and complex relocation laws, the 'DIY' landlord model is becoming increasingly dangerous in Southern California.

Conclusion: Pivot with Precision

The sunset of the short-term rental safety net in San Bernardino is a clear signal of the regulatory environment to come across Southern California. Whether your assets are in Riverside, Orange County, or the Inland Empire, the trend is toward greater restriction on STRs and greater protection for long-term tenants. However, this shift also represents an opportunity. By converting your STR into a high-quality, long-term rental, you can secure stable cash flow and reduce the operational headache of constant turnover.

At McIntire Kingstone, we specialize in this exact transition. From professional tenant screening that mitigates the 60-day arrears risk to drafting ironclad lease agreements that protect your former STR investments, we are here to ensure your portfolio remains profitable and compliant. Don't wait for the