How can you limit the amount of renters

You could amend your CCRs to set a percentage and/or require homeowners to live in the house for X number of years (e.g. 2) before they could rent, but you will need homeowner approval (check your documents) and then figure out how to enforce this (how do you keep track of who's a renter or not? People can and do lie).
You don't say how many homes are already rented, but those homeowners would likely object to such rules unless you grandfathered them in (once the house is transferred or sold, they're subject to the updated rules.

We tried amending our CCRs this way and it was a gigantic fail, and because we're a townhouse community, we have A LOT of rentals. As an owner-occupant, I understand your pain, but the best way to address this may be with fair and consistent rules enforcement. You should be able to walk around your community and not be able to tell who's renting or not because everyone's complying with the rules. The renters are often accused of not obeying because they're not permanent residents anyway (so what do they care?) However, bad renters don't fall out of the sky - they exist because of indifferent and just plain greedy owner/landlords who only care that the rent check doesn't bounce.

So, you have to lean very hard on the owners. Everyone should understand as homeowners the rules exist to help maintain property values - no one wants to live next door or across from a pigsty filled with people who don't play well with others. You need to have a policy that spells out how violations are discovered, specific penalties (please check with your association attorney regarding fines), appeal rights, etc. An annual community walk-through can also help identify major problems or at least help you set priorities because some violations may be more bothersome than others. Ask the homeowners for their comments on how rule enforcement should work - it can be easier when people have an opportunity to weigh in on something they'll have to comply with.

People hate this advice but since the HOA does NOT own the homes, they can't prevent rentals. California does have one of the few laws in regards to rentals but it's pretty new. I don't know all the details and it's only been valid for just a few years.

The best route to take is to make sure if someone rents their home, that it is included in their rental agreement that the tenant must follow the HOA rules. The renter is NOT a member of the HOA. However, doesn't mean they can't have a copy of CC&R's and Articles of Incorporation. Those are PUBLIC documents.

Having this requirement protects ALL parties involved. HOA's have to hold the owner's feet to the ground for tenant's violations. Owner's can't evict a tenant if they aren't required to follow HOA rules. There is also Tenant's rights.

So request owners be aware of this and put it in their agreements.

Some say if no restrictions on rentals in ones docs, it would take 100% of all owners agreeing to add any. Others say the way to do it is an amendment that allows current owners to rent as long as they own the unit but restrict others and this way it would just need whatever % an amendment takes to pass.

Me, I would be looking for legal advice before trying any restrictions.

Our docs say one cannot rent a unit during their first year of ownership. We believe this discourages investors thus naturally limits rentals.

I dislike it because it's not true. It has been done, and tested in courts and held up. In more states than just FL and CA. You do people a disservice with that post (among others).

Yes. Its been done..... Voluntarily.

You need a better lawyer. If you know of no state that prevents anyone of renting out their home, that's because you're deliberately choosing to be ignorant. Just because an owner gets a mortgage from a lender doesn't mean the lender has the final say. There are these things called covenants that "run with the land". If a mortgage lender doesn't like them, they're free to not make the loan.