San Diego voters may put an $8,000 tax on non-primary homes left empty for 183 days

San Diego may tax vacant second homes

San Diego voters will decide in June 2026 whether to charge owners $8,000 a year for leaving non-primary homes empty for 183 days or more. The measure is known as Measure A.

It reached the June ballot after the San Diego City Council voted 8-1 in March 2026 to send it to voters. Councilmember Sean Elo-Rivera introduced the plan.

He said homes sitting empty during a housing shortage hurt renters, first-time buyers, and local workers. The vote became a major step in San Diego’s housing debate.

Council voted 8-1 to send it to voters

The City Council approved putting Measure A on the ballot on March 3, 2026. Councilmember Raul Campillo was the only no vote. He said he had not received a legal memo explaining how the city would defend the measure in court.

The revised plan had cleared the Rules Committee on Feb. 25, 2026. An earlier version failed in late January by a 3-2 vote of the committee. That earlier plan also covered short-term vacation rentals, but the final ballot version focused only on vacant non-primary homes.

What exactly would the tax cost owners

Under Measure A, owners of covered non-primary homes would pay $8,000 in 2027. That amount would rise to $10,000 in 2028. Corporate-owned vacant homes would face a higher bill. They would owe an additional $4,000 in 2027 and $5,000 in 2028.

Starting in 2029, the tax and surcharge would be adjusted each year for regional inflation. City estimates show about 5,140 properties could be eligible for the tax, including about 40 corporate-owned homes. The money would go into San Diego’s general fund.

Revenue could help close the city’s budget gap

San Diego faces a budget gap as city costs rise faster than revenues. Measure A could bring in new general fund money. The city’s Independent Budget Analyst estimated the tax could generate $9.2 million to $21.4 million in its first year.

In the second year, the estimate rises to $10.5 million to $24.3 million. The final amount would depend on how owners respond. If many owners rent, sell, or qualify for exemptions, taxable properties would fall. The money could be used for city services and homelessness programs.

Little-known fact: San Diego’s budget gap is tied to slower growth in local revenue, including sales, property, and hotel taxes, while personnel and infrastructure costs keep rising.

Supporters say housing supply could grow

Measure A supporters say the tax has two goals. It could raise money for city services and push owners to put vacant homes back into use. Elo-Rivera said thousands of homes sit empty while many San Diegans struggle to afford rent or buy a home.

The San Diego Housing Federation supported the measure. Stephen Russell, the group’s president and CEO, said the plan is based on sound economic theory and could create more housing opportunities. Labor unions and housing groups also supported the measure.

Opponents warn of legal and financial risks

Not everyone supports Measure A. Records showed the California Association of Realtors spent nearly $685,000 to fight the measure, making up about 95% of the opposition money reported at that time. The Pacific Southwest Association of Realtors also opposed it.

Opponents argued the measure could create legal risk, enforcement problems, and privacy concerns. Shane Harris, a spokesperson for the No on Measure A campaign, said some homeowners could face paperwork burdens to prove they qualify for exemptions. Supporters said the tax would apply only to a small group of vacant non-primary homes.

San Francisco case looms over San Diego

Opponents compared Measure A to San Francisco’s Empty Homes Tax, which voters passed in 2022. A trial court later struck down that tax, finding it unconstitutional and in conflict with the Ellis Act. That California law protects a landlord’s right to leave the rental business.

San Francisco officials suspended collection while the case moved through the appeals. The city’s treasurer said affected property owners did not have to file or pay unless the trial court decision was reversed. The California Apartment Association also argued that San Diego’s proposal could face similar legal challenges.

Oakland and Berkeley passed similar taxes

San Francisco was not the only California city to try a vacancy tax. Oakland voters approved a vacant property tax in 2018. Berkeley voters approved an empty homes tax in 2022. Berkeley’s law became more closely watched after San Francisco’s court loss.

A property owners’ group said it would take quick action against Berkeley’s tax if the San Francisco ruling survived appeal. If Measure A passes, San Diego would become the largest California city with an active residential vacancy tax. Supporters say the result could matter for other cities.

A judge changed the measure’s name

Measure A faced a legal fight before the June vote. A local judge ruled that calling it an “empty homes tax” could mislead voters because the tax could apply to homes that are unoccupied for more than half the year. The judge said “non-primary” was a more accurate term for the ballot materials.

The change affected ballot language, but not the basic tax structure. Campaign records reported through much of April showed supporters had spent more than $82,000 on advertising. Opponents had spent more than $98,000, mostly on consultants and professional services.

Service members caught in exemption debate

Measure A includes exemptions for some property owners. Homes left vacant because the owner died, moved into a care facility, or was deployed or relocated for military service could qualify for an exemption.

Opponents said the process could still create paperwork burdens. Shane Harris said service members would have to apply for an exemption to avoid the tax.

Elo-Rivera pushed back, saying the exemption is clearly written into the measure. He also said the tax would apply only to a small group of owners with vacant non-primary homes.

San Diego’s housing crisis by the numbers

San Diego’s housing market has been under strain for years. Redfin reported the city’s median home sale price was about $950,000 in March 2026. Zillow reported the city’s average rent was about $2,942 as of April 30, 2026.

The San Diego Housing Commission closed its Section 8 Housing Choice Voucher and public housing waitlists on Feb. 1, 2026. The county’s Section 8 waitlist closed on Feb. 20. Federal emergency housing voucher funding was also reported to be running short. By April 2026, the city’s housing permit program had permitted 6,746 homes.

Homelessness connects to the housing squeeze

San Diego’s housing shortage is tied to its homelessness problem. Local reporting has found that more people in the region fall into homelessness for the first time than move from the streets into housing.

Mayor Todd Gloria released his draft fiscal year 2027 budget in April 2026 as the city faced difficult spending choices. Officials said progress on homelessness depended partly on uncertain outside funding.

Elo-Rivera linked Measure A revenue to homelessness services, saying the money could help the city respond. The broader housing shortage remains tied to years of not building enough homes.

San Diego outpaces Los Angeles in apartment construction, underscoring why the city has become a major example in California’s housing supply fight.

Other U.S. cities watching the San Diego vote

San Diego’s Measure A vote is drawing attention because other cities are watching vacancy taxes as one possible response to housing shortages. Airbnb said in 2025 that it planned to spend $15 million to support political candidates in California, with much of that spending aimed at San Diego.

San Diego County added about 36,000 housing units between 2022 and 2025, more than any California county except Los Angeles. The city of San Diego added about 22,000 units during that period, and apartments accounted for 66% of those units. The June 2026 vote could influence future housing debates.

How San Diego built apartments faster than Los Angeles adds context to that vote because the city’s recent building pace is already reshaping its housing debate.

Do you think San Diego should charge $8,000 a year on non-primary homes left empty for 183 days? Share your thoughts and drop a comment.

This slideshow was made with AI assistance and human editing.

Read More From This Brand:

• Schmackary’s opens its first West Coast shop in San Diego
• Disney Magic draws scrutiny after federal agents detain cruise crew in San Diego
• Thousands in San Diego could lose SNAP benefits as providers warn food help is already strained