VICTORY IN SAN DIEGO: PROPOSED VACANCY TAX DEFEATED!
We have fantastic news to report from our neighbors to the south. The proposed "Vacancy and Short-Term Rental Tax" in San Diego is officially dead.
In a decisive 3-2 vote last Wednesday, the San Diego City Council Rules Committee rejected the proposal by Councilmember Sean Elo-Rivera, stopping it from advancing to the full City Council or the June 2026 ballot.
This is a massive win for the industry and a testament to the power of organized advocacy.
What Happened
The proposal sought to impose a punitive flat tax of roughly $8,000 per property (with additional surcharges for corporate owners) on short-term rentals and vacant homes. Proponents argued it would solve the housing crisis, but thanks to a massive turnout of opponents, the committee members saw the truth: this tax would have devastated small businesses, reduced city revenue by shrinking the tax base, and likely faced immediate legal challenges similar to those we’ve seen in San Francisco.
The Power of Organizing
This victory didn’t happen by accident. It was the result of a coordinated, loud, and effective campaign.
We want to extend a huge congratulations to the San Diego Short-Term Rental Alliance (SDSTRA) for their incredible work on the ground. They mobilized hundreds of people—not just hosts, but the cleaners, landscapers, and local small business owners who rely on our industry. Their rally outside City Hall and the emotional, fact-based testimony inside the chamber made it impossible for the Council to ignore the human cost of this bad policy.
We also need to recognize the vital role of the platforms, especially Airbnb, for stepping up with resources and leadership to help fight this battle. When local alliances and major platforms work together, we are a formidable force.
What This Means for NBSTRA Members
This victory proves that when we show up, tell our story, and stick together, we win. The defeat of this tax in a major city like San Diego sends a ripple effect across the region, discouraging other councils from trying to use STRs as a piggy bank for government overspending.
It also highlights exactly why we are doing what we are doing here at NBSTRA. Regulatory threats are constant, but with a strong local alliance and engaged members like you, we can protect our rights and our community.
Congratulations again to San Diego! Let’s keep this momentum going in 2026.
