San Diego Considers Empty Homes for Revenue & Housing
San Diego faces a critical housing crisis, prompting city leaders to explore new solutions. A proposed ballot measure aims to introduce an annual fee on vacant residential properties, intending to free up much-needed housing units and generate funds for affordable housing initiatives.
Understanding San Diego’s Vacancy Fee Proposal
Championed by City Council President Sean Elo-Rivera, this measure seeks to address San Diego’s housing shortage. The proposal involves charging owners for homes left vacant for extended periods, incentivizing them to rent or sell. Revenue generated would be directly channeled into housing solutions.
Defining a “Vacant” Home
Under the proposal, a property is considered vacant if unoccupied for over six months within a calendar year. The city plans to use indicators like SDG&E utility bill data to identify potentially vacant properties, ensuring a data-driven approach to enforcement.
Proposed Fees and Revenue Use
The measure outlines initial annual fees of $4,000 for single-family homes and $5,000 for apartments and condominiums, escalating by 5 percent annually. All collected funds would be specifically earmarked for San Diego’s affordable housing programs, tenant assistance, and homelessness services.
Key Exemptions
To avoid unfairly penalizing owners, exemptions are included for properties undergoing active renovation, recently sold or inherited, those with owners away for medical reasons, or homes occupied for at least part of the year. This targets genuinely vacant investment properties.
Lessons from Other Cities
San Diego is not unique in considering such a measure. Cities like Vancouver and Oakland have implemented similar taxes, offering valuable insights.
| City | Initial Annual Fee (Example) | Primary Goal | Notable Outcome |
|---|---|---|---|
| Vancouver, Canada | C$3,000 (initially) | Increase rental supply, generate revenue | Increased rental listings, significant revenue for housing. |
| Oakland, USA | $3,000 – $6,000 | Address blight, fund affordable housing | Generated millions for housing and homelessness programs. |
| San Diego (Proposed) | $4,000 (SFH), $5,000 (Condo) | Increase housing availability, fund affordable housing | (Aims for similar results.) |
Vancouver’s Empty Homes Tax has been credited with boosting rental listings and generating substantial revenue. Oakland’s vacancy tax also contributes to their affordable housing efforts. These examples suggest such fees can positively impact housing availability and funding.
Implications for San Diegans
If passed, this measure could have several key implications for our community.
For Homeowners
Owners of vacant properties would face fees, encouraging better utilization. However, most homeowners with legitimate reasons for temporary vacancy would be exempt.
For Renters and Prospective Buyers
The hope is that increased housing availability will help stabilize or reduce soaring costs, making San Diego more affordable. Any increase in supply is beneficial.
For City Resources
The revenue provides a dedicated funding stream for critical affordable housing projects, tenant protection programs, and homelessness services, addressing pressing social issues.
What’s Next for the Empty Homes Measure?
The proposal is slated for the November 2024 ballot, allowing San Diegans to directly vote on its implementation. Ahead of this, expect public discussions and opportunities to provide input to City Council members and local leaders.
Frequently Asked Questions
- Who is championing this empty homes measure?
San Diego City Council President Sean Elo-Rivera and local housing advocates are the primary proponents. - When could this measure potentially take effect?
If approved by voters in November 2024, fee collection would likely begin in a subsequent year, potentially 2025 or later. - How can I determine if my property is considered vacant?
A property is generally considered vacant if unoccupied for over six months in a calendar year, excluding specific exempt reasons. The city plans to use SDG&E utility data as an indicator. - What happens to the funds collected from these fees?
All revenue would fund affordable housing programs, tenant assistance, and services for those experiencing homelessness in San Diego.
The empty homes measure represents a significant step towards leveraging underutilized resources to address San Diego’s housing crisis. Stay informed and participate in discussions to help shape our city’s housing future.
San Diego Considers Empty Homes for Revenue and Housing
