As San Diego voters consider Measure A, many property owners are asking an important question: How could this affect long-term rental housing and investment properties?

Measure A, sometimes referred to as the “Non-Primary Homes Tax,” proposes a tax on certain residential properties that remain vacant for more than half of the calendar year. If approved, the measure would create a new annual tax beginning in 2027 on qualifying homes that are unoccupied for 183 days or more and are not considered a primary residence. Supporters and opponents continue to debate its potential impact on housing and property ownership. (BallotReady)

How Measure A Works

Under the proposal, qualifying homes left vacant for much of the year could face an $8,000 tax in 2027, increasing to $10,000 in following years, with additional charges for certain corporate-owned properties. The measure includes several exemptions and specifically excludes many owner-occupied residences and long-term leased properties. (BallotReady)

For property owners who already maintain long-term rental occupancy, this distinction is important.

Potential Benefits for Long-Term Rental Owners

One of the most discussed aspects of Measure A is that long-term rental properties are generally not the target of the proposed tax. The measure is designed to address homes that remain largely vacant rather than homes occupied by long-term tenants. (BallotReady)

Supporters argue that this could create several possible outcomes:

1. Encouraging More Housing Availability

Supporters believe the measure may encourage owners of vacant homes to either rent or sell their properties, potentially increasing available housing inventory throughout San Diego. More available housing could help address supply shortages in certain neighborhoods. (KPBS Public Media)

2. Favoring Occupied Rental Properties

Owners who already operate occupied long-term rentals may view the measure as recognizing and supporting housing that is actively contributing to the local rental market rather than remaining unused.

3. Potential City Revenue

Revenue generated from the tax would be directed to the City’s general fund, which supports services such as infrastructure, public safety, parks, libraries, and housing-related programs. Supporters believe these funds could help maintain or improve community services. (KPBS Public Media)

Concerns Raised by Opponents

Opponents of Measure A raise several concerns.

Some argue that the proposal could create added reporting requirements or uncertainty for owners of second homes and seasonal properties. Others question whether the measure would meaningfully increase housing supply or whether it may face legal challenges similar to those seen in other cities. (NBC 7 San Diego)

There are also concerns from some property owners about how vacancy is determined and whether the measure could affect housing decisions beyond intentionally vacant homes. Debate continues regarding how broadly or narrowly the policy may operate in practice. (KPBS Public Media)

What Long-Term Rental Owners Should Know

For owners operating traditional long-term rental housing, the current proposal indicates that occupied long-term leased properties are generally exempt from the vacancy tax. However, property owners should carefully review final ballot language and consult qualified professionals regarding how any approved measure may apply to their individual circumstances. (BallotReady)

Final Thoughts

Measure A has sparked significant discussion across San Diego. For long-term rental owners, the key issue may be less about taxation on occupied rentals and more about how the measure could influence the broader housing market, vacancy rates, and local housing policy moving forward.

As with any ballot initiative, understanding both the intended goals and the potential concerns can help property owners make informed decisions about how the measure may affect housing and investment property in the years ahead.

Works Cited

“Measure A – Non-Primary Homes Tax.” BallotReady, accessed 2 June 2026.

Primary Election 2026: “Measure A Non-Primary Homes Tax (Empty Homes Tax).” KPBS News, accessed 2 June 2026.

“Supporters, Opponents Clash Over Measure A Vacant Home Tax Referendum.” NBC 7 San Diego, accessed 2 June 2026.

“Elecciones Primarias 2026: Medida A Impuesto Sobre Viviendas No Principales.” KPBS News, accessed 2 June 2026.