Empty Homes Face Vacancy Tax Vote in 2028
Owners of vacant residential and commercial property in Santa Barbara could face a new tax if voters approve it in November 2028.
Updated on Nov. 3, 2026 in Commercial
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Would you support a vacancy tax on empty second homes in your community?
The Santa Barbara City Council voted to put a residential and commercial vacancy tax on the November 2028 ballot, asking voters to decide whether empty properties should be taxed. The measure would apply to both residential and commercial property.
Why it matters
The tax is intended to ease the shortage of places for local people to live by encouraging owners of second or third homes to occupy or rent them out. Councilwoman Kristen Sneddon has framed it as a way to bring more housing onto the local market.
The measure is scheduled for the November 2028 election and would cover both residential and commercial properties in the city. Nearly a third of Riviera homes are vacant second or third homes, a figure cited to illustrate the scale of empty property.
The players
Santa Barbara City Council
The city's governing body, which voted to place the vacancy tax on the ballot as part of its local housing policy.
Kristen Sneddon
A Democratic councilwoman in Santa Barbara who backs the tax and is running for Mayor of Santa Barbara County.
Prince Harry and Meghan Markle
The Duke and Duchess of Sussex, whose £11 million Montecito mansion sits empty since they moved back to the UK.
Oprah Winfrey
The media figure who owns a £40 million Montecito estate called The Promised Land, another high-value property in the area.
The details
A vacancy tax targets property that sits unoccupied for much of the year, so owners who keep a home as a second or third residence would face a levy for leaving it empty. The council's approach follows similar discussions in San Francisco and San Diego, and several nearby communities, including Mission Canyon, Toro Canyon, Summerland and Carpinteria, have reportedly followed suit with their own vacancy taxes. Supporters argue the revenue-and-occupancy incentive could bring units back into use for local renters and buyers.
Timeline
Earlier this year: Prince Harry and Meghan Markle moved back to the UK, leaving their Montecito mansion empty.
November 2028: Santa Barbara voters are scheduled to decide the vacancy tax measure.
Christmas: The Sussexes may return to California to spend time with Meghan's mother.
The Home Front
Santa Barbara's proposal follows vacancy-tax discussions already held in San Francisco and San Diego, extending the idea to both homes and commercial space. The measure reflects a broader local push to convert idle second homes into year-round housing for residents.
If you own a second or third home in Santa Barbara, check whether it sits unoccupied for long stretches, since a vacancy tax would reach those properties if voters approve it. Keep records of occupancy and rental activity so you can document use if the measure becomes law.
The takeaway
Owners of vacant homes in Santa Barbara should watch the November 2028 ballot, since the outcome could change the cost of leaving a property empty. Consider consulting a licensed local real estate professional or attorney before making decisions about occupancy or rental plans.
What happens next
Voters will decide the vacancy tax measure in the November 2028 election.
Further reading
For more on how commercial property rules are shaping the local market, browse Commercial coverage in Santa Barbara.
Source note: This article includes information reported by Express.
Live Poll
Would you support a vacancy tax on empty second homes in your community?
