California lawmakers consider short-term rental tax to fund affordable housing

SACRAMENTO, Calif. (KABC) -- California lawmakers are considering a bill that would tax short-term rentals, like Airbnb and Vrbo, to fund affordable housing and provide some help to alleviate the homeless crisis.

Senate Bill 584 looks to impose a 15% tax on short-term rentals.

The bill is heading to the Assembly after the Senate voted Wednesday 27-11 in favor of it.

"The increase in short term rentals used as a business requires we examine the impact they present, whether opportunities or limitations, for our housing market," said a statement from state Sen. Monique Limón, who represents the Central Coast and who sponsored the bill.

If approved, the tax would begin in 2025.