City council approves cap on short-term vacation rentals


SAN DIEGO — City council has approved an ordinance that will cap the number of short-term rentals in San Diego.

City Council voted 8-1 to approve the ordinance capping whole-home rentals at 1% of the city’s housing supply.

FOX 5 has closely followed the years-long push to regulate short-term rentals. Supporters of the ordinance say there’s a lack of affordable housing in San Diego and limiting short-term rentals will put thousands of homes back on the market for locals. Critics said the measure would slash the number of rentals by as much as half.

The 1% limit will not apply to Mission Beach, where the short-term rentals are capped at 30% of the town’s housing supply.

City Council President Jennifer Campbell previously told FOX 5 that a lottery system would be established. She said the new rules apply to people who rent out their entire homes.

The San Diego Union-Tribune reports only one license will be allowed per individual and the regulations won’t take effect until July 2022.

Check back for updates on this developing story.


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