South Lake Tahoe Votes on Measure to Tax Vacant Vacation Homes

This week, South Lake Tahoe residents will vote on Measure N, a proposal to tax vacation homes that sit vacant for more than 182 days each year. The measure would impose a $3,000 annual tax on homes left empty for half the year, doubling to $6,000 in subsequent years if the property remains largely unused.

South Lake Tahoe has a high vacancy rate, with nearly 44% of homes empty according to the 2022 American Community Survey. Supporters of the measure argue these vacant homes exacerbate the area’s housing shortage, impacting affordability for local workers and families. Measure N aims to encourage homeowners to rent their properties or contribute to city projects like housing, roads, and transportation.

Local worker Kelly Bessem sees the housing shortage firsthand. Working multiple jobs, including as a snowboard instructor, she is currently living out of her car while saving for a home.

“I’ve done all the things I’m supposed to, but it’s still to the point where I just squeeze by,” said Bessem to ABC10.

Opponents, like part-time resident Nancy Dunn, argue that the tax is unfair. “This is my home, and I want to be able to come back to it when I want,” she says, noting that property rights should include the freedom to use homes as one chooses.

The California and National Associations of Realtors have invested $1 million to oppose the measure in this small town of 12,000 registered voters.