California lawmakers are considering whether to tax short-term rentals (think Airbnb and Vrbo) to help fund affordable housing initiatives. The proposed tax measure comes as major insurers Allstate and State Farm pull back on new business in California and the Golden State struggles with a housing crisis largely fueled by supply and demand challenges and a lack of affordability.
Bill sponsor state Sen. Monique Limón (D-Santa Barbara) reportedly told local news outlet CalMatters, that she’s often asked by local cities and counties about affordable housing. Limón says people wonder, “Where is the money to build the housing?”
