Is rent control in California getting closer to becoming a reality? If our elected officials have their say, they answer to this question would be yes, especially thanks to AB 1482.
What is AB 1482? It’s a new bill that if signed by Governor Newsom will impose statewide rent control and make it illegal for landlords to raise rental property rents more than 7 percent per year.
AB 1482 Also Includes Just Cause Eviction Provision
Besides bringing rent control to the entire state, AB 1482 also includes a “just cause” eviction provision which gives landlords the ability to evict tenants for things like non payment of rent.
Is AB 1482 Good Or Bad?
Depending on whom you ask, you will be met with a wide range of opinions in California regarding if AB 1482 is good or bad.
The California Apartment Association and the California Association of Realtors are fighting the bill, calling rent control a “decades-old failed policy.”
“Our biggest concern is we don’t make a bad problem worse by scaring off development in California,” said Debra Carlton, a California Apartment Association spokesperson.
California has vastly underbuilt housing for years, and it’s one of the reasons why the cost of renting is so expensive.
Over the last decade, an average of less than 80,000 homes have been built in California annually, according to the state’s housing department. A 2016 report from McKinsey Global Institute finds that California ranks 49th out of all 50 states in terms of per capita housing construction.
Opposition groups have already hashed out a compromise with lawmakers to water down the bill, lowering the rent cap from 5 percent, as originally proposed, to 7 percent.
Source – LA Curbed
Contact RPM Central Valley
To learn more about rent control in California, or to speak with us about our property management services, contact RPM Central Valley today by calling us at (209) 572-2222 or click here to connect with us online.