Are Multi-Family Rental Properties Better Than Single Family Rentals?

California landlords received good news last week when the California Apartment Association (CAA) revealed that they were successful in defeating AB 2406, stopping it from becoming law.

If passed, this bill would have set the wheels in motion to create a statewide rental registry, and worse yet, it would also have targeted landlords who received government assistance following Coronavirus.

Introduced by assemblywoman Buffy Wicks, AB 2406, would also have required landlords to sign up for the rental registry on or before April 1st, 2022. Information contained in the rental registry was going to include data like the location of the property, current ownership, and occupancy.

Is AB 2406 Gone But Not Forgotten?

Even though AB 2406 was defeated, the reality is that when it comes to rent control in California, or stringent laws regulating the rental market, this may not be the last time that lawmakers make an effort at attempting to create a rental registry in the state.

An excellent example of this is the effort to eliminate Costa Hawkins, the 1994 bill that limits rent control in California.

The latest attempt to remove Costa Hawkins is the Rental Affordability Act, a bill that would expand rent control in the state and essentially nullify Costa Hawkins by default.

Lawmakers said recently that they would be willing to remove the Rental Affordability Act from the November 2020 ballot if Governor Newsom would suspend Costa Hawkins, but since the governor didn’t respond, November 2020 is likely going to be one of the most important elections ever.

What Can You Do?

One of the very best things that you can do as a landlord, owner, or renter is to make your voice heard before the November 2020 election because the success of the California Apartment Association at stopping AB 206 from becoming law is proof that our elected officials still listen to the voice of the people.

To learn more about what’s happening in the rental market in California, or to speak with us about our property management services, contact us today by clicking here.