Renters & Property Owner’s Take on Rent Control
– Crystal Vagnier – Select Group – Writer/Editor
Come November repealing California’s Costa Hawkins Rental Housing Act could become a reality if enough signatures were acquired for a November ballot initiative. Since it went into effect in 1995, Costa Hawkins has prohibited the application of rent control to constructed buildings post October 1978, prohibited cities from capping rent increases on properties built since February 1995, and allowed property owners to rent their formally rent-controlled units at new market rates after tenants had moved out, allowing landlords to earn more of a profit. Tenants and repeal advocates assert though that current market rates are unattainable and unaffordable for most residents. As of mid-April, activists have acquired over 565,000 signatures for a repeal initiative for the November ballot.
Alongside industry leaders, opponents like The California Apartment Association will be working hard to overcome any rent control measures that may take place. Many Southern California cities are seeing efforts for rent control measures on their local ballots. Further north in Sacramento, The California Apartment Association and its coalition, Citizens for Affordable Housing, will work on educating the public on the Sacramento Renter Protection and Community Stabilization Charter Amendment proposal. If this initiative passes it will limit rent increases to the Consumer Price Index with a 5% per year cap, establish rental housing fees and an elected rent board, and provide relocation assistance.
Be on the lookout this November for what will appear on your local ballot. As a reminder, referrals are available to agents who refer their owners/clients to Select Property Management, Inc.’s (SPMI) for management or placement of residents.
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