Proposed New Law that You Should Be Concerned About
1. Eviction Moratorium to be Extended
Landlords stand to get screwed again. Prospective new law AB 15 if passed, will extend eviction moratorium to January 2, 2022.
Comment: Good luck ever collecting unpaid rent from March 2020 to January 1, 2022, from those renters who took advantage of the system. Most will not have the money to repay. Redistribution of wealth is happening. Landlords ordered to give away their investment and services
2. Apartment Owner’s Next Victims of the Quest to Redistribute Wealth!
Part two of the bad news for people who work hard and invest in real estate. AB 1179 is a proposed “excise tax” on privilege of owning ten apartment units or more in as yet unspecified amount of a percentage of those rents. Money collected to fund rental assistance for tenants, legal services to sue landlords, affordable housing and housing counseling.
Comment: Landlords pay to fund lawsuits against them? More free money to tenants to enjoy the fruits of owner’s hard work. Just what is housing counseling? Advice on how not to pay rent ever again??
3. Bad News if You Own a Second Home
AB 946, if passed, will end the mortgage deduction for second homes. The money saved will be used to fund the Home Purchase Assistance Fund.
Comment: Should be lots of fun trying to sell a vacation home/condo in the desert if this passes. Particularly bad news if the housing market bubble gets popped and historic low interest rates increase, which they are now. Good news if you are looking for free money to buy a house that came from hard working taxpayers.
4. Grab Your Barf Bag Before You Read This Proposed New Law!!!
SB 10 will allow local governments to zone single family lots for apartment buildings up to ten units if location is in a transit area, job rich area, or urban infill area.
Comment: Just what you want to live next to. A 10-unit apartment building with all the noise and congestion, including parking issues. What will these law makers think of next?
5. New Taxes on Business Owners
AB 71 is a proposed new law that will raise taxes on business owners to fund development of homeless housing.
Comment: Just what the state needs. Higher taxes on the backs of business owners that will be passed on for the consumers to pay.
6. Law to Abolish Single Family Housing
Proposed new law, SB 9 would abolish single family zoning and require local governments to allow subdivision of single family lots for multiple residences.
In addition, proposed AB 215 would give power to levy huge fines on cities that do not build enough housing.
Comment: If these pass, can you image what property flippers are going to do? Any houses on big lots will be fair game for tear down. Multiple houses on one single family lot?
About the Author
Scott Souders is a real estate attorney who has practiced real estate law in excess of 43 years in Southern California. The Real Estate Law Update cites cases or statutes which are summarized and should not be relied upon without fully reading the cases or statute in the advance sheets and shepardizing the same and consulting with your own attorney.