Rent Control

 In Real Estate

1. AB 1482-Rent Control Cheat Sheet

For those of you who own apartments that are subject to California rent control, you need to know:

  1. Rents can be raised only once a year. The current raise varies between 8.6% and 9.1%, depending on the county.
  2. Rent raises are based on CPI which comes out in April and May. Best to wait for new CPI numbers as those will allow for greater increase in rents based upon inflation being out of control.
  3. Tenants in units for one year or longer can only be evicted for “just cause” reasons

2. Proposed Law to Eliminate House Flipping

AB 1771 would impose a 25% surcharge in addition to capital gains tax if the house is sold within three years of purchase.

3.  Appellate Court Rejects Gentrification Opposition

The Second Appellate District Court rejected gentrification‑based claims attempting to stop redevelopment in Crenshaw Corridor in South Los Angeles. Some residents and “organizers” objected to the neighborhood revitalization.

Comment: Sometimes you are damned if you do and damned if you don’t. Why would anyone not want a depressed, crime-ridden area refreshed with new development?

4. California Lawmakers Doing Best to Turn Away Corporation

AB 2932 if passed would require businesses with 500 or more employees to pay time and a half for each hour worked over 32 hours per week. Penalties built in for any corporation who reduces the 40-hour work week to 32 hours to get around the law.

Comment: Is there any question now as to why corporations are escaping California due to the wacky laws proposed by these lawmakers.

5. March 1, 2022, was a Big Day for California Landlords

As of March 1, 2022, landlords no longer had to suffer the administrative nightmare of applying for rental assistance when their tenants did not pay. If tenant did not also apply for rental assistance, then landlord could sue for a UD provided he waited 20 days. This administrative roadblock has ended.

As of March 1, 2022, landlords can sue tenants in Small Claims Court for rent due between March 1, 2020, and September 30, 2021.

6. AB 672-Closing Golf Courses to Build Low-Income Housing

AB 672 if passed, would give cities money to close their municipal golf courses and build low-income housing on the site.

Comment: What a dumb idea. Golf has never been more popular, plus it affords open space to the community.

About the Author

  • Scott Souders
    Scott Souders Attorney & 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.

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