The California rental market has been through a lot recently from the passing AB 1482, statewide rent control, to the impact of Coronavirus, and now we face AB 828.
What is AB 828? If passed, it would allow California courts to cut rents by 25% statewide and it would adversely impact the rental market for years to come.
Even though AB 828 sounds good in theory, the reality is that this bill would not require tenants to show that they needed to have their rent reduced due to a Coronavirus hardship. The courts would also be able to change rental agreements and it would put the burden of proof on owners to prove that they would be affected economically if their rents were cut by 25%.
Opposition To AB 828 Remains Strong
Thankfully, opposition to AB 828 remains strong and thanks to the hard work of groups like the CAA, more than 50,000 messages flooded the email inboxes of our state lawmakers recently urging them to reject this bill.
What’s even better is that the Southern California News Group recently published an editorial opposing AB 282:
“Assembly Bill 828 purports to protect tenants during an emergency, but poses a grave threat to property owners and established contracts – and could obliterate California’s already tight rental market even after the crisis passes,”
What Comes Next?
As of May 8th, 2020, there hasn’t been a hearing yet to discuss AB 828 so were hopeful that interest in this bill will be lost before our politicians take steps to debate it.
There’s no denying that this bill foes too far at trying to impose draconian measures which would supposedly help the rental market when a lot has been done already to help tenants including rental assistance programs, unemployment, and stimulus payments.
Cutting rents by 25% thanks to AB 828, or imposing more rent control by eliminating Costa Hawkins are not the answers. The only solutions to the problem is for landlords and tenants to continue working together in the short term while more rental housing construction is encouraged statewide in the long term.
Contact 36 North Property Management
Do you need property management for your Monterey or Salinas area investment properties? If so, contact 36 North Property Management by calling us at (831) 484-4604 or click here to connect with us online.