California Rent Control for 2020
Many investors and landlords are wondering what is going on with the new rent control laws in statewide California for 2020. As a landlord, you should complete your own due diligence on the matter, especially since your city or municipality may have stricter laws. However, at a macro level, these are the basics you need to know: the new laws are designed to affect multi-unit and corporate investors. These include du-, tri-, and quadplexes, as well as buildings with 5-units and up. There are a couple of exceptions: units built within the last 15 years and duplexes in which the owner resides in one of the units.
If you own a single-family home, whether detached or attached – like a condo or townhome – then you are likely exempt from the law. The only exception to this is if you as the owner are a corporation, an LLC with at least one owner who is a corporation, or a REIT; these type of ownership arrangements is not exempt.
If you do not meet one of the exemptions, then you need to know that you may only raise the rent annually up to 5% plus inflation, not exceed 10%. There are also more stringent limits on the reasons that you may evict someone.
Contact 24 Hour Property Management, Inc.
If you any questions about 24 Hour Property Management and how we can help you navigate the new laws, please contact us so that we can answer your questions and advise you. You can reach us seven days a week at 949-409-8585 or you can check us out on the web at 24hourpm.com.