Governor Gavin Newsom is expected to sign Assembly Bill 1482 into law, which will enforce a 5 percent rent cap and expand “just cause” eviction policies for the state. How are landlords reacting?
The bill was introduced as a way to help alleviate growing concerns of housing affordability in California. But how property owners decide to respond to the bill may determine whether or not it will be effective at providing greater protection for tenants in unaffordable housing markets. Landlords may raise their rent prices to the maximum allowed if they don’t have an option to raise prices in the future. Some are suggesting landlords may get rid of low-paying tenants and hiking up rent prices to get around state rent cap laws. Others see the bill as a non-issue that will not deter landlords from operating business as usual. We’ll talk to what landlords across the Southland are doing in anticipation of the new law.