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|September 19, 2019|
Historic renter protection bill passes Legislature
SACRAMENTO – (INT) – A renter protection bill passed the California Legislature on an Assembly concurrence vote Wednesday and will move on to Governor Gavin Newsom’s desk for his signature.
Assembly Bill 1482 would cap annual rent increases in California and give renters added eviction protections.
It is estimated that roughly 8 million California renters would receive new protections under the bill, representing the largest expansion of tenant protections in recent memory.
If enacted, the bill would cap annual rent increases in California to the Consumer Price Index (CPI) plus five percent. CPI varies by metro area, but it averages roughly to 2.5 percent in California. Thus, under the cap of CPI plus five percent proposed in AB 1482, annual rent increases would be capped to approximately 7.5 percent throughout the state. Rent increases could not exceed 10 percent under the bill.
The bill would sunset after ten years and also exempt new rental units that are up to fifteen years old so that new housing production is not stifled.
AB 1482 would also exempt all single family homes that are not owned by corporations or real estate investment trusts.
Story Date: September 14, 2019