Skip to content
×
Try PRO Free Today!
BiggerPockets Pro offers you a comprehensive suite of tools and resources
Market and Deal Finder Tools
Deal Analysis Calculators
Property Management Software
Exclusive discounts to Home Depot, RentRedi, and more
$0
7 days free
$828/yr or $69/mo when billed monthly.
$390/yr or $32.5/mo when billed annually.
7 days free. Cancel anytime.
Already a Pro Member? Sign in here

Join Over 3 Million Real Estate Investors

Create a free BiggerPockets account to comment, participate, and connect with over 3 million real estate investors.
Use your real name
By signing up, you indicate that you agree to the BiggerPockets Terms & Conditions.
The community here is like my own little personal real estate army that I can depend upon to help me through ANY problems I come across.
General Landlording & Rental Properties
All Forum Categories
Followed Discussions
Followed Categories
Followed People
Followed Locations
Market News & Data
General Info
Real Estate Strategies
Landlording & Rental Properties
Real Estate Professionals
Financial, Tax, & Legal
Real Estate Classifieds
Reviews & Feedback

Updated over 4 years ago on . Most recent reply

User Stats

2
Posts
0
Votes
Don MacRitchie
0
Votes |
2
Posts

Prop 21 and Costa Hawkins Principal Place of Residence Law

Don MacRitchie
Posted

Under current Costa Hawkins (CH) law if a tenant is not using a rent controlled property as his/her principal place of residence, the landlord can raise the rent to market rate. Doing so usually results in a tenant filing a petition with the local rent board opposing the increase. However, if the rent board finds for the landord, ie, that the tenant is not using the property as their principal place of residence, the landlord receives a judgment entitling him to raise the rent to market rate. This process is set forth and regulated by existing CH law. However, if Proposition 21 passes in November it will replace CH law and I don't believe Prop 21 has any principal place of residence requirement. So does this mean tenants will be free to live elsewhere and use their rent controlled properties as either pied a terrres or as sub-let rental income properties? Right now the landlord has a remedy for those abuses under the CH principal place of residence provisions. However, I don't think any similar remedies exist in Prop 21. Would be interested in the opinion of others.

Thanks,

Most Popular Reply

User Stats

42,810
Posts
63,106
Votes
Jay Hinrichs
#1 All Forums Contributor
  • Lender
  • Lake Oswego OR Summerlin, NV
63,106
Votes |
42,810
Posts
Jay Hinrichs
#1 All Forums Contributor
  • Lender
  • Lake Oswego OR Summerlin, NV
Replied
Originally posted by @Amit M.:

Prop 21 is TERRIBLE!


For San Francisco, I bet that our board of stupidvisors will quickly pass vacancy controls (which will be permissible.) Other cities and counties in CA should keep that in mind, as their local politicians can pass these types of severe restrictions without Costa-Hawkins. 

I wonder what the likelihood of this turd passing? In 2018 prop 10 (similar) was soundly defeated. But we’re in different times now. OTOH CA recently passed  statewide rent control, as well as significant covid eviction protections. Jeez, isn’t that enough for 1 year!

I’m *really* hoping that the general population comes to their senses and prop 21 fails...

dont give Oregon any ideas  :)   normally takes these clowns a few years to catch up..  Oh and lets go after the landlords and let the 300 idots who are destroying the down town run wild with no consequences..  

business profile image
JLH Capital Partners

Loading replies...