Rent Control is Finally Coming to Sacramento

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On Tuesday, August 13, the Sacramento City Council will likely vote to enact a rent control ordinance. 

Here are the highlights:

• - Landlords will be prohibited from raising rent more than 6% plus the “consumer price index” percentage for the West Region per year. For this June, that CPI percentage would be 2.7%. So in this hypothetical the total allowable increase would be 8.7%.
• - Landlords will never be able to increase rent more than 10%.
• - Landlords will be prohibited from evicting tenants unless 1.) tenants stop paying rent, 2.) are criminally charged, 3.) are illegally selling drugs, 4.) fail to give landlords access to the unit, or 4.) otherwise violate their lease.
• - Landlords will be able to evict tenants if they are making certain repairs or selling the unit and provide the tenants an extensive 120-day notice.
• - The ordinance will not apply to single family homes unless they have been converted into a duplex.

In my opinion, this ordinance seems totally reasonable. The 6% increases are fine. The only sticky point will be the fact that landlords will no longer be able to evict tenants for whatever reason. 

What are your thoughts?