11 Oct Prop 10
Prop 10, which would appeal the Costa Hawkins Rental Housing Act, will not only reduce affordable housing, it will also make housing much harder to find. In fact, with no replacement of this important California rental housing law, Prop 10 will only drive up the rental prices. Prop 10 if passed will allow local governments to adopt rent control on any type of rental housing unit. This means, restrictions for homeowners, rental property owners, and for renters looking for a place to call home. Not only will it allow price control on all rental housing, but it will also impose price controls on homeowners who want to rent even one room of their home. For this reason, anyone who wants to fully understand the impact Prop 10 will have on our housing crisis should know the facts.
Prop 10 Facts
Prop 10 is an initiated state statute that would repeal the Costa-Hawkins Rental Housing Act. Thus allowing counties and cities to adopt rent control ordinances that regulate how much landlords can charge tenants for any type rental housing unit. Prop 10, is the wrong way to provide more affordable housing. Prop 10 will discourage new construction and reduce the availability of affordable housing in two ways. One, because it is a disincentive for the construction of new, multifamily housing, no investor is going to build rental property knowing their ability to charge a rent that is fair has been taken away. And, two, Prop 10 will cause rental property owners to take their rental units off the market in favor of turning it into a vacation rental. As a result, there will be less affordable housing for renters further driving up the housing costs.
Prop 10 Makes A Bad Problem Worse
For anyone who is unaware of why Prop 10 is bad, we offer some insight on what Prop 10 does not do:
- Renters: have no protection
- Seniors: have no protection
- Veterans: have no protection
- Disabled: have no protection
- Rent Rollbacks: no specific provisions to reduce rent
- Affordable Housing: there is no funding for affordable housing
- No New Affordable Housing: there are no requirements that housing be built
How Prop 10 Impacts Renters
The No On Prop 10 (2018) website presents compelling evidence that Proposition 10 will only make a bad problem worse.
Independent academic experts from Stanford, U.C. Berkeley and the University of Southern California all agree these policies will discourage new construction and reduce availability of affordable and middle-class housing, and drive up rents for many Californians. Prop 10 will cause property owners to take rental units off the market in favor of vacation listing services like AirBnB, which means more AirBnBs in our communities and less affordable housing for renters – further driving up housing costs (No On Prop 10, para 7 & 9).
Prop 10 is Bad for Homeowners
Proposition 10 eliminates protections for homeowners. In fact, it allows regulators to tell homeowners how much they can charge to rent out a room. And, it could limit the price of renting a single-family home forever. Consequently, changes like these will reduce home values for middle-class families.
When In Doubt
If you have questions about how Prop 10 affects you or need help managing your rentals , please contact us. We manage single-family homes, condos, and apartment buildings throughout the San Diego area. Whether you are interested in changing property managers, or simply looking to hire a property management company for the first time, Rancho Mesa Properties can help. We take care of all types of residential rental properties including homes, condos, multiplexes such as duplex and triplexes, and even small apartment buildings. Let us manage your rental properties, so you can enjoy your life! Call us today at (858) 576-2176. We will save you time, money, and the stress that comes along with managing your own rentals.
No On Prop 10. (2018, October 11). The Facts – No on Prop 10. Retrieve October 11, 2018, from https://noprop10.org/fact-page/