Tenant Protection Ordinance Concerns

Tenant Protection Ordinance Concerns from those in the industry. The San Diego City Council approved a draft ordinance in a late-night meeting that would aim to give renters in San Diego even more protection from no-fault evictions.

Even with obvious majority opposition the council approved the draft ordinance with several amendments, in an 8-1 vote. The legislation now moves to a second vote on May 16 before it receives final approval.

The state of California enacted stricter renter protections back in January of 2020. AB 1482 already provides great protection to renters. That came at a cost though. Most leases weren’t being raised much more than 3-5% prior to 2020. Now, you are seeing the max increase being assessed. The use it or lose it ultimatum and the extreme increases in property costs basically force the owner to increase rents to the max.

Insurance costs, if you can get a policy, are up 40%. Mortgage Rates are up. Maintenance and Repairs are really up. What are owners supposed to do? Most aren’t even making a profit or breaking event at this point.

State law requires at least 12 months tenancy before protections kick in. This seems reasonable to encourage residents to have some longevity before entitlements. But city of San Diego wants it on Day 1?

San Diego’s plan would also require that landlords who are evicting tenants at no-fault of their own – those who are current on rent and have abided by their lease – to pay those tenants two months of contract rent for relocation expenses, and three months for seniors and those with disabilities. State Law is only 1 month. Most landlords aren’t evicting a tenant without genuine reason.

Landlords and Housing Providers are not in the business of evicting. It’s bad business.

The claim is that landlords are kicking out residents because they are paying low rent and can get more. This is a very small minority not the majority. Unfortunately, the one size fits all approach will end up hurting the ones doing it the right way.

Tenant Protections Ordinance Concerns:

1. Those already breaking the rules will continue too.
2. Those who were doing it right can’t afford a property manager who is going to make sure they handle the situation legally.
3. Those who were doing it right can’t afford to repair their properties.
4. Mom and Pop landlords will end up selling or leaving their property vacant. Creating more of housing crisis.
5. Continuing to blame landlords for the housing crisis and homelessness. A problem they did not create. Only furthers the divide in our city, state and country. Frankly creates a safety concern.