Armed Polite Society
Main Forums => Politics => Topic started by: Ben on September 12, 2019, 03:46:35 PM
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Man did I dodge a bullet selling the last of my rentals there a couple of years ago. I always kept my rents pretty low in favor of keeping good tenants that didn't cause me problems, so the rent caps wouldn't have affected me much. But even back then they started doing crap like my tenants being able to give me 30 days notice, but I had to give them 60 days. Apparently a lot of those kinds of rules are being worked into the new law.
https://www.nytimes.com/2019/09/11/business/economy/california-rent-control.html?smtyp=cur&smid=tw-nytimes
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That ought to turn out well for california. :rofl:
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That will definitely stimulate the building of new housing to fill the housing shortage. Nothing stimulates investment more than guaranteeing it will never pay off.
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Well, that sure ought to encourage building of new housing in the state! ;/
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And interestingly, CA was not first. Oregon went statewide before CA did.
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Small potatoes. AB5 will tank the economy of the entire country if it becomes law and other idiots copy it.
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Small potatoes. AB5 will tank the economy of the entire country if it becomes law and other idiots copy it.
I didn't know what AB5 was. I would be really surprised if that goes national before it drags California down even further. What a mess. I was wondering if costs would go up enough to force many companies to just refuse to do business in that state.
https://www.sfchronicle.com/business/article/Senate-passes-AB5-gig-work-bill-turning-14430204.php
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Any bets on how soon California turns into Venezuela?
Of course California has Uncle Sugar to bail them out when their entire economy goes tits up.
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This will cause even more Californian migration to other states. Like a cell filled to bursting with virus.
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The other thing they don't get is that they basically enable the "evil landlords" that they are trying to control. Because when rent caps and onerous, overbearing rules are enacted, the good landlords and the individual landlords leave the business. You end up with the big corporate landlords buying everyone out, because they have the money, infrastructure, and lawyers to continue making a profit in that kind of environment.
Individual landlords, like I was, are in it for more than just rent profit. Sure there are crappy individual owner slumlords, but for the most part, I think individuals do it for the same reasons I did. They're working folks who want to invest their money, or retired folks looking for a little extra income and equity. You're not in it to eek out the highest dollar rent you can get. You're not giving free room and board, but you're asking a reasonable rent in return for good tenants. You're also making repairs and doing upkeep, not just for your tenant, but for yourself and your investment, which you'll likely be selling at some point, or leaving to someone in your will. You want to keep it in good shape.
Corporate landlords don't have to care about more than basic (if that) upkeep, because they're squeezing out every penny of profit. Maximum rent increases, minimum repairs. They don't care if they have tenants rotating out every other month. They have people for that.
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I am sure those larger landlords are the ones suggesting the new rules and giving campaign contributions.