Rental Property Investor · San Diego, CA · Member since 2020 · 91 posts · 13 votes
Hi BP, I am first time managing my own property. The property I am going to take over has 1 unit on Month To Month agreement and way under market rent in California. Assuming the condition of the unit allows, am I allowed to raise more than 8% (5% +2 ~ 3% index) and straight to market rent?
Ah, yes. Sunny California, where palm trees grow, surfers ride the waves, and the Gubmint tells landlords how much they can charge. Hmmm, what other states or countries control prices...
I guess it's obvious that I'm not a fan of rent or price controls. Let the market decide the value.
Ah, yes. Sunny California, where palm trees grow, surfers ride the waves, and the Gubmint tells landlords how much they can charge. Hmmm, what other states or countries control prices...
I guess it's obvious that I'm not a fan of rent or price controls. Let the market decide the value.
@Andy Chen believe it or not the max varies by county, generally between 7.5 and 9.5% So you will have to check it out.
Thanks @Bjorn Ahlbld,
What about more than the cap? (e.g. 10% or more to meet the market rent)? The lease agreement was between previous owner and the tenant. Am I still limited by the rent control?
@Andy Chen If the property does not fall under one of the exemptions, you would not be able to raise the rent above the cap just because you’re a new owner. The law would still apply.
One more question. Is water and sewer included in the rent increase? I am thinking to raise a little bit rent and start charging water and sewer. The previous owner did not charge water and sewer at all.