"If you own a property, you should be able to move into it with your family, retire from the rental business when the day comes, or convert it to your heart's desire, but not under AB 854. If passed, landlords will have to stay in business forever and be severely restricted in what can be done with the property."
Why would anyone provide rental housing in California if this was passed? Only corporations who can protect themselves via economy of scale. Will this be good for tenants? NOPE.
Rental Property Investor · Los Angeles, CA · Member since 2017 · 2k+ posts · 5k+ votes
5y
That's a pretty big step taking away the rights of an owner from moving into their own property. Even in CA that is likely going to get some pushback from moderate liberals. Who knows if that would even pass court appeal.
The author of the bill, Chiu, frequently introduces extreme ultra-left wing, anti-capitalist, even communist China would be horrified at how extreme they are, bills. If it moves forward, it'll likely be toned down.
Sadly, the only reason this is an issue is that the CA government has screwed with the rental market so much, that they have forced smaller landlords out. Mom and pop landlords are selling to people who intend to live in the property. There is no rental stock out there. Builders are building SFH that are way out of price range for typical renters. Not a lot of apartments being build and those that are, are higher end places renting for $2.5K-$4K a month.