Los Angeles, CA · Member since 2018 · 4 posts · 1 vote
Hi All!
This is my first post on BiggerPockets as an interesting opportunity has fallen into my lap. My neighbor is moving out of her apartment, which is rent controlled in West LA. She is open to the idea of collaborating to Airbnb the property.
However, I've read about the new regulations that the city enacted in December 2018 which limit the total number of days rented to 120 per year, and bars the renting of property where the resident isn't living in, not to mention banning the renting of rent controlled apartments altogether. This all goes into affect in July.
Investor · Greer, SC · Member since 2014 · 13k+ posts · 17k+ votes
7y
@Albert Budnitskiy Renting a property as a STR when the laws are against it is one then but to try and sublease out a rent controlled apartment would likely really get you in even more hot water.
I wouldn't even attempt to do this given the situation.
Investor · Greer, SC · Member since 2014 · 13k+ posts · 17k+ votes
7y
@Albert Budnitskiy Renting a property as a STR when the laws are against it is one then but to try and sublease out a rent controlled apartment would likely really get you in even more hot water.
I wouldn't even attempt to do this given the situation.
Real Estate Agent · Sevierville, TN · Member since 2015 · 1k+ posts · 1k+ votes
7y
@Albert Budnitskiy Are you assuming her lease with permission of the landlord, or are you subletting? Subletting a rent-controlled apartment is also illegal, I believe, and is almost certainly a violation of her lease. It's great to land a rent-controlled apartment, but if you're also trying to keep her current rent amount, proceed with caution - there's probably no way to do it legally, and you're setting yourself up for eviction down the road.
New York City, NY · Member since 2016 · 470 posts · 348 votes
7y
Keep in mind the reason rent-control laws exist: to provide moderately-priced housing in expensive cities for low or moderate wage earners. Leveraging a rent-controlled apt to make yourself rich via AirBNB is certainly not in the spirit of the law, and will almost certainly violate the current law and if not the current law, it will violate the future law after people catch on to what you’re doing!