All Forum Posts by: Susan O.

I hope you guys win. 

Here's some economic and Urban development studies/ articles you can share with your politicians. 

Hey could you share this with Lena as well.

Almost every Urban Planning and economist organization agrees that rent controls hurt local governments/cities:
Most economists agree that rent controls mess up big cities and MAKE LESS AFFORDABLE HOUSING in the long run

Almost 95% of economist say it's bad for local communities in the long run. It's a short term Band-Aid that usually helps middle-upper class long term tenants, not the truly poor/needy. Eventually the cheapest units get taken off market

Here are some articles on Urban development, economists that are bi-partisan. This issue is like global warming. All the experts are in agreement!:

Recent Beacon study on economics. From Urban Institute, to Business Insider Mag, to The Economist all have same result. IN FACT 95% of economists:

This is one by "The Economist" which is a popular economy magazine:

A housing/planning and urban development website:

Foundation for Economic Education:

Business Insider:

CEI:

Here's another big name urban planning resource. The Urban Institute:

http://www.urban.org/urban-wire/rent-control-good-...

This is really an issue with the city. The city should have planned better and created more affordable housing. They have really harsh code enforcement and building inspectors which make it difficult to build. They disincentize investors and landlords to fix up their buildings by putting in rent controls.. If there was no rent control rents would be about 10-15% cheaper because there wouldn't be such a need to raise and price gouge new vacancies.

It also makes cities lose on property taxes which are increased mainly when properties SELL.  Rent control hinders sales of properties.

Most economists agree that rent controls mess up big cities and MAKE LESS AFFORDABLE HOUSING in the long run

Almost 95% of economist say it's bad for local communities in the long run.  It's a short term bandaid that usually helps middle-upper class long term tenants, not the truly poor/needy.  Eventually the cheapest units get taken off market to be used as storage, new development ie tear downs etc.

Here are some articles:

Recent Beacon study on economics

https://caanet.org/app/uploads/2016/02/Jan2016_Ren...

This is one by "The Economist" which is a popular economy magazine:

http://www.economist.com/blogs/economist-explains/...

A housing/planning and urban development website:

http://marketurbanism.com/2016/04/02/rent-control-...

Foundation for Economic Education:

https://fee.org/articles/the-case-against-rent-con...

Business Insider:

http://www.businessinsider.com/does-rent-control-w...

CEI:

https://cei.org/blog/rent-control-why-it-so-bad

Daily News article:

RECKLESS BILL TO REPEAL -PROPERTY RIGHTS UNDER ATTACK

Please share with other investors.  We work so hard for our private property... And the majority of landlord/investors just want to improve their rentals and get some normal return that the market will allow.

So true Brent.  They make it so difficult to build then disincentive investors by implementing Rent caps

Here's an economic article.  They even cite in India: comparing rent control to Bombing housing.  It just doesn't work

http://www.econlib.org/library/Enc/RentControl.htm...

It really messes with the free market and investors/developers/landlords/property owners/  It stagnates the entire industry- realtors, lenders, vendors, contractors. Within a decade it could limit a city's housing supply and cause worse problems then before.

Please everyone pass on the info to politicians, and reps.  We have to stop this before it starts.  Right now the tenants entitlement groups have all the momentum

I agree. It's downright unjust and unfair.  It's unconstitutional to private property owners.  Think about an old landlord who's using the income from property who has to replumb his units for $40k.  If he has all rent way below market he won't be able to do the replumbing.  The units will go into disrepair or he may have to foreclose...

http://findyourrep.legislature.ca.gov/

Here's for contacting your reps

OK if you think rent control or subsidized housing is good perhaps we could send more people your way.  They can perhaps live in your units or you can help pay for their rent.  Why should I not be able to charge what I want (fair market) for renting a house that I own.  If I charge too high people will rent elsewhere.

It's not the fault of landlords that there's a housing crisis. 

These are the creators of the new rent control bill

You can also tweet Assemblyman Richard Bloom.

Tweet: @RichardBloom

Or look the creators to write and contact here:

https://cal-rha.org/legislative-alert-costa-hawkin...

Tell them you oppose AB 1506 because it will devastate housing and investment of real estate in California!

https://caanet.org/votervoice/ (contact politicians)

Protesters trying to get their rents lowered.  Costs are going up for landlords and investors, but they want to dramatically cap rents on the backs of hard working investors like BPers.

Several state lawmakers want to give city and statewide expansion of strict rent controls-- almost socialist.  Taking away rights of homeowners, property owners, housing providers, and landlords

 A bill that would do so marks the most significant move yet in a growing movement to cap rents as California’s economy booms and housing production lags.

The momentum is very much on the side of rent control.  There are huge groups like "" which are nationally sponsored are spilling money and resources into local city elections to push rent control and increase bureaucracies in cities.

We need to get politically active as investors and landlords.  These entitlement groups are trying to take your property rights away! We all know on BiggerPockets how HARD we work for what we have earned.

Use this link to easily contact your reps locally and nationally:

https://caanet.org/votervoice/

You can also manually look up your local California reps:

http://findyourrep.legislature.ca.gov/

Tell them NO TO RENT CONTROL!

This is background on the bill:

http://www.dailynews.com/government-and-politics/2...

Rent control is widely discredited by many if not most economists, and many housing advocates. Rent Control is destructive and counterproductive in many ways, is very complicated to administer, and would have many unintended consequences.

Here are just a few of the concerns we have with allowing communities to impose Rent Control:

* Rent Control is a complete disincentive to investment in rental property. It obviously caps the return on investment for rental property, and when you cap the costs than can be recovered, you're going to get less of it - in this case, rental property.

* It's mind-boggling that after what we've been through in the housing market since 2008, that California would consider a bill that sends the message, "We don't want to develop, rehabilitate, or improve our housing stock."

* In addition to drying up investment in rental property, one of the worst effects of Rent Control is that it discourages property owners from maintaining and upgrading their property. Regulatory costs, property taxes, and costs for services will continue to rise, but the owner's rental revenue will remain stable, leaving a shrinking pool of funds available for maintenance and improvement.

* Property taxes and other fees and regulations placed on rental property owners are already very high, and are rising faster than rent increases in many cases. Out of control property taxes and regulations are a big factor in the upward pressure on rents and yet these costs aren't capped, only the income from the property is capped.

* Municipalities stand to lose untold millions in property tax revenue, as rental property values will certainly drop if their potential earnings are capped.

* We can only imagine the morass of bureaucracy it will take to administer Rent Control, housing will be forever taken off the market and it may encourage an illegal black market in Rent Controlled units.

https://caanet.org/votervoice/

You can contact your local reps here to fight this injustice!!

Please pass this on to other investors and landlords!