Prop 10 Hurts Mark William Murphy, Coldwell Banker, BRE: 01332517, 562 666 2509
Proposition 10 is about repealing the 1995 Costa Hawkins Rental Housing Act, which sets limits on rent control policies that cities can impose on its residents.
. It exempts single-family homes and condos from rent control restrictions
. It prevents cities from establishing rent control – or capping rents
. It protects a landlord’s right to raise the rent to market rate
We need to keep all that in place. If Prop 10 passes, and Costa Hawkins is repealed, all of those restrictions are gone, removed, overturned, and the rental market becomes a bureaucratic mess of regulation and enforcement. It’s not just landlords of rental units that are affected. It’s you too. It hurts everyone.
YOU: You will not be able to rent out your single-family residence, or your condo, without the Rent Control Board imposing its oversight, inspections, regulations and eviction demands into your business. For example, the imposed rental amount of $2,500 will not be enough to help you if you have a $4,000 monthly mortgage to pay.
Say you find a nice tenant whose rent is satisfactory to you, but you decide that you want to move back into your home. Reclaiming your property will not be so easy if Prop 10 gains control. In order to get rid of your tenants, they have to show “just cause” to support an eviction. What if they don’t? Your life plans are now at their discretion. They’re in your house and there’s little you can do about it. Good luck with evicting them. Their unwanted tenancy in your home is assured by Prop 10.
LANDLORDS: If they’re not allowed to set their own rental fees, there’s less incentive for them to upgrade, or even maintain, the quality of their property.
COMMERCIAL INVESTORS: If there is rent control, no one’s going to want to build. Why bother? Why would any company want to invest in a city that suppresses their profit?
RENTERS: This isn’t about protecting helpless renters in an expensive housing market. There are other programs for that. This doesn’t help the enterprising individual either. If buying real estate is a way to attain wealth and success, and it is, how does rent control help them? Sure, it may get them a very nice affordable apartment, but where does
it get them over time? Where’s their opportunity, their return, their potential for equity appreciation and profit? Nowhere. Their “return” is in the form of years of rent receipts. I know. I rented the same apartment for 7 years, until I bought the property, then the three houses next to it. Was it difficult and challenging? Yes it was, but that’s how it goes. It takes work.
Think of all the work you’ve put into your home and all the equity you’ve gained? Imagine if you stayed a renter. All that gain and opportunity would belong to someone else.
Let the free market determine the value, condition and potential of your property, not government oversight. Your property is your business – not theirs. “Keep the Costa”
Vote No on Prop 10.