Effective January 1, 2007, owners of residential income property in Marin County (and the entire state of California) will have a new law to contend with. On that date, a new state law goes into effect that requires landlords to give tenants on periodic leases (e.g. month-to-month) who have been tenants for at least a year 60 days notice to terminate.

Current law requires only thirty days notice to terminate a month-to-month tenancy. In cases where any tenant or resident has been residing in the property for less than one year, then thirty days notice is sufficient.

Compared to the city of San Francisco or Berkeley, Marin County landlords have it pretty easy. Both of those cities have rent control, one of the worst laws ever created. This new change in state law makes things a little more difficult for property owners, but won’t significantly change the way they have to operate.

Rent control is a different topic, and one I could write about extensively. In a nutshell though, it’s a classic case of the law of unintended consequences - a law that’s intended to do one thing, and then something else unintended happens.

The intent is good: protect tenants from unreasonable rent increases, and keep housing affordable for people. Unintended consequence: with income effectively capped by rent control, landlords have no incentive to and in many cases can’t afford to  properly maintain property. Maintenance gets deferred, property gets run down, and the quality of life for tenants suffer as the housing stock degenerates.

 

 
This post has been included in California Information

2 Comments on California Tenants Get A Break

DEC
14
2006
166,260 Points Outside Blog
I heard about in the la times  as well this is great information for tenants. The downside of this change is why i dont invest in california real estate
4:54pm • #1
DEC
22
2006
I have known about this for some time. I think it is good news for tenants on a monthly lease, but it will certainly have an impact on sales (in terms of time to close) where the buyer wants to acquire the investment property vacant.
Jeff Dowler
5:44pm • #2

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Bob Ravasio

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