Modern Architecture
Modern Architecture

7 People with Good Intentions, But...

We want to call your attention to some recently proposed California legislation that, had they passed, would have adversely affected your rights as property owners. We urge you to vote at your city, county, and state levels for candidates who are more likely to protect our rights as property owners.

Below are 7 recently proposed legislations that had failed (many thanks to the California Apartment Association and its members):

AB 1771 (Assemblyman Chris Ward, D-San Diego)

Had it passed, it would have created a 25% tax on the capital gain produced by the sale of any residential property within 3 years of buying it - whether it's someone's primary residence or a rental. The tax rate would then have declined by 5 percentage points each year until reaching zero after seven years.  

AB 2203 (Assemblywoman Luz Rivas, D-San Fernando)

Had it passed, rental property owners would have been prohibited from accessing credit reports if the tenant applicants received any form of government subsidy. 

AB 2386 (Assemblyman Richard Bloom, D-Santa Monica)

Had it passed, it would have hindered the ability of property owners to move into their own buildings after invoking the Ellis Act, a 1985 law that authorizes property owners to exit the rental housing business.

AB 2710 (Assemblyman Ash Kalra, D-San Jose)

Had it passed, rental owners would have been prohibited from putting their properties up for sale — whether they be apartments or a single-family rental — until they had given advance notice to “qualified entities,” such as certain tenant organizations, community land trusts, and affordable housing nonprofits. The notified groups would then have been given a first right to purchase the property and receive excessive time — nearly one year — to secure financing.

SB 1324 (Sen. Maria Elena Durazo, D-Los Angeles)

Had it passed, rental property owners and property managers would have had to register and follow federal "debt collector" regulations that some credit card companies would be exempted from following.  

AB 2527 (Assemblywoman Sharon Quirk-Silva, D-Fullerton)

Had it passed, property owners would have been prohibited from asking potential tenants anything that would be included in a credit report, such as payment history or evictions.

AB 2050 (Assemblyman Alex Le, D-San Jose)

Had it passed, it would have prevented many private rental housing providers from using the Ellis Act to exit the rental market until all owners of the property have owned their interest for at least 5 years.

This summer, please get involved to protect our property rights.

What Can You Do?

There is a shortage of housing in California, and across the country. We invite you to join us in discouraging and defeating legislation that would penalize property owners without adding any new housing. Here are the "Top 3" things you can do:

1

even if you don't own any apartment or rentals. They are the most organized group in monitoring and responding to these proposed legislations. They have also proposed new legislation that would encourage more housing construction. If you own any rental property in California, become a CAA member to get their comprehensive rental forms, practical guides, and email updates.

Buying a House? Building a House or ADU?

If you or someone you know is buying a house, building a house, or building an ADU, we Abundance can help you find the best mortgage to meet your financial goals. We help you build wealth through real estate.

 

Thank you again for your continued trust in Abundance. We are honored to be part of your investment portfolio.

 

Best,

Elsie, Eric, Terry, Maria, Sharah, Johanna, Edy

Your Team Abundance