Act By July 1 to Keep Your Rental Property Exempt from the Tenant Protection Act!


 

On January 1, 2020, Assembly Bill 1482, the Tenant Protection Act of 2019, took effect. The goal of the bill is to help address California’s high cost of living and housing affordability issues.

Assembly Bill 1482 caps annual rent increases throughout the state at 5%, plus the increase in the regional CPI. The bill also requires landlords to show a “just cause” to evict tenants who have been in place for 12 months or more. The Tenant Protection Act sunsets on January 1, 2030, and not every rental property in the state is included. To ensure your rental unit is exempt if it meets certain criteria, you’ll need to act soon.

Following are the types of rental properties that are not included:

  • – Single family homes built on their own lot and condominiums, if you as the landlord are a “small property owner “ – not a corporation, a real estate investment trust (REIT) or a limited liability corporation (LLC).
  • – Your rental property was built within the last 15 years. This includes accessory dwelling units. If your unit becomes 15 years old in the next 10 years, however, it will no longer be exempt from the bill.
  • – You own a duplex, and you occupy one of the units.
  • – Your unit is restricted for rental to low or

If your property is NOT included, what must you do by July 1?

There is a form, Exemption from AB 1482 Addendum, that needs to be disclosed with your lease and signed by both the tenants and owner/agent. The purpose of the form is to inform your tenant that
your property is exempt from the Tenant Protection Act.

If you do not provide notice to your tenant through the co-signed form, your unit will not be exempt from the Tenant Protection Act. For any tenancy that commences or renews on or after July 1, 2020, this notice must be provided in the rental/lease agreement. For tenancies that started prior to July 1, 2020, the rental agreement doesn’t have to include the notice provision until the lease is renewed. It may be a good idea, however, to let your tenants know as soon as possible.

 

Need the disclosure?

If you need the Exemption from AB 1482 Addendum form, please contact our office.

Rentals in SF is San Francisco’s premier home leasing agency. With more than twenty years of first-hand experience as a SF landlord and Leasing Agent, owner Jackie Tom, can help you navigate through San Francisco’s
complicated rental market to find quality tenants Contact Jackie at: 
Jackie@nullrentalsinsf.com.

 

This letter is for informational purposes only. It should not be used to determine the legal rent control status of your property. You should confirm all information and opinions regarding the rent control or just cause status of your property with your own attorney prior to sending any sort of notice to your tenants. We believe all information contained herein to be correct but assume no legal responsibility for the accuracy, errors, or omissions.