So You Wanna Be a Real Estate Mogul in LA (But Mostly Just Want to Not Lose Money), Rent Edition? Buckle Up! (pre-2024 version, for historical purposes only)
Ah, the age-old question that plagues landlords across Los Angeles: Can I raise the rent? Let's face it, with avocado toast prices reaching astronomical heights, even us landlords gotta eat. But before you channel your inner Scrooge McDuck and unleash a rentpocalypse, there's a little legwork to be done.
Rent Control? More Like Rent...Controlled Chaos?
First things first, is your precious rental unit under the watchful eye of the Rent Stabilization Ordinance (RSO)? This magical (or maybe maddening, depending on your perspective) ordinance basically dictates how much you can squeeze...er, I mean, adjust...the rent each year. If your unit was built before 1979 (or falls under some special exceptions), then congratulations, you're waltzing through Rent Control Land.
But here's the twist: Rent control doesn't mean rent freeze control. There are still limitations, but at least it's not the Wild West out there.
Dodging the Rent Hike Hurdles: A Brief Parkour Session Through the Law
Now, if your unit is a post-1979 masterpiece (or, ahem, monstrosity), then you've got a bit more freedom. California's Tenant Protection Act (AB 1482) swoops in to play rent referee. This law says you can bump up the rent by 5% + local inflation (which can fluctuate like a moody teenager) or 10%, whichever is lower.
Important Note: Even with these guidelines, there's a whole lotta " gotta follow the rules" involved. Proper written notice needs to be given to your tenants, and there's a whole eviction thing that isn't exactly sunshine and rainbows (but that's a story for another day).
Moral of the Story? Knowledge is power, my friend. Check if your unit is rent-controlled, understand the legalities, and avoid becoming the villain in your tenants' next nightmare.
Disclaimer: This blog post is for informational purposes only and should not be construed as legal advice. Please consult with a qualified professional for any questions regarding rent increases in Los Angeles.
