Changes in Renter Protection Laws in California

Introduction of New Laws

California Governor Gavin Newsom has recently signed three bills that bring significant changes to renter protection practices in the state. These laws are expected to have a considerable impact on both landlords and tenants.

Details of the New Laws

The first law, Assembly Bill 2801, mandates landlords to photograph a unit before a tenant moves in, after they move out, and before and after any necessary repairs or cleaning. These photographs must be provided to the tenant along with the security deposit disposition form. This law will be enforced from July 1, 2025.

Assembly Bill 2747, the second law, requires landlords to give tenants the option to report their timely rent payments to credit bureaus. This law will come into effect on April 1, 2025.

The third law, Senate Bill 611, prohibits landlords from charging fees on rents paid by check, fees for posted notices, or charging military tenants more than the standard security deposit amount. This law will be effective from July 1, 2025.

Additional Information on the New Laws

Initially, AB 2801 prevented owners from using the security deposit to pay for professional cleaning or for any issues not identified during the initial walkthrough. However, this provision was almost entirely removed during the legislative process. The only remaining provision is that owners cannot use the security deposit for carpet cleaning, unless it is necessary to restore the original condition of the unit.

The credit reporting bill, AB 2747, applies only to properties with 15 or more units. Landlords can recover the costs associated with complying with this bill by charging tenants a fee to cover the costs of the reporting, according to a statement provided by the California Apartment Association.

SB 611 initially required landlords to disclose all optional fees for an apartment in its advertisements. However, this provision was removed in a later amendment, leaving the remaining provisions on fees and security deposits for military tenants.

Other Bills in the Package

The three bills are part of a larger package signed on Sept. 19, which includes legislation addressing homelessness, housing production, fee transparency, and tribal housing. However, several landlord-tenant bills did not pass in the most recent session.

Future Developments

A significant question that remains is the fate of Proposition 33, which would expand the authority of local governments to enact rent control if passed. This ballot measure will be decided by voters on Nov. 5.

Bottom Line

These new laws represent a significant shift in renter protection practices in California. They aim to provide more transparency and fairness in the landlord-tenant relationship. What are your thoughts on these changes? Do you think they will have a positive impact on renters and landlords alike? Share this article with your friends and let us know your thoughts. Don't forget to sign up for the Daily Briefing, which is available every day at 6pm.