Earlier this month, a court invalidated the federal eviction moratorium allowing landlords across the country to take steps to evict unpaying tenants. California landlords, however, cannot take those steps as the state moratorium remains in effect until June. When it ends, there may not be the free for all eviction frenzy that many predict as California has specific laws in effect that protect renters.
How state-wide rent control protects people from eviction
California’s rent-control law also offers eviction protections. This law affects units that are older than 15 years old and also conforms to the Costa-Hawkins Act of 1995. The law limits landlords’ legal ability to evict a tenant outside of the traditional reasons causal reasons such as not paying rent, committing crimes in the unit, and violating the lease.
The law’s restrictions limits “no-fault” evictions to such reasons as:
- Unit conversion
- Owner moving into the unit
- Renovation
- Demolition
Additionally, in a no-fault eviction, landlords must offer a relocation fee to the tenant.
In the case that a tenant believes that the property owner violated their rights, they can take sue their landlord. These restrictions and the prospect of litigation make it unlikely that a high surge in evictions will begin.
The moratorium may still continue
Politicians feel the pressure from their constituents to continue the eviction moratorium in California as there are still many lingering effects from the ongoing pandemic. The uncertainty for property owners and real estate developers can be most concerning. Without having firm control over what legislative steps will be taken, it’s hard to know how to make your next investment.