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Regulatory Environment for Rental Properties in Sacramento

Regulatory Environment for Rental Properties in Sacramento

The rental property market in Sacramento, California is subject to a complex array of regulations that can pose significant challenges for landlords and property managers. Understanding these regulations is crucial to ensure compliance and avoid potential legal issues. This blog post will explore some of the key regulatory challenges, but there are many other regulations to consider, so this should not be viewed as a comprehensive list. Please consult with legal experts to determine what regulations apply to your unique situation.

AB 1482: The Tenant Protection Act of 2019 AB 1482, also known as the Tenant Protection Act of 2019, is a statewide law that came into effect on January 1, 2020, and is set to expire on January 1, 2030. This act imposes a rent cap and just-cause eviction policies for many residential rental properties in California. Key provisions include:

Requirement to Accept Section 8 Tenants: California implemented a new law at the beginning of 2020 that forbids property owners from rejecting applicants on the basis of their using Section 8 housing vouchers as an income source. Rental property owners cannot discriminate against those using housing vouchers. The Housing Choice Voucher Program, formerly known as Section 8, provides assistance to very low-income individuals and families to afford decent, safe, and sanitary housing in the private rental market. This requirement aims to prevent discrimination against tenants who rely on government assistance to pay their rent.

Fair Housing Classifications: At the federal level, the Fair Housing Act prohibits discrimination in housing-related transactions based on race, color, national origin, religion, sex (including gender identity and sexual orientation), familial status, and disability5. California has expanded upon these protections to include additional classes such as sexual orientation, gender identity, and source of income.

Sacramento Tenant Protection Program: The Tenant Protection Program was created to protect tenants by establishing limits on rent increases and limitations on unwarranted evictions. It expands on the Statewide Tenant Protection Act for any properties within Sacramento City Limits. It also offers resources to assist tenants with questions about annual rent increase limits and administering and enforcing City code.

Rental Housing Inspection Program: The Rental Housing Inspection Program (RHIP) aims to ensure that all residential rental properties within the unincorporated area of Sacramento County meet the requirements of the Health and Safety Code3. Key aspects include:

Landlords and property managers in Sacramento must navigate these regulations carefully to ensure they are operating within the law. For more detailed information and guidance, landlords and property managers should consult with legal experts and local housing authorities. Compliance with these regulations is essential for anyone managing properties in the Sacramento, CA market.