Because Los Angeles has a Rent Stabilization Ordinance (RSO), raising rent can be tricky if you are not familiar with RSO’s regulations. It is important for Los Angeles real estate agents to understand the type of dwellings that are included in RSO, and the structures that are exempt from its statutes. In addition it is important to know under which circumstances a tenant can be legally evicted. When realtors understand the law, they can knowledgably advise their clients, the Los Angeles real estate investors.
The ordinance’s aim is to protect tenants from unscrupulous landlords who would unjustly raise rent while failing to maintain their properties. Further it seeks to protect occupants from owners who would use coercion and bullying to make their tenants “voluntarily” vacate the property.
Although its goal is noble, if not strictly adhered to and properly applied, the Los Angeles Rent Stabilization Ordinance can cause a real estate investor, or property manager grave legal repercussions. Since ignorance is never an excuse for not obeying the law it is both advisable and in the best interest of property owners to learn as much as possible about RSO. Not doing could be detrimental to their business.
For more information see the IET Real Estate City of Los Angeles Rent Control Information page
Posted by Ben Nicolas on