What is a Tiny Home?
October 15, 2018
Tiny House Living for Families
November 15, 2018Across California, millions of voters are getting ready to decide on Proposition 10. This proposition is designed to repeal the Costa-Hawkins Rental Housing Act, legislation that prohibits local governments from enacting rent controls on certain buildings. If voters approve the proposition, it will grant local governments the authority to adopt rent control on any type of rental housing.
What are Costa-Hawkins and Proposition 10?
Costa-Hawkins went into effect in 1995. It allowed rent control on any unit constructed prior to that date but exempted units built after that date. Costa-Hawkins backdated rent control in cities that already had rent control on the books. It also exempted single-family residences and condominiums. The legislation was intended to limit the rent burden on low-income tenants.
The unforeseen consequence became that rents on newly constructed, exempted units skyrocketed while maintenance on older, less profitable units went lacking, and risk-averse tenants were unlikely to leave older units because there was too much uncertainty on what new rental agreements could contain. Apartment buildings were converted to condominiums to avoid the regulations until an amendment against this was passed in 2002. Now, Proposition 10 would repeal Costa-Hawkins entirely, giving cities the latitude to enact their own rent control laws.
Pros and Cons
Proponents of Proposition 10 believe it is the solution to affordable housing in California. They argue that if rent controls are placed on units regardless of age and type, then California's housing crisis would be solved, as most tenants would then easily be able to afford a place to live.
Others suggest that Proposition 10 will compound the problem, arguing that putting caps on rent will only drive down the rate of construction. California has a critical shortfall of 3-4 million homes. Housing estimates are that the 39 million people who live in California need between 50,000-180,000 new units per year, but only 80,000 are being built annually. Every year, the gap continues to widen as the population increases and supply cannot keep up with demand.
In order to propel the construction of more new, well-designed, and smart housing, opponents of Proposition 10 argue that California should provide greater incentives to developers by eliminating red tape and bottlenecks that stunt growth.
Increasing the available supply of housing gives Californians access to reasonably priced housing now and in the future, they contest. By de-incentivizing further development, opponents argue, the current crisis will continue, leaving renters of almost all classes scrambling to find a place to call home.
Regardless of where they stand on Proposition 10, the need for more affordable housing in California is a fact on which both sides can agree.
We at Harmony Communities feel strongly that each resident in our neighborhoods has a sense of home. That they come home from work and feel pride in their environment and in their place in the greater community. That families are comfortable raising children in our neighborhoods, and that couples and singles know that they belong to something bigger than their four walls. In other words, we seek to create harmony within each community.
What are Costa-Hawkins and Proposition 10?
Costa-Hawkins went into effect in 1995. It allowed rent control on any unit constructed prior to that date but exempted units built after that date. Costa-Hawkins backdated rent control in cities that already had rent control on the books. It also exempted single-family residences and condominiums. The legislation was intended to limit the rent burden on low-income tenants.
The unforeseen consequence became that rents on newly constructed, exempted units skyrocketed while maintenance on older, less profitable units went lacking, and risk-averse tenants were unlikely to leave older units because there was too much uncertainty on what new rental agreements could contain. Apartment buildings were converted to condominiums to avoid the regulations until an amendment against this was passed in 2002. Now, Proposition 10 would repeal Costa-Hawkins entirely, giving cities the latitude to enact their own rent control laws.
Pros and Cons
Proponents of Proposition 10 believe it is the solution to affordable housing in California. They argue that if rent controls are placed on units regardless of age and type, then California's housing crisis would be solved, as most tenants would then easily be able to afford a place to live.
Others suggest that Proposition 10 will compound the problem, arguing that putting caps on rent will only drive down the rate of construction. California has a critical shortfall of 3-4 million homes. Housing estimates are that the 39 million people who live in California need between 50,000-180,000 new units per year, but only 80,000 are being built annually. Every year, the gap continues to widen as the population increases and supply cannot keep up with demand.
In order to propel the construction of more new, well-designed, and smart housing, opponents of Proposition 10 argue that California should provide greater incentives to developers by eliminating red tape and bottlenecks that stunt growth.
Increasing the available supply of housing gives Californians access to reasonably priced housing now and in the future, they contest. By de-incentivizing further development, opponents argue, the current crisis will continue, leaving renters of almost all classes scrambling to find a place to call home.
Regardless of where they stand on Proposition 10, the need for more affordable housing in California is a fact on which both sides can agree.
We at Harmony Communities feel strongly that each resident in our neighborhoods has a sense of home. That they come home from work and feel pride in their environment and in their place in the greater community. That families are comfortable raising children in our neighborhoods, and that couples and singles know that they belong to something bigger than their four walls. In other words, we seek to create harmony within each community.
