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That hardly makes sense with the way SF’s rent control works — units that are currently empty “reset” to market rate when rented again. I’m in a rent controlle
by mikeyouse 6y ago
That hardly makes sense with the way SF’s rent control works — units that are currently empty “reset” to market rate when rented again. I’m in a rent controlled apartment paying close to $4k/month. Long-time tenants can see substantial benefit, but it doesn’t make any sense as a reason for places to currently be vacant unless a landlord is gambling that rents are going to substantially appreciate beyond $4k/month.
Unless you mean tenant protections in that owners are hoping to sell the buildings to flip to condos, in which case sure, they’re more valuable without tenants but that’s hardly unique to SF. Many places make it difficult to evict tenants to take rental units off the market.
- tshaddox 6y agoI wasn’t aware that a fresh lease with a new tenant in a rent-controlled apartment in SF had any sort of “market rate” price restrictions. I know that some units have price increase restrictions between tenants when the outgoing tenant was evicted for certain reasons [0], but can you point me to this “market rate” restriction? [0] https://sftu.org/are-you-paying-too-much-rent/ https://sftu.org/are-you-paying-too-much-rent/
- mikeyouse 6y agoNah - maybe I was unclear - I was saying the same. There's no restriction to the amount a landlord can charge to rent a currently vacant apartment.
- refurb 6y agoHaving a tenant, even paying market rent, will severely depress the value of the building. Yes, SF has "owner move in eviction", but that is a lengthy and costly process and buyers would rather not deal with it, so the value of a place can decrease significantly. So if you're a landlord with say a 2 unit building, the ideal scenario would be you rent it out, then once you're getting ready to sell, you leave the units empty once tenants leave. Even if you leave them empty for years, you'll get a better return on your investment than if they were occupied by a tenant paying market rate.