California Property Management Laws of 2023

January brings a new wave of laws covering every sector and real estate is no exception. Below are four new property management laws that affect California renters and landlords. 

Rentals in HOAs owner-occupied homes property management Tenants and Landlord Law Property Management Laws of California 2023

Rentals allowed in Owner-Occupied Homes 

HOAs have previously been able to limit leasing of homes under their jurisdiction. In combating a statewide housing shortage, Assembly Bill 1410 is a property management law that allows homeowners to rent or lease out their units if their home resides in an HOA. There are limitations, however. Common Interest Developments are only required to allow at least 25 percent of owners to rent or lease out their units.  HOAs could still place limits or bans on short-term vacation rentals.

Effective January 1st, 2023

Consistent Terminology for Leases Tenants and Landlord Law Property Management Laws of California 2023

AB 2503 – Consistent Terminology for Leases

With new types of rental agreements coming to market such as AirBnbs and those aimed at traveling professionals, research is being conducted on which words are in and which are out. Consistent terminology on leases is industry standard, but now for the sake of uniformity and less ambiguity it will soon become law. The California Law Revision Commission has until December 31st, 2024 to study and determine what the consistent terminology will be used to describe the elements of a rental agreement. 

The attempt is to adapt and update our legal leasing documents to new terms such as “cotenant” and “subtenant”. 

Reusable Tenant Screening Reports. Rental Applications. Tenants and Landlord Law Property Management Laws of California 2023

AB 2559 – Reusable Tenant Screening Reports

Renters seeking a home will sometimes have to apply to various properties. This can cause application fees to quickly add up. The solution to this is using reusable tenant screening reports (RTSRs). Tenants and landlords can now opt in and utilize a RTSR to save time and money on both ends. 

What must be included in an RTSR. 

The reusable tenant screening report must include the applicants: 

  • Name
  • Contact Information
  • Verification of Employment
  • Last known address
  • Eviction history (and the results of any litigation)
  • The date through which the information is up to date. 
  • Some landlords may require a statement that there have not been any changes to the information. 

RTSRs must be prepared within the last 30 days by a consumer reporting agency, provided to the landlord through an agency, and available to the landlord at no cost.   

Effective January 1st, 2023

Court Justice Domestic Violence Order Tenants and Landlord Law Property Management Laws of California 2023

Senate Bill 1017 – Termination of Tenancy for Victims of Domestic Violence 

A new property management law is senate bill 1017, where if a tenant is a victim of documented domestic violence, they are able to terminate the tenancy with limited liability to the landlord. This updated law now imposes a statutory damage of $100 to $5,000 plus actual damages when a tenant’s right to terminate tenancy based on domestic violence is ignored. 

If the victim and perpetrator of abuse live together, then this new law requires a partial eviction order against the perpetrator. Protections also cover the tenant’s immediate family members. 

Effective January 1st, 2023

Final Words

Here at Access compliance is our priority and staying up to date with new real estate legislation is key to providing the best service to our tenants and homeowners. 

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Access Asset Management, Inc is a property management company offering reliable property management solutions to renters and homeowners in Southern California.

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