LA Landlords Convert Apartments To Short Term Rentals To Avoid Rent Control

Some landlords in Los Angeles are illegally converting their apartments to short term rentals due to restrictive rent control laws that make it impossible to make a profit.

[lw]

When tenants break the law by not paying, rent, not only do they not get arrested, but the government says they don't have to leave, and provides free legal services.
When a landlord breaks the law by not complying with some entirely arbitrary law disallowing short term rentals, they have legal consequences.
This is government overreach.

[thesewingeyedoc]

They don’t prosecute crimes in California, so why go after landlords just trying to make money off their own property.

[apllu]

Midterm rentals are what most are doing. Short leases, for 6 months. No more, no less.

[jeretso]

I was in LA last month. It was a beautiful neighborhood just a mile outside the city. When you cross that border into rent control the neighborhood degrades immediately. My friend is building an ADU and will rent to students only.

[orthorda]

Only problem is, if they don’t want to leave how do you evict ? Evictions run over 7k just for non payment of rent so good luck

[TL-wynk]

I want landlords to do whatever they need to do to avoid foolish laws. I hope they eventually get out of rentals, period, and cause fewer apartments to be available. It will force anyone who doesn't have the money, to move further out. No one owes you a place to live, in the area you want. I never rented any place that I couldn't afford. Life is not fair, so suck it up buttercup.

[bertha]

Rent control laws are unconstitutional.

[matthewbrown]

I'm updating an ADU just to the north west of LA. It's veen off the market for 2 years because of COVID and government overreach. Once it's back on the market it'll be rented to college students or new teachers only if i can legally havd those limits.
And no tenants without cosigners.
None. No exceptions.
Since it's an ADU rent control doesn't apply.

[jeffreyhare]

Who saw the story on an Airbnb pretty sure it was LA on the CBS Evening News a few weeks ago? Homeless rented one with five dogs and naturally REFUSED to leave. I think he went over 30 days and am I correct that requires lengthy eviction process. ICR what the news guy asked him, but he did say he'd have to live in his car. IDC about him, it is the dogs I worry about. Dirty bastard.

[lovevioletflowers]

Here's an idea. You have 40 rent controlled units? Create 40 business entities. Each business entities rents one of your units for use as storage, second residence, tc. Each business entity can then can choose to sublet a portion of the unit. The owner is not contracting with anyone on a short term basis, but can still collect rent in this way, without having to be bothered with holdover tenants or squatters.

[mapleaf]

the intrusive, dishonest government is leading to dishonesty; who knew?

[julietewing]

It feels like we have to deal with those who are entitled..
If the rules become broken and they are not televised or travel by word of mouth, this garbage could possibly stop.
It's like, screw you first, buddy.

[jimmyday]

So, the government can convert one lane of the highway into HOV lane, the government can convert one lane of a city street into bicycle-only use, the government can increase property taxes by 45%, but property owners can't convert their apartment into an Air BnB. Makes sense to me. LOL.

[robgrey]

In my County the Government has hired somebody whose sole job is to search social media and websites such as VRBO to catch those of us that do this.

[justjen]

I would definitely consider it! With my luck, I'd get busted!

[stevengoldstein]

Zillow will not provide rent estimates for homes now. Because it proves they need to correct the prices. In fact Zillow is removing the Zestimate values and not providing the rent for comparable properties. Looks like this is a bad sign for investors.

[Pennychaser]

Criminals are getting away with crime. I say F it and do it. Of course I'll try to sell and get out of the area asap

[georgewagner]

This is awful. People willing to provide place for lower middle class and no longer able bc the government cant calculate long term consequences. What a disgrace. My BIL is a very smart real estate developer. Its too bad politics us so nasty bc hed make a good one with his knowledge. But they would never serve bc of the nonsense

[senster]

Yup, if I was stuck in LA, I’d definitely do it depending on fines.

[mwatercress]

This exposes you to an Elizabeth Hirschhorn type of tenant.