Anti-Landlord Legislation: Proposition 21 Legal Update

Posted on 10.20.2020 | Posted in: Insights

October, 2026 — In November, 2020, California voted no on Proposition 21, standing behind landlords and upholding protections for property owners. Below you can read the blog we wrote at the time outlining Proposition 21 and answering common questions about the referendum:

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With the November ballot fast approaching, we require your urgent action to save the California housing market from anti-landlord legislation!

We have put together information below to help educate you and provide a vessel to take action and make sure your voice is heard, every vote counts!

Proposition 21 Highlights

• Repeals Costa-Hawkins that enabled rents to be reset to the market rate upon vacancy in rent controlled municipalities. Initiative allows landlords to raise rents 15 percent plus the local rate over three years upon turnover

• Properties first occupied 15 years prior will be subject to control on a rolling basis. Removes restrictions for units that could be controlled previously cemented by Costa-Hawkins.

• Exemption for single-family and condo rentals under AB 1482 reduced to owners with less than three homes in the state regardless of title. Rentals held in trust are not exempt from control.

• No avenue for moving rents to the market rate regardless of improvements is provided within the legislation.

 To learn more about the now-defeated proposition, you can read about it here and here.

To help encourage informed voting in California, we answered some of the most frequently asked questions we heard during the voting period. Take a look at our FAQ below to learn more.

Proposition 21 FAQ

Q. Does Proposition 21 effect me and if so what can I do to protect my investments?
A. 
If you own a multifamily in California, this legislation will profoundly impact your ability to increase your rent to market rates.

Q. Why you should care about rent control if you’re under rent control already?
A. 
This type of rent control is more onerous and restrictive than current controls

Q. What’s the biggest issue with Proposition 21?
A. 
Prop 21 eliminates the raising of rents on newly vacant units and expands rent control to any building constructed 2005 or prior.

Q. What is creating more overwhelming support for Prop 21 this year?
A. 
Because it is a presidential election year there is higher voter turnout. Additionally, a younger more progressive population of renters, along with the pandemic has created sympathy for defaulting renters, and increasing social justice movements breeding anti-corporate sentiment are up dramatically.

Q. What can I do to ensure this does not pass?
A. 
Visit noonprop21.vote, join the campaign, call your local legislators, make a donation, and share this information with your fellow property owners to spread the awareness.

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