As of December 16, 2020, cure or the California rules for COVID-19 for landlords and tenants.
Currently, protections are in place to shield tenants from evictions due to COVID-19 related back rent through February 1 2021. This also extends the anti-foreclosure protections in the Homeowner Bill of Rights to small landlords. This mandate was set on August 31 and continues to be in place today. These protections apply to tenants who declare an inability to pay all or part of the rent due to a COVID-related reason.
This is an agreement on the legislation, a B 3088 no tenant can be evicted before February 1, 2021, as a result of rent owed to do to a COVID-19 related hardship accrued between March 4 and August 31, 2020, if the tenant provides a declaration of hardship according to the legislation’s timelines. Anything that happens between September 1, 2020, and January 31, 2021, tenants must pay at least 25% of the rent due to avoid eviction.
However, tenants are still liable to pay rent and unpaid amounts to landlords but those amounts cannot be the basis for an eviction. Landlords may begin to recover any debt only after March 1, 2021, and a Small Claims Court jurisdiction is temporarily expanded to allow landlords to recover these amounts. Any landlords not following court eviction processes could face increased penalties under this act.
This piece of legislation also extends anti-foreclosure protections in the Homeowner Bill of Rights to small landlords as well as providing new accountability and transparency provisions to protect landlord borrowers who request CARES0 compliant forbearance. This also provides the borrower who is harmed by a material violation with the cause of action.
Protection for tenants include:
- Extending the notice period for nonpayment of rent from 3 to 15 days.
- Requiring landlords to provide hardship declaration forms in different languages if the rental agreement was negotiated and written up in a different language.
- Landlords must provide tenants a backstop if they have good reason for failing to return the hardship declaration within 15 days.
- Landlords must provide tenants a notice detailing their rights.
- Landlords must limit public disclosure of eviction cases involving nonpayment of rent between March 4, 2020 and January 31, 2021.
- Tenants are protected from being evicted for just cause if the landlord is shown to be evicting the tenant for COVID-19 related nonpayment of rent.
According to Los Angeles mayor Eric Garcetti:
“No one should lose their home due to this public health crisis — and while cities like Los Angeles have strong tenant protections in place, there is no substitute for a clear, statewide framework that keeps hard-hit Californians under a roof. With the state legislature’s action and Governor Newsom’s signature, tenants and landlords can rest easier tonight, but the fight continues for every dollar in federal assistance to help struggling families survive the choppy waters of COVID-19 and navigate the economic destruction left in its wake.” [Source]
For more explanation, clarification, or if you have questions on property management or luxury leases in Los Angeles County, contact my office at any time.
Contact me below for more information on luxury lease options in LA or to list your home as a luxury lease or if you are a tenant looking to lease and rent a luxury home in this market.
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More Resources for Home Sellers:
- 6 Things to Look for in a Luxury Lease
- How to Sell an LA Home
- How COVID Has Affected the Hollywood Hills Real Estate Market
- Top 5 Qualities you Want in a Luxury Real Estate Agent
- Leasing a Luxury Home in Malibu