Sacramento October 12th, 2023- In a groundbreaking move, the California State Assembly has passed Assembly Bill 12, aimed at addressing the pressing issue of affordable housing. Impacts on students attending institutions like Cal State East Bay include lowered move-in fees. The bill, which garnered widespread support, promises to provide much-needed relief to renters struggling with soaring rent costs and limit landlords to a rental move-in cap equal to one month’s rent.

The Student Perspective:
Students at Cal State East Bay have been facing an uphill battle when it comes to finding affordable housing near the campus. The rising cost of living in California, combined with the impact of the COVID-19 pandemic, has exacerbated their financial struggles. Many students have been forced to take on part-time jobs or even consider dropping out due to the overwhelming financial burden of rent.

The passing of Assembly Bill 12 has brought a ray of hope for these students. The legislation aims to set capped limits to the amount associated with move-in costs. For students renting near Cal State East Bay, this will mean reducing the economic strain they have been enduring. This financial relief is expected to encourage more students to stay in school and achieve their academic goals.

“I’ve been on the verge of dropping out because I couldn’t afford the rent in this area. Assembly bill 12 means I can focus on my studies and when my lease is up I can leave with reassurance that I can afford the move-in cost when signing a lease with a new affordable place, without the stress of having to come up with a lot of money upfront,” said Ana Martinez, a third-year student at Cal State East Bay.

Landlords’ Response:
Landlords renting to students near the campus have also weighed in on the new legislation. While some have raised concerns about potential negative consequences for property owners dealing with damages, many see it as a positive development for both landlords and students. Allen Davis, a landlord who has been renting to students in the area for several years, stated, “Assembly Bill 12 offers a win-win situation for landlords and students. It can provide a steady stream of renters while helping students financially move into rentals. It may also reduce tenant turnover, as students will be more likely to stay throughout the academic year.”

The bill is intended to supply the market with clean, sustainable, affordable housing. Landlords that are experienced in the market and have limited dwelling units below 4 units will not be held to participate in the rental cap. However, commercial landlords are most certainly experiencing the change beginning in July 2024.

Assembly Bill 12 includes several essential provisions:
Rent Control and Rent Increase Caps – The bill imposes reasonable caps on rent increases, preventing landlords from hiking up prices dramatically and ensuring stability for tenants. Financial easement: The bill limits the financial cost associated with moving into the first month’s rent.

Increased Transparency – The legislation requires landlords to provide clear and transparent lease agreements to students, preventing hidden fees and ensuring fairness in rental contracts.

Moving Forward, Assembly Bill 12 marks a significant step towards addressing housing affordability, especially for students wanting to pursue higher education in California. It brings hope to students attending Cal State East Bay and other public institutions in the state. As the legislation is implemented and its impact becomes clear, it may serve as a model for other states grappling with similar housing challenges further benefiting students across the nation.