Rental Housing Magazine: Fall/Winter 2023

Housing rental

A “Right to Housing” EXPLORED

Critical Lessons Learned FROM THE PANDEMIC Giving Back TO THE COMMUNITY

EAST BAY RENTAL HOUSING ASSOCIATION | FALL/WINTER 2023 | $9.95

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EAST BAY RENTAL HOUSING ASSOCIATION

Volume XXXIIII Number 27 | Fall/Winter 2023

EBRHA OFFICE 3664 Grand Ave., Suite B, Oakland, CA 94610

TEL 510.893.9873 | FAX 510.893.2906 ebrha.com

CHIEF EXECUTIVE OFFICER

Derek Barnes aemail@ebrha.com | 510.893.9873 ext. 407

COMMUNICATIONS AND MEDIA RELATIONS

Chris Tipton communications@ebrha.com | 510.893.9873

FIRST VICE PRESIDENT Luke Blacklidge

TREASURER Chris Moore

SECRETARY Fred Morse

EBRHA BOARD OF DIRECTORS

Wayne C. Rowland, Luke Blacklidge, Maya Clark, Chris Cohn, Lazandra Dial, Carmen Madden, Chris Moore, Courtney Morse, Fred Morse, Deeana Owens Joshua Polston, Jack Schwartz, Aaron Young

PUBLISHED BY

East Bay Rental Housing Association

PUBLISHER Derek Barnes

EDITOR Michelle Gamble

ART DIRECTOR Bree Montanarello

Rental Housing (ISSN 1930-2002-Periodicals Postage

Paid at Oakland, California. POSTMASTER: Send address changes to RENTAL HOUSING, 3664 Grand Ave., Suite B, Oakland, CA 94610.

Rental Housing is published bimonthly for $9.95 per issue by the East Bay Rental Housing Association (EBRHA), 3664 Grand Ave., Suite B, Oakland, CA 94610.

Rental Housing is not responsible for the return or loss of submissions or artwork. The magazine does not consider unsolicited articles. The opinions expressed in any signed article in Rental Housing are those of the author and do not necessarily reflect the viewpoint of EBRHA or Rental Housing This publication is designed to provide accurate and authoritative information in regard to the subject matter covered. It is sold with the understanding that the publisher is not engaged in rendering legal, accounting or other professional services. If legal service or other expert assistance is required, the services of a competent person should be sought. Acceptance of an advertisement by this magazine does not necessarily constitute any endorsement or recommendation by EBRHA, express or implied, of the advertiser or any goods or services offered. Published bimonthly, Rental Housing is distributed to the entire membership of EBRHA. The contents of this magazine may not be reproduced without permission. Publisher disclaims any liability for published articles. Printed by Bay Central Printing Company. ©2023 by EBRHA. All rights reserved.

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Welcome

A LETTER FROM EBRHA CEO DEREK BARNES

nce again, many proposed pieces of housing legislation are moving through Sacramento or finding their way into our local city council chambers. SB 567 would undo many of the existing renter owner protections and allowances that are currently in place. AB 12 sets new limits on security deposits. AB 309 injects social housing declarations that will undoubtedly push more restrictions and forced subsidy demands on rental property owners. TOPA (Tenant Opportunity to Purchase Act) and its variants (COPA and OPA) are making their rounds again throughout Bay Area cities, including Oakland.

With no impact studies or analysis, many of these proposals will likely produce unintended consequences, backfire, and create more havoc and harm in housing communities, especially those already more vulnerable and in crisis. Strong advocacy and member engagement are critical as we close out 2023 and enter 2024, a pivotal year for housing communities nationwide and locally.

EBRHA’s 1,500 members can do so much when staving off bad policy and misguided legislation. First, with a sizeable unified member base in collaboration with other housing groups, we can build a strong ground game and amplify our voices in a way that gets results – just as we saw earlier this year with our rallies at the county and city levels. As we witnessed, this type of grassroots organization was instrumental in finally ending the local eviction moratoriums that forced many rental property owners out of business (typically in immigrant and minority communities), pushed other owners to the brink, and created hundreds of millions of dollars of unpaid rent and consumer debt for thousands of renters across Alameda and Contra Costa counties.

To combat the continued housing threats we collectively face, EBRHA is launching two significant campaigns to raise awareness and money this fall – the Legal Fund and Political Action Committee (PAC). Continuing to raise money for both campaigns will help us fight back when cities introduce more harmful laws that hurt rental

Obusinesses, kill dangerous legislation and policy in the development stage, and support candidates running for office who genuinely support a pro-housing agenda.

Lawsuits can get city leaders’ attention and force municipalities to correct their actions, but they can easily cost $200k+ to engage. Having a healthy Legal Fund keeps us ready to take legal action when harm is done to our industry. When local council or supervisor elections take place, like the five (5) Oakland councilmember seats up in 2024, we need to have the resources on hand to identify strong candidates that will support our positions but also can win elections, and that’s what the EBRHA PAC allows us to do.

With many fundraising campaigns on the horizon from a variety of organizations, September is the official kick off to the philanthropic giving season. Our fall issue highlights community leaders doing extraordinary work and opportunities for EBRHA members to really make a difference. Please take a moment to find out more about the two campaigns on our website and contribute to each of them in a way that is most meaningful to you. All contributions to the Legal Fund and EBRHA PAC help us keep up the fight at the state and local levels.

Along with many macro legislative changes and the end of local Eviction Moratoriums, there have also been sweeping changes at EBRHA this year. With the launch of our new website and member portal powered by Novi, the complete rebranding of the association, and the recent replacement of our old CIC applicant screening product with a new EBRHA applicant screening service powered by Tenant Alert, we continue our never-ending mission to find new easy-to-use services and develop forward-thinking programs to support our members better.

Many of our members received our help completing their Emergency Rental Assistance Program (ERAP) applications in 2021-2022 and completing forms for small claims court to pursue unpaid rent balances in 2023. EBRHA is pleased to announce its new program in collaboration with the City of Oakland to assist small property owners when pursuing renter issues and engaging claims with the Rent Adjustment Program. The Small Property Owner Representation Services (SPORS) program launched in July is a pilot program designed to help small owners/operators with eight (8) or fewer rental homes, and their personal income does not exceed Alameda County’s Area Median Income (AMI).

Derek Barnes

Moving on to more exciting news, 2023 marks the 16th anniversary of our Trade Expo. I’m very excited about our signature event this year, Saturday, October 7, at the magnificent Claremont Hotel. With exhibitor spaces sold out, we’ll have an impressive array of over 45 vendors, suppliers, industry partners, and presenters this year. But you might be asking yourself, what is the EBRHA 360 Trade Expo?

This may be a common question for new EBRHA members and some who have been members for years. What’s the difference between a tradeshow, conference or convention anyway, and why should I participate? Typically, an industry conference is where professionals come to learn new information and gain skills that are specific to running their businesses. A convention is a gathering of individuals who share an interest and seek networking opportunities with others. A trade show features companies and organizations that showcase their products and services to a more captive audience. Think of the EBRHA 360 Trade Expo as ALL those things combined under one roof.

Simply put, the Trade Expo is the regional housing event if you’re a rental property owner, homeowner or professional in the industry. If you are a small rental owner/operator who thinks, “I’m too busy” or “That’s not for me,” please reconsider. The EBRHA 360 Trade Expo is produced just for you as a small rental owner/operator. The speakers, programs, exhibitors, and presenters are so powerfully relevant. I wish I could make attendance mandatory for all small rental housing providers, especially those just starting their rental housing journey. Participation annually is critical for the success of your business and delivering a consistently good rental experience.

Change isn’t always easy, but it is often necessary to ensure that small business owners are prepared with the latest information, best practices, resources, and industry tools to endure an increasingly competitive and challenging economic environment. More exciting programs and services are on the way to help you build and maintain a thriving rental business. EBRHA’s Board of Directors, volunteers and staff are committed to delivering an unparalleled experience to our members. We hope to see everyone at the EBRHA 360 Trade Expo in October!

FIND

September

SEPTEMBER 7

2-3:30PM

Don’t get blindsided! Guard yourself from predators, creditors, liens, and judgments

Presented by Harry Barth

SEPTEMBER 12

2-3:30PM

The Roundtable

Presented by EBRHA

President Wayne Rowland

SEPTEMBER 19

3-4:30PM

Member Meeting

October

OCTOBER 7

10:00AM – 3:00PM

2023 EBRHA

360 Annual Trade Expo

OCTOBER 7

EBRHA offices are closed

* OCTOBER 10

Indigenous People Day

OCTOBER 11

2-3:30PM

The Roundtable

Presented by EBRHA

President Wayne Rowland

OCTOBER 18

3-4:30PM

Member Meeting

* OCTOBER 31

Halloween

November

* NOVEMBER 5

Daylight Savings Ends

* NOVEMBER 8

Election Day

* NOVEMBER 10

Veteran's Day

NOVEMBER 9

3-4:30PM

A year in review

Presented by Intellirent

NOVEMBER 14

2-3:30PM

The Roundtable

Presented by EBRHA

President Wayne Rowland

NOVEMBER 21

3-4:30PM

Member Meeting

* NOVEMBER 23

Thanksgiving

December

DECEMBER 12

2-3:30PM

The Roundtable

Presented by EBRHA

President Wayne Rowland

* DECEMBER 25

Christmas Day

* DECEMBER 31

New Year’s Eve

* NON-EBRHA EVENTS

If you would like to submit an event, please send an email to editor@ebrha.com .

Out & About

EBRHA Board President, Wayne Rowland, with members at the Thermostat Care Rebate Program presentation at the July Networking Mixer.

Derek Barnes with AC Supervisor Elisa Marques and RHASAC’s Paul Taylor and Patricia Snider at the RHA Influencer Luncheon

EBRHA members at staff at the Member Appreciation A's Game

Derek Barnes with Alameda County Supervisors Dave Haubert and Elisa Márque. Annual District 1 BBQ, Alameda County Fairgrounds

Kiran Shenoy & Krista Gulbransen. Phong La’s Annual Community Hero's Awards, Peony Restaurant

Unlawful Detainer Seminar presented by Randy Whitney

Chris Tipton at the Oakland Housing Authority's Owner Appreciation Day

Lena Tam, District 3 Supervisor, and staff –Asian Heritage & Pride Month event, Fluid510

Spotlight

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MO HUSSEIN BALANCED ASSET SOLUTIONS

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• Forensic accounting: We investigate financial irregularities and help you recover lost assets.

• Consulting: We provide advice and guidance on all aspects of property management.

Q: What made you decide to join East Bay Rental Housing Association (EBRHA)?

We joined the East Bay Rental Housing Association because we believe that it is important to be involved in the industry and to advocate for the interests of property owners and operators. The association provides us with a forum to share ideas, learn from others, and stay up to date on the latest industry trends.

Q: What are your top concerns about the property ownership industry?

Our top concerns about the property owners and operators industry include: Regulation: The regulatory environment for property owners and operators is constantly changing, and it can be difficult to keep up with all of the latest changes.

Technology: The property management industry is rapidly becoming more technology-driven, and it can be difficult to keep up with the latest technological innovations.

Q: What is your No. 1 tip when it comes to property management solutions?

As a technology consulting company, we’ll have to stick to that vein. We believe it’s important for a property management company to use the latest technology to manage their properties. This can help to streamline the process and make it more efficient. Here are some of the benefits of using technology in property management:

• Increased efficiency: Technology can help to automate many of the tasks associated with property management, such as leasing and maintenance. This can free up your time so that you can focus on other things.

• Improved communication: Technology can help to improve communication between property owners, managers and renters. This can help to resolve issues more quickly and efficiently.

• Better data insights: Technology can help you to collect and analyze data about your properties. This can help you to make better decisions about your business.

If you would like your business spotlighted, please contact EBRHA at editor@ebrha.com

Preferred terms

EBRHA uses and ways we help members and their renters stay informed

Preferred Language:

RENTAL HOUSING PROVIDER

Instead of "Landlord " Anyone who creates, owns, services, maintains, or governs rental housing. This includes: Investor, Rental Property Owner, Property Manager, Owner-Occupant, Industry Professional or Municipal Partner.

RENTER or RESIDENT

Use these terms instead of "Tenant" Anyone listed on the lease agreement or is an occupant of the household.

HOMES

Use this term instead of "Units" Housing residences that are made available for rent

Communication Types:

RED ALERT

E-mail & Text Alert | Ugent “Call to Action” when your participation is needed.

NEWS FLASH

E-mail | Important news or updates affecting the housing industry

WEEKLY DIGEST

E-mail | Every Sunday at 5pm | Local & National news | Legislative Update | Events

WEEKLY EVENTS PREVIEW

E-mail | Every Friday at 5pm | Preview of the next week's events

MONTHLY EVENTS PREVIEW

E-mail | 1st of the Month | Upcoming Events | Early Registration

RENTROSPECT NEWSLETTER

1st of the Month | Cover Story | Trash Tips | Member Promotions | Upcoming Events

RENTAL HOUSING MAGAZINE

Bi-Monthly | Education, Legislation, Advocacy, Trends | Industry Partner Directory

Legislation

BY RON KINGSTON

According to multiple housing right advocates and the author of Assembly Constitutional Amendment 10 (Haney-D- San Francisco) our state is to recognize, there is a fundamental human right to adequate housing for all Californians. The sponsors and author of the amendment states that this right is a “shared obligation” of state and local governments to “respect, protect and fulfill this right” on a non-discriminatory and equitable basis. Further, the wording of the constitutional amendment states that in order for this “right” to be achieved, that government is to “progressively” approach this goal to full realization by all appropriate means, including the adoption of laws that utilize all “maximum” and available resources.

Existing policies of the state of California that every human has a right to safe, clean, affordable, and accessible adequate water. Years ago, the Legislature declared that housing is of vital statewide importance to the health, safety and welfare of the residents of the state because:

• Decent housing is an essential force in helping people achieve self-fulfillment.

• Unsanitary, unsafe, overcrowded, or congested dwelling accommodations or a lack of decent housing constitute conditions that cause and increase in, and spread of disease and crime.

• A healthy housing market is one in which Californians have housing choices and opportunities where they may effectively choose within a free marketplace.

• A healthy housing market is necessary both to achieve a healthy economy

and to avoid an unacceptable level of unemployment.

Assembly Member Haney argued that creating this new “human right … brings it up in comparison to other rights that we’ve said are nonnegotiable for us.”

The members of the Assembly Housing Committee further Mr. Haney’s position by stating that a “right to housing does not require the state or local governments to provide housing to every person, nor does it allow people to automatically demand housing from the government.”

One thing we must conclude from the statement from the author and committee is that if governments are not to provide for housing who will? The answer: private industry.

Let’s follow the path of the proponents of the constitutional amendment. Should a right to rental housing be added to the California Constitution, where state and local governments would have an affirmative obligation to proactively ensure that Californians have access to housing? Land use policies would be modified or added. Zoning would change. Qualifications to occupy housing could or would change to further fair housing objectives. This could include new renter protections, housing prices would be readdressed, preserving private housing, housing subsidies and progressive tax policies would be definition change. It is argued that a right to housing would expose state and local government to lawsuits if those entities did not take action to fulfill the right to adequate housing for all.

ACA 10 also establishes the right to housing as a shared obligation of state and local governments and requires the realization of the right by all appropri-

ate means to the maximum of available resources. To do this, the governments would be required to “progressively” work toward that right. This argument is based on recognizing that government is not devoting all of the necessary financial resources available to resolve the lack of affordable housing. While the state and local governments have invested, for example in homeless (unhoused) responses and in affordable housing production over the past several years, we must recognize that we have barely scratched the surface. Should housing become a right, there are limitations on the amount that state and local governments could spend to fulfill the right because of the existing obligations and constraints on available funds. Or should we say, until and unless ACA 10 is approved by two-thirds of the Legislature and the people of the state of California.

Interestingly, the Assembly HCD Committee analysis argues:

“This ACA would declare a right to housing. Unlike a right to shelter, a right to housing would mean housing is provided across the continuum of need and not exclusively within the shelter system.”

We are not clear on the meaning and definitional difference of a right to housing versus a right to shelter. Housing is shelter and shelter is housing.

Some argue that California is a housing-first state. To that end, the requirement would ensure that a right to housing is not interpreted as a right to shelter. We reach a different conclusion, however.

Proponents of the state’s Housing First policy prioritizes providing permanent housing to people experiencing homelessness, that ending their home-

lessness and service as a platform from which they can pursue personal goals and improve their quality of life. They also believe that Housing First is offset in large part by reductions in the use of crises services, including shelters, jails, ambulances, and hospitals. Many state and local programs utilize these approaches to address the complex issue of addressing homelessness. As we know, however homelessness continues to overwhelm the response

system and far surpasses the affordable housing stock in many cities and counties, despite recent government investments in homelessness programs.

According to the ACLU, “It is clear that Californians support a right to housing. A 2020 poll showed that 66% of all Californians support a state constitutional amendment guaranteeing the human right to housing. California voters have approved more than 500 constitutional amendments, including

fundamental civil rights and legislators have enacted new rights-based laws in a variety of areas. For example, under California’s right to education, the government must provide equal access to public education and the right requires state and local governments to fund public schools.”

Do you agree with the ACLU’s arguments? Of course not!

And this is the reason why we are strongly opposed to ACA 10.

Advocate

ANALYSIS ON “A RIGHT TO HOUSING”

BY MICHELLE GAMBLE

Anyone who has driven through Oakland, or just about any other major city in California, can’t help but notice the state has a homelessness problem. In fact, one cruise through the Tenderloin in San Francisco, and the problem becomes glaringly real. Tent cities have popped up around blocks, highway on- and offramps, and areas surrounding waterways and parks. It got worse during the pandemic.

So, it’s not surprising that California lawmakers are trying to add a “right to housing” to the state’s constitution. But, when we debate human rights and inadequate affordable housing and how to solve it, that shouldn’t mean the responsibility to solve the housing crisis or affordability issue falls on rental property owners. In fact, homelessness and housing are social issues, not private property concerns.

The amendment calls for “adequate housing” for everyone. It requires local and state lawmakers to work toward solutions that need to be analyzed, strategized and rolled out. The proposed amendment would require local city planners and developers to create affordable housing zoning measures and overturn policies that have been in place for decades that restrict the production of multi-unit and affordable housing. It would also promote pro-housing laws, which provide incentives to cities and counties to support competitive housing, community development and infrastructure programs.

The amendment’s text reads as follows: “The state hereby recognizes the fundamental human right to adequate housing for everyone in California. It is the shared obligation of state and local jurisdictions to respect, protect

and fulfill this right, on a non-discriminatory and equitable basis, with a view to progressively achieve the full realization of the right, by all appropriate means, including the adoption and amendment of legislative measures, to the maximum of available resources.”

All of that sounds reasonable. No one wants to see housing costs continue to skyrocket while household incomes remain stagnant, more people living on the streets, or unsightly, unsanitary and unsafe homelessness encampments around the Bay Area. Compassionate leaders and citizens feel concerned for those who have lost their homes. However, policymakers have suggest-

ed some solutions include more rent control, tighter eviction laws, and other restrictive policies. This ultimately puts the burden on property owners to subsidize housing costs when renters cannot meet their financial and lease obligations or repair older properties while laws restrict allowable rent increases that are needed to maintain homes and keep people safe.

Why should property owners bear the responsibility of solving societal and governmental problems that are unrelated to property ownership? In an article titled “Is Housing a Human Right? California Voters Could Decide” by Marisa Kendall that

appeared on the CalMatters website, it said, “According to Michael Tubbs, former mayor of Stockton and now an adviser to Gov. Gavin Newsom, a right to housing also would require the government to regulate property owners, potentially by enacting rent control or renter anti-harassment policies, or guaranteeing renters a right to counsel during evictions. It also would create an obligation for the government to budget for housing programs.”

California property owners already have dozens of rules and regulations to follow and adhere to. Any suggestion that the solution for homelessness problems comes down to property

owners puts yet another unfair burden on property owners. Property owners run businesses and provide housing services just like grocery stores provide food that is for sale to consumers. Property ownership and management provide a living for people who have invested often hundreds of thousands of dollars into their businesses that create their livelihoods. So, when the government looks to housing providers to solve the homelessness problem, it’s akin to asking farmers to feed everyone for free or clothing makers to make free clothes. Have policymakers imposed the same legislative standards based on “the right” to be clothed and fed? It amplifies a rising double standard in housing where inadequate support systems and incentives are not in place for private businesses to help solve public problems.

Inadequate housing production over decades, restrictive zoning and land use ordinances, building and permitting inefficiencies, and rent control laws have contributed to the high cost of Bay Area housing. Yes, it’s true that rent has increased in some California cities. Several sources cite that the average rent for a two-bedroom house in the Bay Area is around $3,300 a month.

According to CBS San Francisco’s article “New Study Shows Where Bay Area Home Prices Fell the Most Last Year,” “In a welcome if slight change after years of soaring prices, rents this year have declined across much of the Bay Area and beyond. The median asking price for rent fell 4% from

$2,963 to $2,844 in the San Francisco-Oakland-Hayward region this May compared to last May, while prices rose 1% from $3,314 to $3,347 in the San Jose-Sunnyvale-Santa Clara region.”

Even in outlying towns and cities, rent remains high. One look at small bedroom communities close to the East Bay shows that average rent doesn’t drop by much. Even in smaller cities (e.g., Vacaville, Dixon, Winters), the average rent for a 1,400-1,600-squarefoot home is approximately $2,800 to $3,200 a month.

According to a Real Deal article titled “Analysis: Reports puts California housing shortages in national perspective,” “In absolute terms, the epicenter of California’s shortage is Greater L.A. (counted as the Los Angeles-Long Beach-Anaheim metro statistical area), where the report cited a shortage of 389,000 units, the most of any metro area in the country. The Inland Empire, or Riverside-San Bernardino-Ontario, has a shortage of 153,000, the country’s fifth highest, and San Francisco-Oakland-Berkeley has a shortage of 114,000, the country’s seventh highest."

Placing the burden of solving these longstanding housing problems on small property owners without resources, support systems and incentives will continue driving them out of the Bay Area to more business friendly areas or out of state where the onus to solve social issues isn’t forced on them. Since 2008, larger well capitalized investors have swooped in to buy smaller

“

In a welcome if slight change after years of soaring prices, rents this year have declined across much of the Bay Area and beyond.”

multi-unit properties and single-family homes – especially from distressed owners. This activity will continue and surge in areas with extended eviction moratoriums where some small property owners are nearing or are in foreclosure due to tens of thousands of dollars of unpaid rent. Deeper pockets and corporate-owned housing will drive prices up, not decrease them. Larger and well-resourced corporations and owners have the ability to push back on restrictive housing laws and business policies and fight harder with legal resources. In the meantime, longstanding housing issues remain unsolved, and the cost of housing gets even more expensive – pushing more lower-income owners and renters out of the market.

If the government wants to pursue housing as a right, then the solutions need to fall upon lawmakers’ shoulders to solve via private or public programs and funding. Taxpayers, the ones who foot the bill, need full transparency in order to approve and support those programs – that is, programs with proven track records of impact, sustainability and accountability metrics. Housing subsidy programs need expansion to address household income gaps. Funding for permanent supportive service models and innovative lower-cost construction methods need to be provided.

A leading problem is that housingrelated organizations are pushing narratives that “housing is a human right” have not acted responsibly to ensure the funds from taxpayers flow where they are needed most. For example, consider what happened with the Alliance of Californians for Community Empowerment (ACCE), powered by big money investors who are destroying small property owner businesses and generational wealth building opportunity for retiree, immigrant and black/ brown communities. According to the website, “Formally established on January 12, 2010, the Alliance of Californians for Community Empowerment (ACCE) is the new name for the California chapter of ACORN.

“After massive scandals in 2008 and 2009, ACORN’s California chapter (which had 37,000 dues-paying members, making it the largest affiliate in the ACORN network) elected to change its name in an effort to distance itself from what it called ‘a campaign of lies, media distortions and incessant attacks’ that had been directed against the parent group. A key consideration in this decision was California ACORN’s desire to keep tax dollars and foundation grants flowing into its coffers.”

ACCE characterizes itself as “an independent state-wide organization with no legal, financial or structural ties to ACORN.” But ACCE’s Executive

Director is Amy Schur, who served more than 20 years as a loyal ACORN employee, helped lead ACORN’s national campaigns; she also participated in an eight-year-long coverup of a nearly $1 million embezzlement by ACORN employee Dale Rathke, brother of ACORN co-founder Wade Rathke.”

State and local fiduciary oversight and regulatory management (accountability) needs to start with lawmakers, municipal leadership, housing/homeless nonprofit, and tenant advocacy groups. The primary focus should not be on small property owners. In terms of housing and homeless contract programs, many questions have arisen. Where were the funds allocated and how are results and impact being measured? The optics and reality are clear to many with persisting unresolved affordability issues more homeless encampments, and less housing provided to get people off the streets. Reducing personal enrichment of property owners, who are providing essential housing services, should not be the primary advocacy goal.

Property owners are taxpayers, too. They support housing policies and government-sponsored programs with their tax dollars just like other citizens. They do not need to go above and beyond what’s expected of other businesses providing services to consumers just because the government declares housing is a right. Rental property owners should be encouraged, supported and incentivized, not be penalized, to provide more safe and affordable housing. Government must deliver sustainable programs and find private and public funding sources to support them. More business restrictions and penalties will not solve large complex social issues. However, these policies will certainly ensure that fewer affordable homes are on the market while demand increases.

Michelle Gamble is the editor of Rental Housing Magazine.

Educate

JIT HOME BUYERS

Recommended by Gagan Saini, founder and entrepreneur, who has a background in AI, business and technology.

For California and East Bay Area property owners, I recommend using the renter screening services provided by Jit Home Buyers. This service is designed to help property owners make informed decisions about potential renters, while also protecting them from potential legal issues. The service provides detailed background checks, credit checks and other important information about potential renters that can help property owners make the best decisions for their business. Additionally, Jit Home Buyers also offers a variety of other services, such as renter onboarding, renter management and renter retention, which can help property owners maximize their rental income and minimize their risk.

TENANT CHECK

Recommended by Benjamin Hughes, founder of AI Gidhub.

In the California and East Bay Area, I recommend using TenantCheck, which is a comprehensive renter screening service that provides property owners with detailed information about potential renters. They offer a variety of services, including credit checks, criminal background checks and rental history checks. They also provide a variety of additional services, such as eviction checks, employment verification and more.

MYRENTAL

Recommended by Thomas Giarraputo, vice president at Executive Cleaning Services and David Ambrogio, founder and CEO, NOLA Wholesale Properties.

MyRental is a trusted renter screening service that offers comprehensive screening solutions. They provide credit reports, criminal background checks, eviction history reports, and employment verification. They are known for their accuracy, reliability and user-friendly platform.

I love that MyRental gives you the ability to choose between bundled packages and individual reports, so I don’t need to pay for something I don’t actually need. Plus there’s no sign-up or monthly fees.

COZY

Recommended by Thomas Giarraputo, vice president at Executive Cleaning Services.

Cozy is a reputable renter screening service designed for property owners and property managers. They offer a range of screening tools, including credit reports, criminal background checks, eviction history reports, and income verification. Cozy’s platform is user-friendly and offers additional features such as online rental applications and rent collection.

FIRST ADVANTAGE

Recommended by Leonard Ang, CEO of iPropertyManagement. It can be intimidating for new customers, but the best service in the business is definitely First Advantage. They have a ton of useful features, including good information on building positive relationships with your renters, access to a huge database that’s updated regularly, and perhaps most importantly, human reviews of every background check to avoid any mistakes that could cost you a renter.

INTELLIRENT ONLINE APPLICATION & SCREENING

Intellirent Includes TransUnion Credit and Eviction history, Tenancy and Employment Verification, plus EBRHA's Custom Online Rental Application. Renter-initiated application means members do not have to run the credit report themselves. No site visits are required and it's FREE for EBRHA members. Applicants pay a $40 application fee. Soft pull on credit for applicants.

We asked the experts what renter screening services they preferred. The following are their recommendations.

Inform

HIRING AN EXCELLENT PROPERTY MANAGER IS LIKE “PROPERTY” INSURANCE

Your choice of property manager can either make or break your success as a property owner. The right property manager can help your business succeed, meanwhile the wrong property manager can inadvertently destroy business and create legal problems with renters. So, it’s absolutely imperative that you find an excellent property manager that can meet all of your criteria for success.

In order to find the right property manager, you can take one of the most popular routes and find some names and compare Google or Yelp reviews. “I would say that it almost goes without saying these days, but before you take the time to meet with a property management firm, make sure that you look through the comments on its Facebook page, as well as the reviews that were left on Yelp and Google for the company,” said Matt Magnante, content strategist at FitnessVolt. “When using any of these websites, you should always keep in mind that some reviews, for example, from a renter who was evicted may have a grudge against the company that has nothing to do with the quality of the work that they produce. On the other hand, review websites have the potential to be an excellent first-line resource for contrasting multiple businesses.”

You can also look for property managers on social media and follow them for a while before making a decision. If you’re a member of a real estate networking group or even the regional chamber of commerce, you can ask around and seek opinions of others. Word of mouth offers one of the most powerful ways to find a property manager that comes with a personal

BY MICHELLE GAMBLE

endorsement. You may want to select a small handful of choices and then do Zoom interviews. Make sure you have a list of questions (and you can use the material provided in this article) you uniformly ask each candidate.

What you need to know before you begin your selection process is what to avoid and then what qualities, skills and knowledge to look for. You will want to steer clear of common pitfalls. You can apply basic criteria and skills (or lack thereof) based on level of experience, communication skills, renter screening processes, and maintenance oversight capabilities.

According to Mueen Khan, founder of Sell House, “Lack of experience: Avoid property managers with limited experience or those who lack knowledge about local rental regulations and industry practices. Poor communication: Property managers who are unresponsive or fail to communicate clearly and consistently can lead to frustration and misunderstandings. Inadequate renter screening: Property managers who do not perform thorough background checks may allow problem renters to occupy your property, leading to potential issues in the future. Inadequate maintenance oversight: Avoid property managers who neglect maintenance or fail to address repair requests.”

On the flipside, what experience, skills and knowledge should you consider when hiring a property manager? Khan continued and explained, “Strong communication skills: They maintain open and timely communication with property owners, renters and service providers, ensuring all parties are well-informed. Experience and expertise: They have a proven

track record in property management, demonstrating a deep understanding of local rental laws, market trends and maintenance best practices. Effective renter screening: They have robust renter screening processes in place to find reliable and responsible renters, reducing the likelihood of issues such as late payments or property damage. Transparent financial management: They provide regular financial reports, including rent collection, expense

tracking and budgeting, allowing property owners to stay informed about their property’s financial performance. Proactive maintenance approach: They take a proactive stance toward property maintenance, promptly addressing repair requests, conducting inspections, and ensuring necessary upkeep to protect the property’s value.”

Thomas Giarraputo, vice president at Executive Cleaning Services, said

there are specific qualities that make a property manager excellent:

• Renter screening: A good property manager will conduct thorough renter screening processes, including background checks, credit history verification, and rental references, to ensure reliable and responsible renters.

• Maintenance and repairs: An excellent property manager promptly addresses maintenance issues, coordinates repairs efficiently, and conducts routine property inspections to ensure the property is well-maintained.

• Financial management: A reliable property manager will handle rent collection, accounting, and financial reporting accurately and transparently.

• Legal compliance: A competent property manager stays updated on local laws and regulations, ensuring your property remains in compliance with all applicable rules and regulations.

Many experts continually said that organization matters the most. They want property managers to be

organized and able to stay on top of things like on-time rent payments, maintenance and renter turnover so vacancies can be filled faster. “One particular aspect that stood out about the property manager I ultimately selected was their exceptional attention to detail and organization skills,” said Brooks Turner, co-owner of CTX Land Clearing and Forestry Mulching. “Their ability to meticulously handle everything from renter screening and lease agreements to maintenance requests impressed me greatly. This level of dedication ensures that all aspects of managing my properties are executed efficiently and professionally.”

What truly distinguishes this property manager from others is their comprehensive range of services that go above and beyond mere maintenance tasks. “From conducting thorough renter screenings, ensuring timely rent collection, handling legal matters proficiently, coordinating inspections promptly, and addressing any concerns swiftly – their commitment toward maintaining smooth operations for both property owners and renters is evident at every step,” said Ryan Vaughn, co-owner of San Diego Stamped Concrete and Staining. “Moreover, they exhibit exceptional organizational skills when it comes to record-keeping which simplifies financial reporting significantly.”

Take each of these suggestions and build a criteria sheet. Because your choice in property manager is truly the ultimate “property insurance” you could ever get. Thus, it’s imperative you carefully and meticulously make the right decision.

Michelle Gamble is the editor of Rental Housing Magazine.

“ What truly distinguishes this property manager from others is their comprehensive range of services that go above and beyond mere maintenance tasks.”

Inform

SMALL PROPERTY OWNER REPRESENTATION SERVICES BY VICTOR RAMIREZ

In 2022, the City of Oakland’s Rent Adjustment Program (RAP) assessed its legal service contracts and determined that, with the already developed internal capacity and staffing model to provide outreach, education and housing counseling, the greatest need in supporting equitable implementation of the RAP program was to focus some of its resources on representation services to low- and moderate-income renters and small property owners at RAP petition proceedings and Housing, Residential Rent and Relocation Board (Rent Board) appeal proceedings.

As a result, RAP issued public requests for proposals and then sought the City Council’s support and approval for two contracts; the first with Centro Legal de la Raza and the second one with East Bay Rental Housing Association (EBRHA) to respectively represent low- and moderate-income renters and small property owners at the RAP petition and Rent Board appeal proceedings. Under this representation program, small property owners are defined as owning up to eight residential dwelling units in and outside the city with an annual total income up to 100% of the county of Alameda’s area median income.

Thus, the Small Property Owner Representation Services (SPORS) was born. SPORS is designed to offer urgent assistance and representation to small rental property owners/operators in RAP petition cases and Housing

Residential Rent and Relocation Board (HRRRB) appeal proceedings. The representation services now being provided to small property owners are based on RAP staff’s assessment of the needs, barriers and challenges small property

owners experience when participating in the RAP adjudicative process.

Some of the challenges include limited knowledge of the legal system, language and technological barriers, and limited financial resources. Many small property owners cannot afford or do not have access to legal representation and, a substantial number of them have no option but to pursue or respond to a RAP petition on their own even under challenging circumstances.

The goals of the right to representation at RAP proceedings are:

• To ensure that more low- and moderate-income renters and small property owners have representation at RAP hearings and Rent Board appeal proceedings

• To reduce the displacement of lowand moderate-income families of color and immigrants in Oakland;

• To empower renters and small property owners to seek negotiated resolutions to their legal claims; and

• To foster and maintain constructive relationships between property owners and renters through access to representation services.

I believe that representation would also improve the efficiency and efficacy of the RAP adjudicative process. Unrepresented parties are often unaware of their rights and responsibilities pursuant to the RAP Ordinance. This can bring about unwarranted claims. Access to representation would also assist the parties to make informed determinations about their petition rights and to have an actual opportunity to decide how their claims are resolved. With effective representation, rent con-

trol experts who can advise the parties as to the strengths and weaknesses of their cases, and the likely outcome of a hearing, parties can be then empowered to seek negotiated resolutions and to amicably settle their claims prior to hearing or certainly at the Settlement Conference offered within the RAP petition process.

In partnership with RAP, with the purpose to assist as many small property owners as possible under the funding limitations, EBHRA’s program for representation of small property owners is being built on having rent control experts not necessarily licensed attorneys helping owners at RAP proceedings with EBRHA’s staff still having access to an attorney. EBRHA’s representation model differs from a law firm-like model in EBRHA’s reliance on rent control-trained specialists with access to a legal counsel rather than an attorney-led process. EBRHA has also leveraged the city’s funding and has secured additional funding from other sources for outreach, screening and initial consultation. This approach will allow EBRHA to serve, at least, 200 small property owners in RAP petition proceedings and Rent Board appeal proceedings under this program.

With the goal of expanding this legal representation service to more lowand moderate-income renters as well as small property owners, RAP will evaluate the results of the representation program and hopefully on its success seek City Council’s support to continue it.

Victor Ramirez, an Oakland city official, collaborated with EBRHA on the SPORS program.

Don't Miss the Networking Event for Rental Housing Providers!

Annual Trade Expo 2023 EBRHA

Saturday, October 7th 10am - 3pm

TICKETS

Members: $50

Non-Members: $80

INCLUDES

Lunch & Resfreshments

Wine & Dessert Tastings

Prize Giveaways

The EBRHA 360 Trade Expo offers rental housing providers one-stop access to over 45 Industry Partners, keynote presenters, community leaders, and industry experts.

Claremont Hotel & Spa

Berkeley, CA

Keynote Speaker: Oscar Wei

Exhibitors & Experts

Legislation & Policy

Insurance & Taxes

Repairs & Remodeling

Property Management

We are very excited to anno this year's EBRHA 360 Trad be held at the beautiful Cla Hotel & Spa.

Waste & Recycling

Lending & Finance

Smart Home Tech

EV Charging

Oscar is the Deputy Chief Economist for the California Association of Realtors where he is responsible for the housing market and economic trends and analysis, policy analysis, and data work in a variety of contexts. The

Register Now!

Essential Resource to the Housing Community

Connect

BAY AREA COMMUNITY SERVICES (BACS)

JAMIE ALMANZA, MBA CEO OF BAY AREA COMMUNITY SERVICES

Jamie Almanza, MBA, CEO of Bay Area Community Services (BACS), has dedicated 20-plus years to uplifting the community. An expert in social services, she reforms and optimizes infrastructure and scale for true impact, while modernizing the system of care and data analysis for transparency. Almanza, who is Mexican-American, embodies resilience with a lifetime of lived experience, growing up very poor and housing insecure. Almanza received her MBA from Mills College, and was awarded a full MBA scholarship as part of the 10,000 Woman of Color Initiative. At BACS, Almanza leads integrated behavioral health/ homelessness services doing “whatever it takes.”

BACS breaks the mental health, housing and community barriers that hold people back. BACS’ mission is to uplift under-served individuals and their families by doing “whatever it takes.” BACS helps people experiencing homelessness, housing insecurity or behavioral health challenges, while balancing other complications like health needs, substance use, generational trauma, incarceration, poverty, and more. Since its founding in 1953, BACS has steadily grown throughout Northern and Central California, integrating nearly seven decades of behavioral health expertise with our Housing First philosophy to meet the rising needs of communities.

Q. Why is it important to work with partners like East Bay Rental Housing Association.

BACS believes that housing is a basic human right, and we need to challenge the scarcity mindset in our community to create more housing opportunities for people exiting homelessness.

EBRHA is a resource for property owners, managers, developers, and others in the housing community and provides education, supportive services and advocacy to move toward the goal of safe, affordable and healthy rental housing in our community.

Q. What is your organization’s main goals going into the end of 2023 and the beginning of 2024?

BACS is celebrating our 70th anniversary this year, reflecting on serving more than 100,000 people during that time. The needs in our community keep growing, and BACS is growing our solutions to respond. We are developing the St. Regis Center as an innovative, holistic behavioral health and housing campus. We are purchasing single-family homes to end homelessness and working with thousands of property owners to create more housing. We will also expand our homelessness prevention network, Keep People Housed, to Contra Costa County.

Inspire

REMODELING GIVES OLDER PROPERTIES NEW LIFE

BY MICHELLE GAMBLE

Renter demands have changed over the years. Even though the pandemic required workers to work from home, only some of this population has returned to the traditional office post-pandemic. However, remote work itself is trending as an ongoing business model. A recent Forbes report stated, “As of 2023, 12.7 percent of full-time employees work from home, while 28.2 percent work a hybrid model.” This translates to greater demand placed on property owners to accommodate the remote workforce to attract renters.

Problem is, especially in the East Bay Area where many multi-unit and apartment complexes are older, these properties need to be upgraded or remodeled to meet current demands. These pressures come from not only the remote workforce, but also general renters who want more from their living spaces. Remodels and upgrades also keep your properties competitive and able to meet the expectations of modern renters. By upgrading your properties, you offer a higher standard of living and increased renter satisfaction.

“In my personal experience, the results of our recent remodels have been positive in terms of renter reactions,” said Riley Annen, founder of Companies That Buy Houses and real estate expert. “Renters appreciate the modernized amenities and improved living spaces, leading to increased renter retention and positive word-ofmouth referrals.”

REMODELS THAT WORK

One approach is to do small upgrades or perform a complete remodel. It depends upon the age and needs of the proper-

ties. “We decided to remodel to enhance the overall appeal and functionality of the apartments, ultimately attracting more renters and maximizing rental income,” said Angela Wang, expert in real estate and cash house sales.

“The remodeling process includes several key aspects,” she continued. “Firstly, we focus on updating the aesthetics by modernizing the kitchens and bathrooms, installing contemporary fixtures, and utilizing trendy color schemes. Additionally, we prioritize improving energy efficiency through insulation upgrades and installing energy-efficient appliances. Finally, we make structural enhancements, such as updating flooring and replacing windows, to provide a more comfortable living experience.”

“Our remodeling efforts encompass a range of improvements, including updating kitchens and bathrooms, installing new flooring, and implementing energy-efficient features,” said Annen. “We also focus on enhancing the overall aesthetics of the complex through fresh paint, landscaping and common-area upgrades.” Depending on the space, it may also be necessary to add or remove walls, install additional lighting, or upgrade HVAC systems to ensure a comfortable environment.

REMOTE WORK CONSIDERATIONS

When it comes to upgrading properties to accommodate remote workers, some key considerations should be given to issues like infrastructure to accommodate these workers’ needs. One way to find out exactly what remote workers

would like to see upgraded in their complexes is to survey them. Find out their wants and needs to be more efficient and productive in their jobs.

“In my view, assessing what needs to be done to retrofit a space for remote workers or social activities begins with understanding the needs of the users,” explained James Smith, co-founder of REIInsiders.com. “This could involve surveys or interviews with residents to gauge their preferences. It’s also important to consider factors like noise levels, privacy and access to natural light. Specific areas that may need to be retrofitted could include common rooms, unused spaces or even outdoor areas. The goal is to create spaces that are flexible and can be used for different purposes, from quiet work to social gatherings.”

Property owners can expect the addition of high-speed Internet connectivity, power outlets and data ports at each workstation. Additionally, video conferencing capabilities, smart boards and soundproofing measures may be necessary for effective remote workspaces. Consider adding common areas with workstations that feature things like comfortable furniture. Maybe even add in office equipment that can be rented and charged a fee (e.g., copier or printer). Kitchen space in the common area can even charge for snacks or coffee.

COST CONSIDERATIONS

“The average cost of a retrofit can vary based on the scope of work and location. Factors such as labor, materials, and any necessary permits or licenses

should be taken into account,” said Jenna Alberta, expert in real estate and cash house sales. “It’s advisable to consult with reputable contractors or specialized retrofitting companies to get an accurate cost estimate tailored to your specific project.”

“The cost of a retrofit can vary widely depending on the scope of the project,” said Annen. “It could range from a few thousand dollars for minor upgrades to tens of thousands for major renovations. However, investing in these improvements could potentially attract more residents and justify higher rents, making it a worthwhile investment in the long run.”

“In recent remodels, we have seen highly positive renter reactions,” added Wang. “The updated apartments have garnered increased interest and quickly filled vacancies. Renters appreciate the modern amenities and improved functionality, leading to higher satisfaction and longer lease terms.”

Michelle Gamble is the editor of Rental Housing Magazine.

“Renters appreciate the modern amenities and improved functionality, leading to higher satisfaction and longer lease terms.”

LEGAL MISTAKES Property Owners Make

BY MARK CHERNEV

There are risks and pitfalls that property owners often make that are easily avoidable. Consider the fact that it is important for property owners to think about what they should do and what they should not do. Listed below are a few resolutions for owners and property managers to keep in mind to avoid common legal mistakes.

First and foremost: don’t reinvent the “legal wheel”. In most aspects of our lives, we are rewarded for our creativity and ingenuity. However, for property owners that behavior often has the opposite effect. Do not think outside the box! Rules-setting limits for rents, on available causes for eviction, and on the providing of housing services exist for a reason. While we may question those reasons, and those rules, we do not improve the situation by attempting to circumvent them. It is not a good idea, for example, to attempt to avoid a moratorium on rent-based evictions by inducing a renter to leave by reducing or altering housing services. Nor is it wise to do so as a means of avoiding limits on what rent can be charged.

Second, in a similar regard, don’t cut corners. Renters are entitled to basic housing services, as defined by law. This entitlement does not change if a renter has become a nuisance, is late in paying rent, or stops paying rent entirely. There are remedies for each of those things independently and owners should pursue them. However, the answer is not to help ourselves to a seemingly more expedient resolution by reducing services or taking steps to induce a renter to leave “on his or her own.” In other words, do not exercise self-help. The consequences are severe.

Third, don’t assume the worst in people. Crime dramas often remind us that our justice system is founded on the principle that we are all innocent until proven guilty. This principle should be similarly adopted in our dealings with renters. Unfortunately, some renters have seen fit to take advantage

of COVID-era protections that were designed to help protect those truly in need. Property owners should not, however, treat their renters as though they are taking advantage of these protections or are doing so, unless and until it is established with hard evidence. Until such hard evidence is established, property owners should assume that those seeking out the protection of these rules have a legitimate need for it, and act and respond accordingly.

Fourth, don’t assume that yesterday’s rules still apply. Property owners and managers may feel as though there has been a near-daily evolution in what they are allowed to do, and not allowed to do, for the past few years. And they would be right about that! Most all moratoriums have been lifted and those that have not are waning in their existence, but with new rules, disclosures and restrictions remaining in place. What this means for 2023, and beyond, is that using last year’s lease, or rent-increase notice, or three- or 10-day notice, is not wise. Using an out-of-date form or document can have disastrous effects during a legal proceeding and can cause considerable delay before or after one begins.

Fifth, don’t wait until a claim comes in to confirm you have proper insurance coverage. Just as owners should not assume that yesterday’s notice is a good notice, they should not assume that yesterday’s insurance policy is any better. Changes in ownership structure, use of a property, or who interacts with the building’s occupants can all have impact on whether a policy’s coverage will be triggered in the event of a claim. Having proper insurance coverage ahead of time, and it in place for the proper people and/or entities, is key to minimizing personal liability for renter claims. The old adage, “you get what you pay for” is equally applicable here, and property owners are wise to compare their options and spend a bit more for better or more coverage. Property owners with renters should have robust wrongful eviction coverage. Period.

Sixth, while not specifically a “thing to do to avoid getting sued,” owners should not ignore the good and positive relationships they have with their existing renters. We have all heard horror stories these past few years, largely about those who have manipulated and abused rules designed for a very different purpose. Additionally, it is very easy for a disgruntled renter to file a habitability suit against the most responsible of property owners out of spite, frustration, or even in response to receiving a proper notice to pay rent or quit.

Even without merit, the costs and resources necessary to defend such an action can easily overshadow the value and merit of the underlying claim. But for every one of those stories, there are stories of good, honest and hard-working renters (some of whom have recently needed some assistance too) who continue to pay their rent on time and honor their obligation. There are rules and regulations that limit what property owners can’t do, and often little can be done about them. However, there is no prohibition on being thankful for the good ones out there, and property owners would be wise to do what they can to preserve their relationships with them. That’s something we’re all allowed to do, and it may just lead to a better year ahead.

Finally, do not ignore your renters when they tell you about habitability issues or defects. Under California law, property

owners have a duty to provide habitable services and quiet enjoyment to their renters. Generally, a property owner is only responsible for defects that a property owner knows about and fails to remedy. Once a renter advises a property owner of a “defect” such as mold, pests or even the lack of hot water, the property owner is expected to act reasonably and diligently in investigating and curing the issue if it does exist. Although a property owner can minimize liability for the decreased housing services and habitability that exist while acting diligently to cure the defect, a property owner is liable for the period that they knew about the defect and failed to act.

The most effective way to avoid exposure for habitability defects and decreased housing services is to promptly investigate them when they learn about them, confirm their existence (or not), then make all reasonable efforts to remedy the problem with diligence. These efforts limit damages and can even appease city inspectors if renters escalate matters on their own.

Be smart, don’t take risks, treat your renters fairly, and talk to an expert when necessary.

Mark Chernev is a shareholder at Zacks & Freedman, PC, a full-service real estate law firm representing property owners throughout California, with offices in San Francisco, Oakland and Soquel. (www.zfplaw.com).

Lessons Learned from the PANDEMIC

BY DAN LIEBERMAN

In the wake of the unprecedented lock down and response to the Covid-19 pandemic, property owners and managers found themselves navigating uncharted waters. For many, it was a period fraught with challenges – renters no longer being required to pay their rents in a timely manner, governments upending the way we do business and create a slew of new rules and regulations, and, at the same time, a need to change the way we operate in order to keep both residents and staff safe.

But every crisis also offers an opportunity for learning and growth. While grappling with all these challenges, we soon discovered opportunities to enhance our operations. Although the pandemic has reinforced many of the practices I had formerly been using, the challenges we faced created an opportunity to examine, re-think and enhance our business

practices, with the goal of not just surviving, but also thriving in the new normal.

Here are seven of the critical lessons I have learned during the pandemic and how I’m using them to improve my operations.

Have a Financial Buffer and Focus on Risk Mitigation: While no one expects you to have three years’ worth of rent tucked away somewhere, having access to an emergency cash reserve is no longer optional – it is a necessity. Many owners are real-estate-rich but cash-poor. It is imperative to have an adequate reserve to handle all sorts of unexpected emergencies. Whether it be a hot water heater blowing out, a new roof, a legal action, or even an unexpected opportunity such as for a renter buyout, having an adequate cash reserve allows you to keep operating consistently.

In addition to having access to cash, consider diversifying your investment portfolio to possibly include buying your next property in a different location. This could be in a neighboring city or county, or it could be further away, like in a state that has stronger property rights protections. We’ve seen what some of our local governments will do, when given the chance. If you are thinking about buying another property, you should at least take that into consideration.

Review your insurance to explore coverage areas such as wrongful eviction coverage or get improved business interruption insurance. Some other important risk mitigation measures include ensuring that your forms and operations are up to date with local and state regulations, screening your prospective residents better, performing regular property inspections to catch issues before they become problems, and building better relationships with your residents. Some of these we will explore in further detail below.

The Quality of Your Resident Creates or Destroys Value: Buildings do not pay the rent. Renters do. The quality of your renter and of your relationship with them will go a long way in determining how successful your rental property will be long term. Being a resident in your rental property should be no different from being a customer in any other business.

When we go into a store, we expect to be treated with re-

spect and a little bit of “the customer is always right” mindset. Yet, are you treating your customers (your residents) the same way? When the pandemic hit and governments were encouraging residents to not pay their rent, how did yours react? Most of my renters paid as if nothing had changed (I did have one that used the Covid protections as an excuse, but even he eventually got caught up when he saw it would mean losing his great rent control deal).

My first year in the business, I read a phrase in a book that has stuck with me for the nearly 40 years I’ve been involved in this industry. It read: “A vacancy is a delight compared to a bad renter.” During the pandemic, we learned who were our good residents and who were not. Too many owners are focused on getting their apartments leased quickly and don’t give adequate focus on researching the quality of their applicants and guaranteeing future payment of rent.

Review your renter screening practices. Make sure your application asks the questions you want answered. When reviewing applicants, make sure they either have the credit quality you want, or mitigate your risk by getting a qualified, responsible co-signer/guarantor on the lease. The pandemic and government response re-emphasized the cost of dealing with problematic renters – both financially and in terms of time – is far too high.

The economic implications of the pandemic have highlighted not only the importance of good credit (the renter must have something to lose if they don’t pay), but also employment stability, savings and past rental history. Good applicant screening is potentially the most important process in ensuring a successful rental property experience.

Relationship and Community Building is Critical: A strong sense of community can not only create longer tenancies, but also can connect you and/or your management staff better with your residents and prevent some of the headaches many owners experienced during the pandemic.

Regular communication is crucial. If the only time your resident hears from you all year is when they get their rent increase notice, you are doing things wrong! Make an effort to maintain open lines of communication with your residents. This could mean regular email updates, a renter portal where they can access information, or even informal check-ins. Always let renters know ahead of time about any major issues that will affect them.

“It’s all about expecting the unexpected and having a contingency plan in place–a lesson we’ve definitely learned through this pandemic.”

With many residents now working from home as well, you can leverage this extra time at your property to build a stronger sense of community. Even simple adjustments that make your common areas more amenable to facilitating interaction amongst residents helps build community. If you have a multi-unit building, organize regular social events like barbeques, movie nights or holiday parties. This can help foster relationships amongst renters and build connections with management.

And remember to listen to your renters’ feedback and respond appropriately. Whether it’s a complaint about a maintenance issue or a suggestion for a community event, renters will feel more connected if they feel heard and valued.

Adopt Technology to Improve Operations: When the pandemic hit, owners had to come up with ways to keep operations going while minimizing physical contact. In many cases, technology was the answer during those dark times.

Property management software has evolved from just being accounting software to integrating many of the features renters desire like online payments and online maintenance reporting and scheduling. Automating your daily tasks, gives you more time to focus on improving the property and for renter relations. If you have not looked recently at what is available, you might be surprised at the features now available.

Some simple automation that many residents like include using digital locks and smart thermostats. Digital locks not only improve security and make maintenance access easier, the also eliminate re-keying costs. Digital thermostats help residents keep their energy bills down and their comfort up. Other technology adoptions can include utilizing smart sensors on major appliances such as HVAC systems to help warn you of potential problems before the unit breaks down.

Adapt to Remote Work: Post pandemic, we are in a new economy. There are certain aspects that have changed per-

manently. With the rise of remote work, residents’ relationships with their living spaces have now changed significantly. We’re dealing with an increased demand for services. Package deliveries are a constant flow. We have an increased volume of trash, especially cardboard. And, as the traditional workday schedule no longer applies, we’ve had to be more mindful about when and how we perform maintenance or repairs to minimize disturbing renters.

Apartments now need to accommodate home offices. Highspeed Internet is a must, and common area spaces may need to be reimagined as co-working areas. Acknowledging and adapting your properties to this trend will make them more much appealing to potential renters who work remotely. We can command higher rental rates and better occupancy due to these improved amenities.

Remote work has pushed us to become more adaptable, more innovative property owners. Responding to the changing needs of renters is the way to do better than your competition. Work from home has been a great example of how changes in lifestyle give you an opportunity to improve the resident experience at your communities. This dramatic change has made that line of thinking all the more obvious.

Emphasize Predictive and Preventive Maintenance: Predictive maintenance refers to the use of proactive maintenance strategies that predict when issues might arise or equipment failure might occur. The goal is to conduct maintenance at a scheduled time when the maintenance activity is most cost effective and before equipment failure.

Performing regular walk-throughs of your property, at least 2x/year can catch many issues before they become serious problems. One of the best times to do an inspection is in the fall, before the winter rains and before mold issues can arise.

Invest in smart sensors on critical equipment like HVAC systems, and potential flooding areas. These sensors can

monitor things like temperature, humidity, moisture, water pressure, etc. and can help identify abnormalities that might indicate a pending failure or can prevent a costly repair.

Make it easy for renters to report maintenance issues as they notice them. An online portal or even a dedicated email address can streamline this process. Prompt response to maintenance requests not only helps catch issues early but also contributes to resident satisfaction.

Be Prepared for Regulatory Changes: Dealing with regulatory changes has always been part of running your rental property business. Every year, new laws would be implemented, and we had to make some minor adjustments to how we did business. Occasionally, they were larger changes, but with the pandemic, it seemed like a new law was being put in place practically every month.

Staying informed is essential. Penalties for errors are getting larger. Being active in local property owner associations like EBRHA has helped me stay abreast of changes and proposed changes. Having a good real estate attorney “on speed dial” is also essential these days. Their insights into property owner-renter law and how new regulations might affect our operations have been critical in helping me adapt smoothly.

Preparedness isn’t just about responding to changes – it’s also about trying to influence them. Whether it be financial support for a candidate you’d like to get in office or meeting with your current elected officials, unless and until our story is understood and we use our influence, we will continue to be

abused in order to get renter votes.

My belief is that someone who invests hundreds of thousands of dollars into the community, who has lived and worked in the community for years, and whose taxes pay for the salaries of our elected officials and our government employees should have at least as many rights as some new resident who just moved into the community last year and is living in one of your rentals. Elections will soon be coming up. Get involved!

As we move forward, the lessons of the pandemic continue to shape the landscape of rental property operations. Adopting technology, building financial resilience, creating a strong community, adapting to remote work, and preparing for regulatory changes – these are not just lessons, but catalysts for growth and change. We’ve faced many challenges and learned many lessons.

It’s all about expecting the unexpected and having a contingency plan in place – a lesson we’ve definitely learned through this pandemic. We all recall that famous quote “Never let a good crisis go to waste.” Having survived the pandemic and the government response to the pandemic, we’ve learned some lessons and are now poised to transform these into best practices that will help define our industry in the years to come.

Dan Lieberman is a local housing provider, author and the host of EBRHA’s Forum. For more real estate insights, go to AskDanLieberman.com

“A vacancy is a delight compared to a bad renter.”

Industry Partners

ACCESSORY DWELLING UNITS

Adapt Dwellings, Inc.

Chris Paizis | 510.319.9045 adaptdwellings.com

SYMBIHOM LLC

510.930.8900 symbihom.com

ACCOUNTING & TAX

Hunter Tax Associates

925.362.1350 huntertaxassociates.com

Martin Friedrich, CPA 510.895.8310 besttaxcpa.com

ACCOUNTING SOFTWARE

Balanced Asset Solutions

805.284.1950 balancedassetsolutions.com

AFFILIATIONS

ALN Apartment Data

800.643.6416 alndata.com

APPRAISERS

Watts, Cohn & Partners, Inc. Mark Watts | 415.777.2666

ASSOCIATIONS

Concord Chamber of Commerce

925.685.1181 concordchamber.com

Hamilton Families Mayo Lunt | 415.321.2612

ATTORNEYS

McKeown & Associates

510.710.1325

Law Office of John Gutierrez

510.647.0600 jgutierrezlaw.com

ATTORNEYS — EVICTIONS/ PROPERTY OWNER DEFENSE

Bornstein Law

Daniel Bornstein | 415.409.7611 bornstein.law

Burnham Brown

Charles Alfonzo | 510.835.6825 burnhambrown.com

The Law Offices of Alan J. Horwitz

Alan J. Horwitz | 510.839.2074 alanhorwitzlaw.com

The Shepherd Law Group

Michael Shepherd | 510.531.0129 theshepherdlawgroup.com

Zacks, Freedman & Patterson, PC 415.956.8100 zfplaw.com

ATTORNEYS — REAL ESTATE/CORP. Barth Calderon LLP 714.704.4828 barthattorneys.com

Burnham Brown

Charles Alfonzo | 510.835.6825 burnhambrown.com

BANKING/LENDING

Arena Commercial Capital

Jason Bowden | 510.224.3894 arenacommercialcapital.com

Bay Area Mortgage Group 925.719.0660 bayareamortgagegroup.com

First Foundation Bank

Michelle Li | 510.250.8133 ff.inc.com

King Hou Lam, Home Mortgage 510.517.3253 kinglamloans.com

Pacific Western Bank

Kara Mooney | 301.272.6628

Story by J.P. Morgan

Shane Nebbia | 201.961.4022 story.jpmorgan.com

BUILDING SUPPLIES & REMODELING

APT Maintenance

Keith Berry | 510.747.9713 aptmaintenanceinc.com

BEHR®

Kristen Fuller | 415.416.0994

kfuller@behr.com | behr.com

Home Depot

Brian Aguirre | 770.681.1675 brian_aguirre@homedepot. com | homedepot.com/c/

Pro_Xtra

CONSTRUCTION

Precision Concrete Cutting

650.867.8657 pccnorcal.com

CONTRACTORS & RESTORATION

BluSky Restoration Contractors

415.678.7800 goblusky.com

DOORS & GATES

R & S Overhead Garage Door

Sean Boatright | 510.483.9700, x14 rsdoors.com

ENERGY CONSERVATION

GoPowerEV

415.298.8315 gopowerev.com

Ok2Charge

Kornelijus Dauksas | 850.652.2414 ok2charge.com

FINANCIAL PLANNING

Wilkinson Wealth Management

Steven Wilkinson | 510.625.1400 WilkinsonWealthManagement. com

GOVERNMENT AGENCIES

City of OaklandHousing and Community Development

510.788.0462 oaklandca.gov/rap

Oakland Housing Authority

Leased Housing | 510.874.1500 oakha.org

Oakland Rent

Adjustment Program (RAP) Marvin Nettles | 510.238.6246 mnettles@oaklandca.gov oaklandca.gov/RAP

StopWaste.Org

510.891.6558

HANDYMAN SERVICES

Start to Finish

510.727.9128

INSPECTIONS

Edrington & Associates

Steve Edrington | 510.749.4880 edringtonandassociates.com

INSURANCE

Commercial Coverage

Paul Tradelius | 415.436.9800 comcov.com

Foxen

Pete Gherson | 805.729.5393

pghersen@foxen.com

Jain L. WilliamsState Farm Insurance

Jain Williams | 510.530.3222

jain@jainwilliams.com

Kelly Lux —

State Farm Insurance

Kelly Lux | 510.521.1222

Kelly.lux.gjcg@statefarm.com

Pacific Diversified Insurance

Richard Callaway | 925.788.5558

rcallaway@pdins.com

PFN Insurance Services

510.483.6667

pfninsurance.com

Toggle Insurance (a Farmer's Company) 818.679.4516

ebrhanow.com/TOGGLE

INTERCOMS & ACCESS CONTROLS

R & S Overhead Garage Door Sean Boatright | 510.483.9700, x14 rsdoors.com

LAUNDRY EQUIPMENT

WASH Multifamily Laundry Systems, LLC 800.421.6897 wash.com/contact-us/

LEAD, MOLD & PEST MANAGEMENT

Alameda County Healthy Homes Dept. 510.567.8282

aclppp.org

LITIGATION SUPPORT SERVICES

Edrington & Associates

Steve Edrington | 510.749.4880 edringtonandassociates.com

PROPERTY MANAGEMENT

Advent Properties Inc.

Darryl Glass | 510.500.7531 adventpropertiesinc.com

dglass@adventpropertiesinc.com

Aventis Property Management 925.319.4600

aventismanagement.com

Bay Property Group

510.836.0330

baypropertygroup.com

Continued on page 40

City of Oakland Rent Adjustment Program

Oakland's Phase-Out Moratorium

Owners of units covered under the Just Cause for Eviction Ordinance may now terminate tenancies for reasons listed under Just Cause (e.g., failure to pay, refusing entry, etc), and collect late fees. However, tenants cannot be evicted for failure to pay during March 2020 – July 14, 2023, if the tenant's failure to pay was due to a COVID-19-related financial hardship (e.g., medical expenses, loss of income, etc.). Also, late fees cannot be applied to rents that came due during the moratorium if the delay was due to COVID-19.

For questions about Oakland's Phase-Out Moratorium, contact a RAP Housing Counselor at 510-238-3721 or rap@oaklandca.gov

CPI

Effective August 1, 2023, to July 31, 2024, the CPI is 2.5%.

Moratorium on Rent Increases

Oakland’s Phase-Out Moratorium continues to prohibit rent increases beyond the CPI of 2.5% (including banking) on units covered under the RAP Ordinance. Owners of covered units may still file petitions but must wait until after June 30, 2024 before passing along banked or petitioned-based rent increases.

Contemplating a rent increase? Contact a RAP Housing Counselor at 510-238-3721 or rap@oaklandca.gov.

Upcoming Workshops

The Moratorium Workshop (Owner-Focused)

September 20, 2023, 5:30 pm- 7:00 pm

Security Deposits Workshop

September 27, 2023, 5:30 pm- 7:00 pm

The Moratorium Workshop (Owner-Focused)

October 18, 2023, 5:30 pm- 7:00 pm

The Moratorium Workshop (Owner-Focused)

November 15, 2023, 5:30 pm- 7:00 pm

To stay updated on the 2023 Workshop Calendar, please visit our website at http://www.oaklandca.gov/RAP & join the RAP listserv at tinyurl.com/rapsignup.

Continued from page 38

Beacon Properties

Aaron Young | 510.428.1864 beaconbayarea.com

Kasa Properties

Natasha Kapoor-Acuna 510-280-5050 natasha@kasaproperties.com kasaproperties.com

Lapham Company

Jon M. Shahoian | 510.594.7600 laphamcompany.com

Openworld Properties 510.681.7771 openworldproperties.com

Seville Property Management Maya Clark | 510.244.1289 sevillepropertymanagement.com

SKM Property Management

925.820.3921 skm-properties.com/properties

PROPERTY MANAGEMENT

SOFTWARE

Azibo

408.890.1094 | azibo.com

DoorLoop 786.373.5842 doorloop.com

Rent.com

510.206.9403 rent.com

Renter Insight 303.586.4420

Snappt

Kyle Nelson | 310.383.5465 snappt.com

Story by J.P. Morgan Shane Nebbia | 201.961.4022

Yardi Systems 800.866.1124 yardi.com

REAL ESTATE BROKERS & AGENTS

Advent Properties Inc. Darryl Glass | 510.289.1184 dglass@adventpropertiesinc.com

CBRE

Keith Manson | 510.874.1919 cbre.com

Edrington & Associates

Steve Edrington | 510.749.4880 edringtonandassociates.com

Kite Hill Real Estate

Jatin Mehta | 949.929.9562 teamkitehill.com

Lapham Company

Tsegab Assefa | 510.594.0643 laphamcompany.com

Litton / Fuller Group 510.693.5444 littonfullergroup.com

NAI Northern California

Grant Chappell | 510.336.4721 nainorcal.com

Owens Real Estate

Deeana Owens | 510.225.5810 owensrealestate.com

Pacific Coast Real Estate

510.915.9721 | pacificcoastre.com

The Pinza Group

Steven Pinza | 510.725.4775 pinzagroup.com

The Prescott Company David Weglarz | 510.398.1027 theprescottcompany.com

RENTAL SERVICES ReLISTO

Eric Baird | 415-237-1819 relisto.com

ROOFERS

Fidelity Roof Company

Doug Kellor | 510.547.6330 fidelityroof.com

General Roofing Company

Michael Wakerling 510.536.3356 generalroof.com

SEISMIC ENGINEERING & CONSTRUCTION

Quake Brace Manufacturing Company 510.495.1575 quakebracing.com

West Coast Premier Construction, Inc.

Homy Sikaroudi | 510.271.0950 wcpc.inc.com

TENANT SCREENING SERVICE

Intellirent

Cassandra Joachim

415.849.4400 myintellirent.com

TenantAlert

866.272.8400

EBRHAscreening.com

UTILITY BILLING & MANAGEMENT

Livable

877.789.6027

comesave@livable.com livable.com

MCE

925.230.2759

tbrown@mceCleanEnergy.org mcecleanenergy.org

WASTE & RECYCLING MAINTENANCE

Bay Area Bin Support

Nancy Fiame | 888.920.BINS bayareabinsupport.com

Green Glove Heroes

510.862.6061

greengloveheroes.com

WASTE MANAGEMENT

Sewer Master

510.599.3691 sewerninja.com

Thermostat Care

510.224.5086

thermostatcare.org

Waste Management of Alameda County

510.430.850

Last Look

es, which reduces current income tax obligations. Personal property assets might include a building’s nonstructural elements, exterior land improvements and indirect construction costs.”

– Tyler Seeger, managing director of Retirement Being

“Take advantage of bonus depreciation. Look into doing a cost-segregation study where you can speed up the depreciation schedule on your home. The Tax Cuts and Jobs Act made it so you can do bonus depreciation (80% in 2023 and 60% in 2024), which depending on your property, income and occupation situation can greatly reduce your tax burden.” – Jeremy

Werden, founder, BNBCalc

“We have tons of [properties] in the San Francisco Bay Area and California. We asked them what is the major tip they would have for Tax Prep and it’s making sure you have a great CPA.”

– Mose G., Innago LLC

“Keeping precise records of all income and spending related to the property is the best advice for property owners when it comes to tax preparation. You should keep a well-organized system in place as a property owner to monitor rental income, maintenance costs, real estate taxes, mortgage interest, insurance, and any other pertinent charges.” – Greg Rozdeba, president

of Dundas Life

“Regularly closing your books is a must to prevent unwanted changes

from occurring to your accounting data after you generate important financial reports for your accountant or tax professional. It is important that your expenses are recorded in the correct period. Closing your books will ensure that no entries will be mistakenly recorded in incorrect periods, in this way, your statements will accurately reflect your actual income and expenses of each period.” –

Ryan Hawker, CEO and owner of H3 Homebuyers

“Consider a cost-segregation study. This strategic tax planning tool allows property owners to accelerate depreciation deductions. A cost-segregation study identifies and reclassifies personal property assets to shorten the depreciation time for taxation purpos-

“The number one thing to look at when closing your books for year-end is separating which expenses are repairs compared to what are improvements. This is important because repairs are fully deductible in the year spent, but improvements must be depreciated over the lifespan of the item or the general rate for property (27.5 years for residential). So separating out repairs properly can have a huge impact to the bottom line for property owners.” –Crystal

Stranger, EA partner and chief operating officer, Cleer.Tax

“Something that has been very valuable for me at the end of the year has been to meet with other property owners and discuss their strategies. Not everyone is going to be totally forthcoming with you, but the constant changes in tax laws and regulations for property owners are hard to keep track of alone. Meeting up for dinner or a small get-together with other property owners (you host!) allows you to get the details from people like yourself.” –

Cynthia Davies, founder, Cindy’s New Mexico LLC

Property industry professionals shared their number one tax preparation tip.

Soft-Story

State earmarks $250 million in aid for soft story earthquake retrofits!

Our bracing systems cost less, ship sooner, need less space, install faster, and protect better than competing bracing methods.

For a FREE 30-MINUTE PHONE CONSULTATION, email your phone number and building address to: info@ quakebracing.com

LOCAL KNOWLEDGE, LOCAL SUPPORT, LOCAL ADVOCACY, WHEN YOU NEED IT.

EAST BAY RENTAL HOUSING ASSOCIATION (EBRHA) is a nonprofit trade organization representing rental owners and managers of apartment buildings and communities, small multi-unit properties (2-4 homes), condominiums, and single family homes. EBRHA members range in size from small investors with just one property to large property management companies that own or manage hundreds of units. Our membership consists of more than 1,500 rental housing owners, property managers, attorneys and other service contractors. Altogether, EBRHA represents over 43,000 rental units and serves over 25 cities throughout Alameda and Contra Costa counties.

EDUCATION, NETWORKING, & EVENTS:

• Monthly Mixers to meet other housing providers in our community

• Annual in-person events to learn about industry resources and trends

• Open Q+A sessions with board members, industry experts, and other seasoned providers

• Weekly Webinars featuring new services, products, laws, forms, and more!

INDUSTRY UPDATES:

• Subscription to bi-monthly Rental Housing magazine, monthly Rentrospect newsletter, and weekly digest.

• Newsflash, Red Alerts, and more virtual message updates from EBRHA

COMPLIANCE

• EBRHA RPM Certification Courses included with membership

• 1:1 support to help you navigate current laws

• The latest Rental Forms with optional 1:1 consultations (available 24/7 through our digital library)

• Reliable renter screening services through Intellirent

ADVOCACY

• Committees organized around our efforts and mission

• Legal & Political Action Funds

• Rallies, designated lobbyist efforts, and active bill tracking

WHY SHOULD YOU RENEW YOUR EBRHA MEMBERSHIP? ASK YOURSELF:

Has managing rental property expectations/ relationships been a challenge in recent months?

Are there unit vacancies you need to fill right now?

Is it difficult to constantly navigate all the housing legislative changes?

Are you worried about the protection of your property rights?

Do you have at-risk renters who have been paying rent reliably this year?

Have any of your renters not paid rent OR are they paying reduced rent?

8.

Are you unsure who’s defending your business interests?

Are you concerned about the health of your rental housing business in 2023?

Why not join EBRHA?

If you answered “YES” to any of the questions above, then EBRHA is a partner that you can’t afford to be without. Membership provides endless benefits!

DID YOU KNOW?

California: Alameda County

California: Contra Costa County

Founded: March 25, 1853

Population: 1,510,000 Area: 821 Seat: Oakland

Population: 1,050,000 Area: 804 Seat: Martinez

Founded: February 18, 1850

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BAY AREA BIN SUPPORT helps rental property owners, property managers, businesses, and HOA boards with trash management services from start to finish!

SERVICES

Push & Pull Service

Junk Hauling

In-Unit Junk Hauling

Trash Cleanups

Overflow

Management

Compactor Service

Illegal Dumping

Removal

Trash Valet

Waste Sorting

Decontamination

Redistribution

Cardboard

Breakdown

Pressure Washing

Hauler Liaison

Customized Service