Keep Californians Housed Act.
The impact of SB 18 is significant, particularly for renters facing the possibility of displacement due to foreclosure. Previously set to expire at the end of 2019, the provisions of SB 18 will now remain in effect indefinitely. This legal assurance protects a vulnerable segment of the population from abrupt eviction and potential homelessness, especially given the alarming statistics indicating that California is facing a rental housing crisis where many renters spend an unsustainable portion of their income on housing.
Senate Bill No. 18, also known as the Keep Californians Housed Act, addresses the ongoing housing crisis in California by amending Section 1161b of the Code of Civil Procedure. The bill mandates that tenants or subtenants with a month-to-month rental agreement must receive a 90-day written notice before being evicted in the event of a foreclosure. Moreover, it ensures that tenants with fixed-term residential leases prior to foreclosure can remain in the property until the lease term concludes, thereby preserving their tenancy rights under specific conditions.
Sentiment around SB 18 tends to be largely supportive among tenant advocacy groups and those concerned about housing inequity. Supporters argue that it is a crucial step towards safeguarding housing stability for families in a state grappling with housing affordability challenges. However, some property owners and real estate stakeholders express concerns about the bill potentially complicating the foreclosure process and discouraging investment in rental properties.
One notable point of contention stems from the provisions regarding just cause eviction ordinances, which the bill stipulates should remain unaffected. Critics argue that this could create a legal gray area, complicating cases where landlords may feel they have valid grounds to evict tenants. Additionally, the burden of proof lies with the purchaser or successor in interest in establishing non-entitlement to protection under the lease terms, which some view as a disadvantage for property owners in foreclosure situations.