Given the costs associated with living in a prominent city like San Francisco, a landlord attempting to raise the rent can be problematic for tenants. On the other side of the coin, a landlord needs to maintain the property and has various expenses of their own.
While there are protections for tenants in place that prevent a rent increase beyond certain parameters, landlords can still raise the rent if comparable units are more expensive and the rent that is being raised is well below the market level. To do this, the landlord must file a Special Circumstances Petition. Both landlords and tenants should understand this process.
A Special Circumstances Petition could warrant a rent increase
Although the landlord might not be confronted with an increase in the cost of maintaining and operating the property, there could be a viable reason to raise the rent on a unit. The Special Circumstances Petition can be used when the rent on the unit was substantially lower than what is common for the area and extraordinary circumstances were a factor.
There could have been a special relationship between the landlord and tenant or it might have been due to fraud. If the landlord did not raise the rent or raised it a limited amount, then they could have the right to increase it more than the law would normally allow. It is important to remember that just because a person was a tenant for a long time and they had a lower than normal rent for the area, it does not make it a special circumstance.
To pursue this type of increase, the landlord needs to show evidence that the rent increase is justified. From the tenant’s perspective, they can object. If, for example, the landlord did not maintain the property or do necessary repairs, then the increase could be denied. It can also be denied if it is shown that the low rent was not because of extraordinary circumstances. When it is granted, the amount is not set by the landlord, but by an Administrative Law Judge.
Landlord-tenant law can be difficult to navigate
This is just one example of landlord-tenant law that people might not be fully aware of. Whether it is from the viewpoint of the tenant or the landlord, it is vital to have a firm grasp of the law and how to address attempted rent increases and disputes. For this or other issues related to landlords and tenants, it is essential to have comprehensive, experienced and caring guidance.