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Rent control in Arizona? Proposed laws to limit rent increases

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Posted at 5:00 AM, Mar 13, 2023
and last updated 2023-03-13 09:54:31-04

PHOENIX — If you're a renter in Arizona, you know it's been a difficult few years.

Late last summer, a national report found the median rental price in Phoenix increased 46% over the previous year. The increase was 124% in Tucson, according to the Phoenix Business Journal.

According to Rent.com, rents in the Phoenix metro did start dropping slightly by late 2022, but many Arizonans are still on a financial cliff where a large rent increase could put them over the edge and potentially into homelessness.

Homelessness in Arizona increased by 21% from 2020 to 2022 according to the U.S. Department for Housing and Urban Development.

"It's scary, not knowing what you're going to do next," said Josh Diets.

Diets has a steady job and pays his bills on time, but struggled after his rent was raised.

"I knew it was going to go up, but I didn't know it was going to go up that much."

Diets says he lived in the same apartment for years. He expected a rent increase, but when his landlord told him it would increase by more than $800, he couldn't afford it.

He was able to find a new apartment but for a short time, he was homeless and sleeping in his truck.

"It's not right. It's not right and there's nothing anybody can do about it because of the laws in Arizona," Diets said.

Rent control is a divisive topic with strong opinions on both sides.

Right now, Arizona has a statewide ban on rent control by cities and counties.

State Representative Analise Ortiz represents Arizona Legislative District 24. Her proposed bill, HB 2086, would repeal the law that prevents cities from implementing their own rent caps.

"The cost of rent differs from city to city and every city has its own unique need. It's wrong for the state to tell cities they cannot use rent control if it's something they think will bring down the cost of rent in their communities," Ortiz said.

Representative Ortiz is not alone in thinking laws need to change to help keep Arizonans in their homes.

State Representative Judy Schwiebert, who represents Arizona Legislative District 2, proposed HB 2161. The bill would prevent landlords from increasing a tenant's rent by more than 10% over the course of a year but would allow for larger increases if there are major renovations performed.

"Many of the out-of-state, frankly, corporate groups that are buying up housing here in Arizona and renting it out can't just raise the rent that high because they can," Schwiebert said.

Not everyone believes these bills will fix the rental problems.

"Price controls do not work in the rental housing market," said Courtney LeVinus, president and CEO of the Arizona Multihousing Association. The AMA is a trade organization that advocates for the apartment industry and represents members across the state.

"Anything that is done to impose regulation and price controls only drives away potential new construction and new development, which makes our affordable housing situation even worse," said LeVinus responding to the proposed laws.

LeVinus argues, instead of implementing rent caps, the state should focus on eliminating barriers to building new affordable housing units.

Both representatives Ortiz and Schwiebert agree that increasing Arizona's housing supply is a crucial part of tackling our housing crisis. But they argue keeping residents in their current homes through reasonable rent prices is a major part of tackling the crisis as well.  

"Remember that the people whose rent they are increasing are indeed people. They're not pawns in a monopoly game. We're people and we need affordable places to live," Schwiebert said when asked what she would tell corporate landlords. When asked the same question, Ortiz said, "stop taking advantage of vulnerable people treat housing like a human right."

Let your legislator know what you think.

Here's the contact information for all Arizona Senators and Representatives.

If you don't know who your legislator is, you can use the FindMyLegislator site here.

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