If your a renter in Sacramento, you more than a bit worried these days. The rumors are true. Rents are on the rise in a big way. Not in small increments but several hundred dollars a month. Gia lived in her Pocket area apartment with her daughter for 15 years, re-signing her lease was a simple formality until last October. Her landlord would only agree to a month to month lease. Her rent increased $150.00 a month and by December it was raised from $1220 a month to $1445. She is currently in the process of moving to Woodland, her new landlord agreed to a one year lease.
There are many Gia’s in Sacramento, many are worried. In many cities, with rent control or rent stabilization, landlords are only permitted to raise the rent significantly if there are major capital improvements, otherwise they are limited to a percentage.
Sacramento, isn’t Santa Monica, San Francisco or New York. There are no laws preventing rent gouging, allowing landlords to increase rents to the moon and beyond.
Gia isn’t out of her old apartment, 15 years is quite a challenge. She loved her old apartment, it was a 10 minute drive to her job in Elk Grove. On this day she is bitter and angry. As she cleared her dining room, her landlord moved in new counter tops, new linoleum and a new dishwasher,something she asked for five years ago, she says its more than a slap in the face .
Its clear, there are people who can afford sixteen hundred dollars for a one bedroom apartment. New apartments are opening in midtown every month with new tenants paying upward of $2300 a month. Between 2016 and 2017 Sacramento had the highest year over year rent increases than any city in the nation.
These rent increases have displaced many Sacramentians and is contributing to the cities homeless population. Throughtout the city, owners are increasing rent by 40% and higher, adding no more than a can of paint. Simply because they can. Welcome to the new gold rush. Greed: Sacramento.