Is the Richmond, CA market a good fit for your investment strategy? Learn more about this up and coming area outside of San Francisco and what laws and regulations do you need to be aware of as an investor in the area.
About the Richmond, CA area
Richmond, CA is 16 miles northeast of San Francisco and directly across San Francisco Bay. Samantha Bettencourt, Richmond,CA Property Manager for Mynd, says the Richmond area is an up and coming area conveniently located near San Francisco (35 min away) and Oakland(20 min away).
The city has access to multiple choices of public transportation like BART and AMTRAK and easy access to 2 interstate highways (80 and 580). This makes it an attractive area for families that want to live outside of the city but need to commute for work. Having nearby access to public transportation for a relatively short commute allows families the best of both worlds.
Are rental prices going up?
You can expect the rent to go up steadily year after year.
Stats about the rental market in Richmond CA
- Renters makeup about 46% of the Richmond population
- The median home cost is $525,600
- Home appreciation over the last 10 years has been about 48.1%
- Home appreciation over the last 12 months was 8.3% compared to 6.7% for the US average
- Average rent is about $2,506 for apartments and homes
Industry in the area
The city has a high potential for growth and has been transitioning from heavy industrial to more of a high tech and light industry economy. Biotech companies are an important addition to the city’s businesses.
When a city like Richmond is on the up rise and more tenants are living there, new laws are often enacted. It is important to that you keep up to date on any laws that effect you, your tenants, and your rental property.
What Are the Rental Property Laws, Rules & Regulations in Richmond, CA?
As a Richmond, CA property investor, what laws should you be aware of?
As a rental property owner, it is your responsibility to know that laws that apply to your rental. These include local Richmond city laws, State of California Rules and Regulations, and Federal laws such as Fair Housing and Discrimination laws. Your county and city websites should have up to date information on any local laws, ordinances, or regulations that you need to comply with in addition to the information on State and Federal websites.
Keeping up with all the changes in laws is time-consuming.
This requires that you read through websites frequently, listen to webinars, and attend seminars to stay current on the latest legislation.
- Local laws and regulations which may include city-wide rent control laws and property code that protects your residents. State of California laws and regulations
- Federal laws and regulations such as Fair Housing and Discrimination laws
- Laws regarding service animals and emotional support animals
- NAR can be a great resource
AB-1482 Tenant Protection Act of 2019
- Statewide law that goes into effect on January 1, 2020 and expires on January 1, 2030.
- Requires a landlord to have a “just cause” to terminate a tenancy.
- Limits annual rent increases to no more than 5% + local CPI (CPI= inflation rate), or 10% whichever is lower.
- A tenant may not waive their rights to these protections and any agreement to do so by the tenant is void as contrary to public policy.
There is a lot more to AB1482, and you can research online or reach out to our team to read more about it.
Following the law is your job as an investor
Spending hours a month sifting through legislation to find out what applies to you probably does not sound very exciting. Your time is important. What do you do when you come across a law that overrides another one? What if there are two laws that conflict with each other?
When natural disaster strikes
Local websites can also be helpful resources when it comes to knowing what is going on during any kind of natural disaster. This can be especially helpful if you are an out-of-town or out-of-state investor. You want to make sure you are doing all you can to keep your tenants safe and secure.
Hire a Richmond Property Manager that knows the laws
If you hire a Richmond property management company, they are well informed on the laws,rules and regulations that need to be followed. This could save you many hours a month in time you would have spent researching the updates yourself. A good property manager is going to make sure that your tenant is safe, your property is protected, and all the laws that apply are followed.
Mynd property management is ready to be your strategic partner. If you are looking for an investment property or property management in Richmond, we are here to help you succeed. We offer a FREE rental analysis of your current rental property, so give us a call today.