The Massachusetts House of Representatives passed a bill recently that established the first state-wide rent control policy in the US. This bill, which was initially proposed more than a year ago, sets the foundation for long-term reforms that aim to protect tenants from large rent hikes and unreasonable evictions. It addresses two primary challenges that are commonly experienced by renters: rent increases that are disproportionate to their incomes and evictions with disproportionate impacts depending on the tenant’s race or income level.

The bill was manifested through negotiations among tenant protection advocates, real estate associations, and government officials. It sets a framework that local municipalities can use to create their own rent control laws tailored to fit the needs of their communities.

The new policy creates several provisions that seek to limit rent increases and evictions for a variety of tenants, including senior citizens, veterans, and disabled persons. Specifically, it limits rent increases to 3% of the existing rent for all renters and blocks evictions for no reason other than to make way for a rent hike. It also requires landlords to give tenants greater notice of rent hikes and eviction processes. The state will also provide greater enforcement powers to municipalities.

Overall, this bill sets an example of successful tenant protection legislation by taking into account the needs of both tenants and landlords. A successful implementation of this policy may lead to a positive impact on tenant-landlord relationships, as well as the creation of equitable housing future in Massachusetts and potentially other states around the country.

You can read this full article at: https://www.housingwire.com/articles/massachusetts-finally-passes-ron-legislation/(subscription required)

Note Servicing Center provides professional, fully compliant loan servicing for private mortgage investors so they can avoid the aggravation of servicing their own loans and just relax and get paid. Contact us today for more information.