Blog Rumblings Of Rent Control From Candidates For Election Seasons Nears
Blog Rumblings of Rent Control from Candidates as Election Seasons Nears
The 2016 elections approach, and past issues tend to rise from their graveyards after legislators and judges killed them in the past. At ICOR, we feel a responsibility to inform our membership about real estate trends, economic news, election agendas and government regulations. One of the most enduring issues and a favorite of consumer advocates is rent control despite rulings against controls by the Colorado Supreme Court and state law that overrides any local legislation or "any ordinance or resolution which would control rents." This 1981 law prohibits rent control period, but laws can be changed, and judicial decisions are routinely rendered moot when the laws that guided court decisions are repealed or countermanded.
Election times gets the blogosphere humming with calls for rent control because of Colorado 's deepening affordable housing crisis. One key fact to consider is that rent control only stops future increases and does nothing to make current rents more affordable. Capping rates in any sector of the market essentially removes those homes and apartments from the competitive real estate market, locks-in the status quo and fatally harms small investors who often depend on income streams from their investments to pay their own mortgages. Investors typically use money from property rentals to cover mortgage payments for…