Big Win for Orange County Landlords: AB 1157 Halted in California

California landlords, including many in Orange County, have scored a significant victory as the controversial rent control bill, AB 1157, has been stalled—potentially halting its progress until at least 2026. This outcome marks a moment of relief for rental property owners concerned about the proposed sweeping changes to housing laws and underscores the power of organized advocacy.

Here’s what you need to know about this major development:

What Was AB 1157?

Authored by Assemblyman Ash Kalra (D-San Jose), AB 1157 sought to impose stricter rent control measures statewide. Here are the key provisions the bill proposed:

Reducing allowable rent increases from 5% plus inflation to 2% plus inflation.
Eliminating exemptions for single-family homes and condominiums.
Extending rent caps indefinitely by removing the law’s current 2030 sunset date (as outlined in AB 1482).

While proponents argued these measures would protect tenants amid California’s housing crisis, critics warned of unintended consequences that could worsen the state’s housing shortage.

Why Was AB 1157 Stalled?

The California Apartment Association (CAA), along with a coalition of rental property owners and pro-housing advocates, mounted a coordinated effort to oppose AB 1157. Key reasons cited for opposition included:

Impacting Housing Supply: Rent control policies often discourage investment in new housing and exacerbate affordability issues. The Legislative Analyst’s Office has echoed these concerns.
Harm to Small Landlords: Many small rental housing providers are still recovering from the financial challenges of the pandemic, including unpaid rents during COVID-19 eviction moratoriums.
Risk of Slowed Housing Growth: The bill would have extended price controls to accessory dwelling units (ADUs)—one of the few housing types showing growth in recent years.

“Thousands of rental housing providers wrote letters to lawmakers, and more than 150 came to the Capitol to oppose this bill in person,” said Tom Bannon, CEO of the CAA. He emphasized the collaborative advocacy that contributed to this legislative outcome.

The Role of Advocacy

The concerted efforts of landlords and pro-housing groups were critical in halting AB 1157’s progress. Here’s how the movement unfolded:

A broad coalition of rental property owners voiced opposition, many traveling to Sacramento to make their concerns heard.
Pro-housing organizations like California YIMBY and YIMBY Action joined the opposition, arguing that the bill could worsen the housing crisis.
CAA’s lobbying team leveraged data and historical trends to make a compelling case against the bill.

This collective advocacy sent a strong message to lawmakers about the potential economic consequences of expanded rent control.

What’s Next for Orange County Landlords?

Although AB 1157 is off the table for now, landlords should remain vigilant. The bill could resurface, or similar proposals may emerge in the coming legislative sessions. The CAA has committed to continuing its opposition to policies that limit housing creation and harm property rights.

Here are some steps landlords can take to stay informed and prepared:

Stay Engaged: Join local landlord associations and advocacy groups to stay updated on legislative developments.
Understand the Current Laws: Familiarize yourself with the provisions of AB 1482, California’s existing rent control law, to ensure compliance while protecting your investments.
Voice Your Concerns: Participate in public hearings or write to your local representatives when new legislation could impact your rights as a property owner.

Key Takeaways for Landlords

This victory highlights the importance of landlord advocacy and key lessons for the future:

Rent control policies, while well-intentioned, can have unintended consequences, such as discouraging housing development.
Unified action by landlords and housing advocates can influence legislative outcomes.
Staying informed about housing laws and actively participating in advocacy efforts is critical to protecting your property rights.

TrueDoor Property Management: Helping Landlords Succeed for Over 18 Years

One of the best ways to navigate the ever-changing rental housing landscape and maximize your investment is by working with a trusted property management company. That’s where TrueDoor Property Management comes in.

For over 18 years, TrueDoor has been helping Orange County landlords:

Increase profitability by optimizing rent prices and minimizing vacancies.
Stay compliant with local and state housing laws.
Simplify operations with expert handling of tenant relations, maintenance, and financial reporting.

With TrueDoor by your side, you can focus on what matters most while we ensure your rental property performs at its best. Our experienced team is here to help you navigate challenges and create a more profitable future.

In Conclusion

For Orange County landlords, AB 1157’s defeat represents a significant win, ensuring that property owners can continue to operate without the added strain of stricter rent caps and broader eviction controls—for now. However, this victory is also a reminder to stay proactive and engaged in legislative developments.

If you’re ready to take your rental property investments to the next level, TrueDoor Property Management is here to help. With nearly two decades of experience, we’re trusted by landlords across Orange County to make property ownership more profitable and stress-free.

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