Prop 33 would effectively overturn over 100 state housing laws, including laws making it easier to build nimble housing such as ADUs. It grants local governments broad authority to supersede California’s statewide renter and eviction laws. The proposition lacks any language requiring affordable housing or funding to build affordable housing. Rent control also disincentives mobility as tenants often choose to stay in controlled units longer than they financially need to, reducing overall housing turnover. It also encourages subletting and other informal arrangements that are problematic for owners and tenants alike.
Proposition 33 nullifies the Costa-Hawkins Rental Housing Act of 1995 which prevents local government from limiting the initial rate that landlords may charge new tenants and also prevents local governments from limiting rent increases on existing tenants. The initiative repeal of the Costa-Hawkins Act and would prohibit the state from limiting the right of local governments to enact rent control ordinances.