San Franciscans can’t find housing because the demand for housing far exceeds the supply. The city builds 3,000 to 4,000 units a year when 300,000 are required. Rather than solve its housing shortage, San Francisco treats the symptom, high rent, by imposing price control. Rent control.
How will landlords fight back? With new landlord-tenant documents:
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Pre-application to Lease:
1) Are you over 27 years of age?
Yes _______ No _______
2) Is your co-signer’s minimum net worth less than $1,000,000?
Yes _______ No _______
3) Are you in favor of rent control?
Yes _______ No _______
4) Are you now, or have you ever been, a member of the Democratic Party?
Yes _______ No _______
__________________________
Tenant Applicant
___________________
Date
If you answered “yes” to any of these questions, your application to rent is hereby denied.
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Commentary:
- If you are over 27 years of age, in a rent-controlled city, the risk to a landlord is that you’ll settle down and start a family. The risk is that you’ll never leave the apartment. In 10 years, the rent will be so low that you will have provided yourself a guaranteed retirement income—at the expense of the landlord who is subsidizing your apartment for life.
- A rent payment, like a mortgage payment, shouldn’t be more than 25 percent of your earnings. If your one-bedroom apartment rents for $4,000 a month, you should be earning $16,000 a month. You don’t; hence, the co-signer.
- If you favor rent control, you will complain to the San Francisco Rent Board whenever something is not to your liking (rather than discuss it with your landlord), and the board will rule in your favor.
- If you are a card-carrying member of the Democratic Party, you will vote for even stricter rent control laws—maybe even sales control laws.
Preamble to Lease
Dear Tenants:
Welcome to San Francisco. Like the city’s expansive views, tenants in San Francisco enjoy expansive rights. Take your newfound rights seriously. They have immediate cash value.
To best determine your new rights, and their approximate cash value, consult an attorney. Search “tenant attorneys” or go directly to the Tenderloin Housing Clinic. You will pay nothing at this time. Tenant services are free. Attorneys charge only if they obtain a judgment in your favor. (This is automatic, but you’ll have to split the reward with the attorney.)
All San Francisco government agencies advocate on your behalf. The most active are the San Francisco Health Department, Department of Building Inspection, and Rent Board. Visit these agencies as soon as possible. They will help you build a case.
Caution: if the building subject to this lease was built after 1976, you are forfeiting rights and privileges. You are forfeiting, for example, the right to declare your building uninhabitable (for the purpose of not paying rent), the right to ask your friends to move in (to help pay the rent, and later, pay the entire rent), and the right to reject a rent raise. Why? Because buildings built after 1976 are not subject to rent control.
In other words, choose your apartment well; it may be for life. Because San Francisco landlords raise rents as high as they can whenever there is a vacancy, your next apartment will be unaffordable. (As a tenant, consider joining a tenant union to get this outrageous law changed.)
ACKNOWLEDGED:
_______________________________
Tenant
_____________________
Date
_____________________________
Landlord
_____________________
Date
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Lease Addendum
In January 2004, the San Francisco Board of Supervisors announced that, except in a public safety emergency, even casual verbal discussion between landlord and tenant constitutes harassment of the tenant. Be advised, then, that communication between landlord and tenant shall be through attorneys only.
WARNING:
Earthquakes in San Francisco are commonplace. There is a good chance the building will collapse and kill you.
Landlord does not warrant the building is seismically safe. Tenant rents at his or her own risk!
The building is and probably will always be out of compliance with current building codes for new construction.
Landlord warrants habitability only as per building codes at the time of the building’s construction (100 years ago).
You, as well as other tenants, will be sneaking in new roommates (which the Rent Board has ruled is not grounds for eviction) without landlord approval. Therefore, landlord hereby warns that there are probably psychopaths living in the building. Tenant rents at his or her own risk!
ACKNOWLEDGED AND APPROVED:
_________________________________________
Tenant
___________________
Date
________________________________________
Tenant’s Attorney
____________________
Date
_________________________________________
Landlord
____________________
Date
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Termination of Lease Agreement
Tenant hereby voluntarily terminates his residency. In consideration, landlord agrees to pay a termination fee based on the following San Francisco Buyout Formula:
Market Rent, plus 10 percent, less Current Rent, times 24
Example:
$3,500 market rent
+ $350 (10%) =
$3,850
– $1,500 current rent =
$2,350
x 24 months =
$56,400 Total Buyout
Tenant hereby agrees to hold landlord harmless with respect to any future claim of unjust enrichment or violation of the San Francisco Rent Stabilization and Arbitration Ordinance.
AGREED and ACKNOWLEDGED:
_______________________________
Tenant
_____________________
Date
_______________________________
Landlord
______________________
Date
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