House Bill 1217- Rent Control, Senate public hearing.

The Tri-City Regional Chamber of Commerce is opposed to House Bill 1217, which aims to cap annual rent increases at 7%, could have unintended negative consequences on affordable housing and the rental market in Washington State. By limiting the potential return on investment for property owners, this bill may discourage developers from building new rental units, thereby exacerbating the existing housing shortage.

Additionally, small landlords, who often provide more affordable housing options, might struggle to cover the maintenance and operational costs under these restrictions. This financial strain could force them to sell their properties or convert them to other uses, further reducing the availability of affordable rentals. The rent cap may also result in landlords automatically increasing rent by 7% every year, whether it is needed.

Moreover, capping rent increases could lead to a decrease in the quality of rental housing. With their limited ability to adjust rents in response to rising expenses, landlords may be less inclined to invest in property upkeep and improvements, resulting in deteriorating living conditions for tenants.Please oppose House Bill 1217.