The bill’s supporters, including progressive Democrats and housing advocates, said it would help keep people in their homes. But opponents – property owners, Republicans and moderate Democrats – say the cap could limit new development in Washington, raising rents.
The current bill reflects several changes lawmakers made throughout the legislative session, most significantly in the Senate, where moderate Democrats and Republicans approved amendments to build inflation costs into the cap calculation alongside more exemptions for single-family homes not owned by a cooperation. The single-family home exemption did not make it into the final bill.
The original version of the bill, which passed the House earlier this year, capped rent hikes at 7% for most renters and did not address inflation. The Senate also made changes to increase the cap to 10% plus inflation.
The metric used in the bill’s final version, 7% plus inflation, represents a “significant compromise,” said sponsor Sen. Emily Alvarado, D-Seattle. But despite the changes, she said the policy would still give renters in Washington a greater sense of predictability in their housing costs.
The bill includes exemptions for buildings constructed within the past 12 years, low-income housing and housing run by nonprofit organizations. The bill also includes limits on move-in and late fees for Washingtonians living in mobile homes.
Opponents said the bill could have negative lasting impacts on Washington’s housing market.
Rep. Sam Low, R-Lake Stevens, said the policy would be “devastating” for housing providers. “And we need housing providers to be a part of the solution.”
Housing providers have spoken out against the proposal throughout the legislative session, arguing that it would result in many mom-and-pop landlords having to sell their properties without the option to increase rents.
Affordable-housing advocates were disappointed in the cap included in the final bill but cheered its passage as a sign of incremental progress for renters.
“Even a 7% rent increase will force some people to move, disrupting their lives and their communities, and some will have no option but to move into cars, shelters or tents,” said Michele Thomas, director of policy and advocacy for the Low Income Housing Alliance in Washington. “But this bill makes a first step towards sensible protections against egregious predatory rent increases and will deliver increased stability for renter households.”
