AB-3088 is Now Law – What Property Investors Need to Know

AB-3088 is Now Law

Tenants Now Protected from Eviction Due to COVID-19-Related Back Rent Through February 1, 2021

Governor Gavin Newsom signed legislation yesterday to protect tenants from eviction due to the economic impacts of COVID-19. Tenants unable to pay all or part of the rent due to a COVID-related reason are protected.



What does this mean for rents owed?

  • Tenants who provide a declaration of hardship according to the legislation’s timelines cannot be evicted before February 1, 2021, as a result of rent owed due to a COVID-19 related hardship accrued between March 4 and August 31, 2020
  • For COVID-19 related hardship that accrues September 1, 2020-January 31, 2021, tenants must pay at least 25% of rent due to avoid eviction
  • Tenants are still responsible for paying unpaid amounts to their landlords
  • Landlords may begin to recover this debt on March 1, 2021
  • Landlords who do not follow the court evictions process will face increased penalties under the Act
  • New legal and financial protections available for tenants

What does this mean for small landlords?

  • Extends anti-foreclosure protections in the Homeowner Bill of Rights to small landlords.
  • It provides new accountability and transparency provisions. These protect small landlord borrowers who request CARES-compliant forbearance.

For additional details on AB-3088, read the full article published by the office of Governor Gavin Newsom.

Additional Resources

Trevor Henson

Trevor Henson is an experienced entrepreneur (10+ highly-successful start-ups) and property investor with a demonstrated history of building and leading teams in investment property management environments, maximizing returns for property owners, and optimizing properties through construction management and re-positioning. He…
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