Last week, State Rep. Nancy Guenst, D-Montgomery, and I held a press conference to encourage support for legislation that would limit how much rent can be raised by landlords and prevent increases from significantly outpacing inflation and tenants’ income.
This is why we introduced House Bill 914, which would protect renters by setting limits on how much a landlord can increase their rent by each year, with exceptions for renovations or other legitimate reasons to increase rent beyond the set rate.
The limit would be 3% of the base rent plus inflation or 6% of the base rent – whichever is lower.
Currently in Pennsylvania, more than 43% of renters are considered rent burdened, meaning they spend over 30% of their monthly income on rent.
With the proliferation of cheap money, private equity firms, and the need to deliver large profits to shareholders, these corporations see an untapped revenue source in gouging prices for apartments and rentals.
“This legislation does not take away property rights, nor does it stop development,” said Guenst. “What it does is give local communities the option to put reasonable guardrails in place to prevent sudden, excessive rent spikes that destabilize families and neighborhoods.”
California and Oregon have already enacted similar rent stabilization laws.
The bill is in the House Housing and Community Development Committee, awaiting further action.