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On Thursday, April 10th, the State Senate passed an amended version of HB 1217 which would implement rent control in Washington State. Due to changes made from the House version which was approved in March, the bill must move back to the House of Representatives for a vote of concurrence to be enacted into law. Should it move out of the House and to the Governor for his signature, the bill would become effective immediately due to it having an emergency clause.

As passed by the Senate, the bill would enact the following provisions:

  • Rent increase restrictions: Limited to 10% plus CPI during any 12-month period of the tenancy, after the first 12 months of tenancy.
  • Notice of rent increase: 90 days’ notice is required prior to a rent increase taking effect at the beginning of a new rental period.
  • Exemptions (20 year sunset on the following provisions):
    • Single-family exemptions: Single-family home rentals are exempted from the cap if they are not owned by a corporation, including LLC’s (title is separate from any other dwelling unit). Owners of single-family rentals claiming this exemption must provide a lease agreement which includes language specified by the legislative act.
    • New construction exemption: New construction is exempted from rent control for its first 15 years.
    • Shared living: A dwelling unit in which any of the following apply is not subjected to rent controls:
      • Tenant shares a bathroom or kitchen with the owner, where the owner maintains a primary residence.
      • A tenancy in a single-family, owner-occupied residence, which includes up-to two “room rentals” or an ADU or DADU unit.
      • A tenancy in a 2 – 4 unit property where the owner occupies a unit as their primary residence at the beginning of tenancy and continues occupancy.
  • Rents can reset to any amount as determined by the landlord upon turnover of tenancy.
  • Prohibits a landlord from charging a tenant more than a 5% difference in rent on month-to-month leases over fixed term leases

TPCAR recommends that its members consult the bill for additional details as there are other legislative changes specific to notice provisions, rights to cure, and enforcement / penalties. More comprehensive information will be shared if the bill is signed into law by the Governor.

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