Thank you, Jim, for your thorough and comprehensive piece. We are small landlords and are wondering when we will need to exit the market due to the increasingly difficult regulatory environment. Every jurisdiction is developing its own unique set of rules and the Legislature is weighing in. Unfortunately, the result of increased restrictions will be:
1) Small landlords will steadily exit the market and their properties will generally be converted to owner-occupied, thus decreasing the available rental supply;
2) As Jim points out, the remaining rental market will be increasingly dominated by large corporations that can hire legal staff to comply with the complex regulatory environment. Corporate landlords will charge market-rate rents.
So despite the best of intentions, regulatory overreach may result in further erosion of the rental market.
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