Rent Control in Massachusetts: What You Need to Know
Rent control has been illegal in Massachusetts for 30 years, but has recently gained some popularity.
What is rent control?
Rent control is a legal limit placed on rental units that limits how much the landlord can charge on a lease. Rent control laws usually don’t apply to all rentals universally, they are usually targeted by location and housing type.
Is rent control legal in Massachusetts?
Rent control was legal in Massachusetts until 1994, where it was mostly in place in Brookline, Cambridge, and Boston. There are a couple pieces of proposed legislation in 2021 that would allow municipalities to reinstate rent control or allow a rent freeze in Massachusetts, particularly in Cambridge where rent prices have grown enormously over the last several decades, but the state is not close to reinstating it any time soon.
The pros and cons of rent control
Rent control is a divisive issue that is supported by tenant advocates but unpopular with property owners.
Pros
Prevents rent prices from rising to unaffordable rates
Prevents landlords from using price hikes as a tool to displace unwanted tenants
Creates tenant stability
Protects against displacement and gentrification
Cons
Limits landlord rental income
Discourages development and property improvements
Reduces housing availability
Increases financial burdens of owners
The economic impacts of rent control
An extensive MIT study of the impact of rent control in Cambridge showed that it had a great effect on property investments, market values, and lending.
Alternatives to rent control for affordable housing
Opponents of rent control propose some alternatives to prevent rents from becoming unaffordable, such as tax incentives, zoning adjustments, and low-income subsidies like Section 8 expansion.
What can landlords do to learn more about rent control?
For more information on rent control: