Study says Los Angeles rent prices spiked illegally during historic wildfires
A new study by a tenant advocacy group shows a major increase in rent prices across the Los Angeles area during Southern California’s recent wildfires despite laws preventing price gouging during emergencies.
Concern grew among advocates who say they noticed listings on the real estate marketplace Zillow grow significantly more than the 10% legal limit as the number of homes destroyed in the Palisades and Eaton fires grew into the thousands.
According to The Rent Brigade report, “landlords engaged in widespread rent gouging, with our analysis identifying 1,343 instances of illegal rent increases totaling $7.7 million monthly.”
The study noted that new listings in West Hollywood, Hollywood, Malibu and Venice were among the worst in the number of rent-gouged properties.
| Neighborhood | ZIP Code | # of Listings |
|---|---|---|
| West Hollywood | 90046 | 60 |
| Malibu | 90265 | 53 |
| West Hollywood | 90069 | 41 |
| Hollywood | 90068 | 34 |
| Venice | 90291 | 32 |
| Beverly Hills | 90210 | 31 |
| West Hollywood | 90048 | 29 |
| Westwood | 90024 | 25 |
| Studio City | 91604 | 24 |
| Manhattan Beach | 90266 | 23 |
“This is a textbook example of disaster capitalism, where greed flourishes in the midst of crisis, leaving displaced individuals and precariously housed tenants to bear the brunt of exploitation,” the study stated.
Tenant advocates called on law enforcement agencies to take immediate action to hold violators accountable.
Meanwhile, a second real estate agent was charged for allegedly attempting to price gouge a family evacuated due to the Eaton Fire, California Attorney General Rob Bonta announced Tuesday.
“The defendant, another Southern California real estate agent, offered the family a new price that exceeded the listing price by more than 50%, which is in excess of the 10% limit laid out in Penal Code section 396 while the Governor’s Emergency Orders are in effect,” the California Department of Justice stated in a news release.