Victims of the inferno that razed through multiple areas in Los Angeles are now facing another challenge: massive price gouging from some landlords.
Huge wildfires have torn through Los Angeles since last Tuesday, leveling neighborhoods in some areas. The Palisades Fire, for example, burned through over 23,700 acres since last week and is currently only 13% contained. Authorities from Cal Fire estimate that the Palisades Fire alone has destroyed more than 5,000 homes.
More than 150,000 people have been ordered to evacuate their homes, with some looking for other places to live. However, many have reported difficulties finding homes or rentals as landlords jack up prices.
Price Gouging in LA
In one case, 50-year-old stylist Maya Lieberman put in an application for a home listed at $17,000 a month. The landlord contacted her later and said they were not going to get the property unless they were willing to pay at least $30,000.
"They told me they have people ready to offer more and pay cash. It's absolutely insane," Lieberman said, as quoted by Fortune.
"Selling Sunset" star Jason Oppenheim, 47, also shared an example of price gouging. He claimed a landlord initially asked his client for $13,000 a month but decided to raise the price to $23,000. That was despite the client offering to pay $20,000 monthly and six months upfront.
Tenant rights advocate Chelsea Kirk has launched an open database of over 100 Zillow listings where landlords have raised asking prices beyond the legal limits. In some cases, landlords increased prices by up to 75%.
Is Price Gouging Legal?
Price gouging is illegal. Landlords cannot raise prices beyond a 10% increase during a declared emergency, including for rental housing. These protections remain in effect for at least 30 days but can be longer if officials extend them. Landlords caught violating the law can be fined up to $10,000 or imprisoned for up to a year.
Housing advocates are now calling on local leaders to implement a rent freeze and eviction moratorium in the wake of the devastating LA wildfires.
