When wildfires tore through Los Angeles in early 2025, the devastation was immediate and heartbreaking. Entire neighborhoods were displaced, thousands of residents were left searching for temporary housing, and the already-tight rental market felt the pressure overnight. But amid the chaos, another crisis quietly emerged skyrocketing rents that targeted desperate, fire-displaced families.
A new report highlights how Los Angeles is responding decisively to this issue, launching a bold anti-rent gouging effort to protect residents when they are most vulnerable
A Hidden Crisis Exposed: Rent Prices Jump Overnight
Shortly after the fires, longtime housing organizer Chelsea Kirk noticed something alarming in her Eastside neighborhood: a three-bedroom listing priced at $12,000 per month suddenly jumped to over $28,000 per month right after families were displaced and scrambling to find homes.
And this wasn’t an isolated case.
Kirk gathered a group of volunteers who began collecting suspicious listings across the county, tracking every price spike in a shared online spreadsheet. Some increases were subtle. Others were blatant. All were documented.
Before long, more than 1,000 listings had been submitted.
This grassroots effort became a powerful tool not just to show patterns of price gouging, but to pressure state officials to intervene.
The Law Is Clear: No Price Gouging During States of Emergency
California has one of the strongest anti-gouging laws in the country. Under Penal Code 396, landlords cannot raise rent more than 10% during a declared state of emergency unless they meet very specific, documented exceptions.
But many property owners either ignored the rule or claimed they were unaware.
That’s when state officials stepped in.
Attorney General Rob Bonta Responds And Fast
Thanks to the evidence collected by tenants and community organizers, the California Department of Justice launched an aggressive crackdown.
Attorney General Rob Bonta’s office:
Sent warning letters to 500 landlords and hotels
Any property manager or hotel that appeared to raise prices illegally received a formal notice.
Filed charges against at least one real estate agent
This case is expected to set a serious precedent for future violations.
Began reviewing hundreds of complaints
Each submitted listing became part of a statewide investigation.
Bonta made it clear:
“Exploiting disaster victims is not only immoral it’s illegal.”
Why This Matters: LA’s Housing Crisis Leaves No Room for Abuse
Even before the wildfires, Los Angeles faced:
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A severe housing shortage
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Record-high rents
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Low vacancy rates
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A widening gap between wages and housing costs
Disasters like fires, floods, and storms make these challenges worse. When entire communities are forced out of their homes in a single night, the sudden spike in renter demand gives bad actors an opportunity — one the state is determined to shut down.
For families displaced by the fire, rent gouging isn’t just unfair it could push them into homelessness.
How Community Action Made the Difference
This crackdown didn’t start at the government level.
It started with tenants watching out for tenants.
The community-driven spreadsheet:
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Created transparency
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Exposed predatory listings
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Gave journalists hard data
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Equipped state officials with evidence
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Protected displaced families from exploitation
It’s a reminder of how powerful local organizing can be especially when housing markets are stretched thin.
What Tenants Should Know
If you’re a renter in California during a declared emergency:
You are protected by law.
Landlords generally cannot raise rent more than 10%.
You can report violations.
Complaints can be filed with the Attorney General’s Office and local consumer protection agencies.
Screenshots matter.
Save listings, emails, text messages, and timestamps they are often decisive evidence.
What Property Managers & Owners Need to Do
For professionals in housing and real estate including those managing multifamily communities this crackdown is a critical reminder to:
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Review California’s anti-price-gouging laws
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Maintain transparent documentation for any rent changes
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Communicate clearly with applicants and tenants
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Ensure pricing decisions align with emergency declarations
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Train leasing teams on compliance during crises
For companies like McIntire Kingstone or anyone overseeing multiple properties, having a disaster-response pricing SOP is now essential.
If you want, I can create one for you step-by-step.
Looking Ahead: Fair Housing in Times of Crisis
Los Angeles’ fight against rent gouging is about more than housing policy it’s about safeguarding dignity and fairness when people are most vulnerable.
Disasters can’t always be prevented.
But predatory pricing can.
The combined force of community action, strong laws, and swift enforcement shows a path forward for cities everywhere facing climate-driven housing emergencies.
Source: https://www.tpr.org/2025-01-24/los-angeles-anti-rent-gouging-effort