New for 2025, California's Assembly Bill 2747 Requires Rental Property Owners With 16 or More Units per Parcel to Report Positive Rent Payment Information to Major Credit Bureaus.
LOS ANGELES - Feb. 18, 2025 - PRLog -- The Apartment Association of Greater Los Angeles (AAGLA) has announced that it has entered an agreement with CredHub, a leading rent payment reporting service, to help rental housing providers comply with California's new Rent Reporting Law, Assembly Bill 2747 (AB 2747) before it becomes effective on April 1, 2025.
With the passage of AB 2747 (California Civil Code 1954.07), California rental housing providers must now provide residents with the option to report their positive rent payments to major credit bureaus—a crucial benefit that can help renters build credit history. The law will be enforced beginning April 1, 2025, making early adoptions essential for property managers to avoid non-compliance penalties.
Who Must Comply with AB 2747?
Under AB 2747, owners and managers of residential rental properties must comply if they own more than 15 rental units on one parcel, however, owners of smaller properties must also comply, but only if they own: (i) multiple residential buildings are owned, regardless of unit count, and (ii) the properties are owned and operate as a real estate investment trust (REIT), corporation, or limited liability company (LLC).
Understanding California's Rent Reporting Law (AB 2747)
The new California rent reporting law, AB 2747, mandates the following compliance steps for those property owners and managers required to comply with this new law:
- All rental properties, with more than 15 units or more than 1 building operating as a REIT, corporation or LLC, must offer rent payment reporting to tenants by April 1, 2025.
- For new leases signed on or after April 1, 2025, the option must be provided at the time of signing and at least once annually thereafter.
- For leases in outstanding as of January 1, 2025, landlords must offer the option to tenants no later than April 1, 2025, and annually thereafter.
- Limits on fees ensure property managers cannot charge tenants more than the lesser of: (i) actual cost, or (ii) $10 per month for the service.
- Compliance with Fair Credit Reporting Act (FCRA) and state regulations to protect tenant rights.
Property managers who fail to comply may face legal and financial consequences, making this agreement between AAGLA and CredHub a crucial resource for ensuring seamless regulatory adherence.
AAGLA and CredHub: Hassle-Free Compliance Solution for Property Managers
Under the AAGLA and CredHub agreement, AAGLA will provide rental property owners and managers with an automated, hassle-free compliance solution via CredHub. CredHub's rent reporting service integrates with all property management systems, ensuring compliance without requiring additional work from landlords or managers. By ensuring tenant rent payments are accurately reported, property managers using CredHub can enhance compliance while also helping tenants build credit and improve financial stability.
The Many Key Benefits of CredHub's Automated Rent Reporting Solution
- Hands-Free Compliance – Property owners and managers do not need to manually track, or report rent payments.
- Seamless Tenant Enrollment – A custom-branded portal allows tenants to opt in easily.
- Affordable Pricing – Tenants pay as little as $2.00 per month.
- Automatic Reporting to Credit Bureaus – Rent payments can be reported to all major credit bureaus such as Experian, Equifax, and TransUnion.
- Full Support for Property Managers – No need to handle tenant disputes or manage reporting manually. CredHub takes care of this for you.
"Our goal at AAGLA is to provide our members with innovative solutions that simplify compliance in this complicated regulatory environment," stated Daniel Yukelson, Chief Executive and Executive Director of AAGLA. "By working with CredHub, we are ensuring that our members who own and manage rental housing can easily comply with the requirements of AB 2747 quickly, affordably, and with minimal effort."
Act Now: Ensure Your Compliance Before April 1, 2025
With the compliance deadline fast approaching, AAGLA urges all property managers and landlords to secure their rent reporting solution now. CredHub makes compliance effortless. For more information on how to get started, visit www.credhub.com or call (833) 888-2733.
About the Apartment Association of Greater Los Angeles (AAGLA). Founded in 1917, the Apartment Association of Greater Los Angeles seeks to promote the highest levels of professionalism within the multifamily rental housing industry. It provides a wide array of services and benefits that meet the needs of rental housing providers of all sizes, including educational seminars and member events, expert operational advice, and an extensive library of forms needed to successfully own and manage rental properties. The Association also serves as a powerful advocate and lobbyist for rental housing providers at the local, county, state, and federal levels of government. For more information, go to: www.aagla.org.
About CredHub. CredHub is a leading provider of automated rent payment reporting services, offering a turnkey compliance solution for property managers and landlords. CredHub seamlessly integrates with major property management systems and reports rent payments to Experian, Equifax, and TransUnion, helping renters build their credit history while ensuring landlords comply with state and federal regulations. Visit www.credhub.com for more details.
Media Contact(s):
Steve Jarvis, Co-Founder & CEO
Credhub
Email: sjarvis@credhub.com
Telephone: (833) 888-2733
Daniel M. Yukelson, Executive Director
Apartment Association of Greater Los Angeles
Email: dan@aagla.org
Telephone: (213) 384-4131; Ext. 322
Photos: (Click photo to enlarge)
Source: CredHub
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