New Laws Affecting Central Ohio Landlords & Beyond

There are several new pieces of local legislation that affect landlords who own residential property in the central Ohio area. Similar legislation is already making its way across the country. A broad new law package titled “Housing For All” passed by Columbus City Council yesterday, March 8th, 2021. Here is a brief overview of all recent changes (follow the links for more information).

City Rental Registration

Franklin County has always required landlords to register with the county auditor (free). They simply provide contact information so they may be reached if local authorities need to contact them. This system works well and has been in place for decades.

Despite the fact that Ohio law already requires the owners of residential rental property to register with the county, Gahanna felt this wasn’t enough for them, and are now mandating landlords to also register with them and pay a $100 annual fee.

Reynoldsburg is very close to approving similar legislation.

Source of Income Discrimination (Must Allow Section 8)

This legislation was recently passed in Cities of Columbus, Bexley, and Westerville. It requires landlords to include all “sources of income” when determining if an applicant can afford to live in a property, including housing assistance (such as Section 8 vouchers), child support, SSI, alimony, and others. Reynoldsburg is also very close to approving a similar law.

The upshot is that landlords may no longer advertise “No section 8” or decline an applicant simply because they have a section 8 voucher.

Renter’s Choice (Security Deposit Restrictions)

So-called “Renter’s Choice” laws are designed to make housing more accessible to tenants who do not have enough money for a normal security deposit (typically one month’s rent). As passed in the City of Columbus, landlords who own five or more units must allow tenants to pay their security deposit in up to 6 monthly installments, instead of requiring it in full at lease signing or move-in.

Commentary on Columbus “Housing For All” Legislative Package

Councilmember Shayla Favor has been the driving force behind this new set of laws. I personally attended several hearings to testify against the most egregious portions of these laws, and the final versions of these bills are much more logical.

On March 8th 2021, Columbus City Council voted into law three new ordinances (set to take effect on July 1st):

  • Ordinance 0494–2021: Prohibits housing discrimination based on source of income

  • Ordinance 0495–2021: Provides multiple options to pay security deposits

  • Ordinance 0496–2021: Mandates landlords provide receipts to document proof of payment

I encourage anyone who owns rental property within the City of Columbus to stay involved in this discussion:

ABC6/FOX28 asked Favor what she would say to people who feel this isn’t enough or that this is too restrictive to landlords?

“We are looking at ways to mitigate some risk for landlords who may be apprehensive as we begin to roll this out,” she said. “This is just the start of an agenda that I hope to roll out.”

She said more is coming, as well as talks about a risk mitigation fund for landlords to help in case someone doesn’t finish security deposit payments for example.