California voters appear to be opposed to rent control reform by a large margin, early results show.

Proposition 33 has only earned 37.8% approval compared to 62.2% opposition, with 22.9% of precincts reported statewide.

GV Wire will update results as they come in.

State Divided on How to Make California Housing Affordable

Proposition 33 would eliminate the 1995 law that keeps local governments from enacting rent control on newer apartments and single-family homes. It also would cap rent increases when a unit becomes vacant.

Many on both sides of the political aisle agree that rental costs have exceeded the budgets of many Californians — renters typically pay 50% or more for housing than in other states, according to the secretary of state.

Proponents of Prop. 33 said the best way to address out-of-control housing costs is to allow local governments to enact rent control. By allowing cities to decide on whether to cap rent increases, it could dissuade people fleeing from California because of housing costs, advocates said on the California Secretary of State website.

Opponents say rent control measures exacerbate housing crises as the solution to lower home prices is building more housing. By capping rental revenues, developers would be less incentivized to build, especially as construction costs continue to rise, opponents on the California Secretary of State website said.

Spending on the Prop. 33 campaign — both for and against — far outpaced any other proposition. Opponents of the initiative, largely the California Apartment Association, spent nearly $100 million. Proponents, including the AIDS Healthcare Foundation, spent more than $40 million.

The apartment association even heavily sponsored Prop. 34, which would severely restrict how nonprofits like the AIDS Foundation can spend money, something pundits say was in response to the rent control measure.