California Rent Increase Laws: The Landlord and Tenant Guide
AB 1482 Cap · 30 and 90-Day Notice · Costa-Hawkins · Local Rent Control · Exemptions · Retaliation Limits
California is not a free-market rent state. For most housing, two separate limits apply at the same time: a statewide cap on how much rent can rise each year under the Tenant Protection Act of 2019 (AB 1482), and strict written-notice rules under Civil Code section 827. On top of those sit the Costa-Hawkins Rental Housing Act, dozens of local rent-control ordinances, and anti-retaliation and fair-housing protections. Get all of them right and your increase holds; miss one and a tenant can refuse the overage and use the defect against you. This guide walks the whole framework end to end, in plain English, with every rule tied to a concrete action.
The stakes are practical. An increase that violates the cap, the notice period, or the retaliation rules is not just risky — the unlawful portion is unenforceable, and an improper increase can become a defense if you later try to evict for nonpayment of the raised rent. Because the Consumer Price Index piece of the cap changes every year and local ordinances change on their own schedules, treat every figure in this guide as a starting point and verify the current number for your county and city before you serve anything.
Below, a detailed overview video summarizes the California framework; the sections that follow break down each piece — the AB 1482 cap and how to calculate it, the 30 and 90-day notice rules, when you may raise rent at all, the exemptions, Costa-Hawkins versus AB 1482, local rent control, retaliation and fair housing, the just-cause tie-in, and a step-by-step landlord playbook — plus a California-specific FAQ.
California Rent Increase Rules at a Glance
Statewide Cap
5% + regional CPI, 10% max (AB 1482)
Notice Required
30 days (≤10%) · 90 days (>10%)
Mid-Lease
Not allowed unless lease permits
Local Control
Stricter city caps win
The AB 1482 Statewide Rent Cap
The centerpiece of California rent-increase law is the Tenant Protection Act of 2019, better known as AB 1482. It is codified at Civil Code sections 1946.2 (just cause for eviction) and 1947.12 (the rent cap), and it applies statewide to covered housing. For any property it covers, AB 1482 sets a hard ceiling on how much the rent can go up over a 12-month window — regardless of what the market would bear.
The 5% + CPI Formula, With a 10% Ceiling
The cap works like this: over any 12-month period, rent for a covered unit may not rise by more than 5 percent plus the regional Consumer Price Index (CPI), and in no case by more than 10 percent total. The two numbers work together as a “lower of” rule — you add 5 percent to the applicable regional CPI, and if that sum is above 10 percent, then 10 percent is your maximum. If 5 percent plus CPI comes out below 10 percent, that lower figure is your cap. In practical terms, the 10 percent ceiling only bites in years of high inflation; in ordinary years the cap lands somewhere between roughly 8 and 10 percent, because CPI in most California regions has run in the low single digits.
How the “regional CPI” actually works
The CPI figure is not one statewide number. It is the change in the Consumer Price Index for the specific metropolitan region where the property sits — for example, the Los Angeles area, the San Francisco-Oakland area, the Riverside area, the San Diego area, and so on. Regions without their own federal index use the California statewide CPI. The figure is typically measured on an April-to-April basis and published each year, with the resulting cap applying for the following 12-month window (commonly framed as August 1 through July 31). Because the number is refreshed annually and differs by region, look up the current allowable percentage for your county before setting an increase rather than reusing last year’s figure.
Twice in 12 Months, But the Total Still Governs
AB 1482 does not force you into a single annual increase. A landlord may raise a covered unit’s rent up to twice within any 12-month period — but the two increases combined may not exceed the annual cap. In other words, you cannot use a second increase to sidestep the ceiling; the total of all increases in the rolling 12-month window is what is measured against 5 percent plus CPI (or 10 percent, whichever is lower). Many local ordinances are stricter still and permit only one increase per year, so check the local rule.
No “banking” of unused increases under AB 1482
Under the statewide cap, an increase you choose not to take is gone — you cannot save up several years of unused capacity and apply them all at once. Some local ordinances, such as San Francisco and Oakland, do allow a limited form of banking, so the local rule can differ. When a unit is covered by both AB 1482 and a local ordinance, follow whichever set of rules is more protective of the tenant.
AB 1482’s sunset date
As enacted, AB 1482 is scheduled to expire on January 1, 2030 unless the Legislature extends it. The just-cause and rent-cap provisions rise and fall together on that timeline, while local rent-control ordinances are independent and do not sunset on the same date. Because sunset and extension dates can change through later legislation, confirm the current status before relying on it.
Takeaway
On covered housing, the AB 1482 cap is 5 percent plus regional CPI, never more than 10 percent, measured over any rolling 12-month period. You may raise rent up to twice a year, but the combined total must stay under the cap, and unused increases cannot be banked. Always pull the current regional CPI figure — and verify current law — before you set a number.
Notice: How Many Days You Must Give
Even a perfectly-sized increase fails if you deliver it with the wrong notice. California Civil Code section 827 sets the written-notice periods for a rent increase on a month-to-month tenancy, and the required period turns on how large the increase is over the trailing 12 months.
| Cumulative increase (past 12 months) | Minimum written notice | If served by mail |
|---|---|---|
| 10 percent or less | At least 30 days before the effective date | Add 5 calendar days (about 35 days) |
| More than 10 percent | At least 90 days before the effective date | Add 5 calendar days (about 95 days) |
The 10 percent line is measured cumulatively: it is the total of all increases charged to that tenant over the 12 months before the new increase takes effect, not just the size of the single increase in front of you. If two increases in a year together cross 10 percent, the second one needs the 90-day notice. The extra 5 mailing days come from Code of Civil Procedure section 1013, which applies when the notice is served by mail; hand delivery does not add those days but you lose the paper trail unless you get a signed acknowledgment.
What a Proper Notice Contains and How to Serve It
A defensible rent-increase notice is in writing and states, at minimum: the tenant’s name and the property address, the current rent, the new rent, the effective date, and enough information for the tenant to see the notice period is satisfied. A verbal announcement, a text message, or an email the tenant never agreed to accept as a delivery method is not proper service and does not start the clock. Serve it by a provable method — certified mail with return receipt, personal delivery with a signed acknowledgment, or another method your lease and local rules allow — and keep a copy of both the notice and the proof of delivery.
Longer periods can override the minimum
Section 827 sets a floor, not a ceiling. If a lease, a local ordinance, a recorded regulatory agreement, or a state or federal rule requires a longer notice period than 30 or 90 days, the longer period controls. Rent-controlled jurisdictions frequently layer on extra notice and documentation requirements, so a notice that satisfies the state minimum can still fall short of a city rule.
Takeaway
Give at least 30 days’ written notice for a cumulative increase of 10 percent or less, and at least 90 days for more than 10 percent, under Civil Code section 827 — and add about 5 days when you serve by mail. Put it in writing, serve it by a provable method, and keep proof of delivery.
When You Can Raise the Rent at All
The cap and the notice rules only matter once you actually have the right to raise the rent. That right depends on the tenancy.
During a Fixed-Term Lease: Generally Locked
While a fixed-term lease is running, the rent is set at the agreed amount for the whole term. You cannot raise it mid-term unless the lease itself contains an explicit escalation clause that permits the change — and even then, the increase must still respect the AB 1482 cap and any local ordinance. Absent that clause, the tenant is entitled to the agreed rent through the end of the term.
At Renewal or on a Month-to-Month Tenancy
The two ordinary windows to raise rent are at lease renewal, when a new term begins, and during a month-to-month tenancy, where a landlord may change the rent going forward by serving the proper section 827 notice. On a month-to-month, the increase takes effect only after the full notice period runs; the tenant can accept the new rent and stay, or give proper notice and move out.
A mid-term increase without authority is void
Trying to raise rent partway through a fixed-term lease with no escalation clause does not simply fail quietly — the increase is unenforceable, and a tenant who keeps paying the original rent is in the right. Do not treat a tenant’s silence as agreement. Wait for renewal, or convert to a lawful month-to-month process, before adjusting the rent.
Takeaway
You may raise rent at renewal or on a month-to-month tenancy with proper notice, but never mid-term on a fixed lease unless the lease expressly allows it. The tenancy type decides whether you even have the authority; the cap and notice rules decide how much and how.
Exemptions From the AB 1482 Cap
Not every California rental is subject to the statewide cap. AB 1482 carves out several categories of housing — but the exemptions are narrow, some carry a strict notice condition, and getting one wrong means the cap applied all along.
| Exempt category | The catch |
|---|---|
| Single-family homes and condominiums | Exempt only if the owner is not a REIT, a corporation, or an LLC with a corporate member — AND the landlord gives the tenant the required written notice of exemption in the statutory language |
| Housing built in the last 15 years | A rolling date, tied to the certificate of occupancy; the unit becomes covered once it passes 15 years old |
| Deed-restricted affordable housing | Covered by its own affordability restrictions instead |
| Certain owner-occupied duplexes and some ADUs | Narrow, fact-specific; confirm the exact configuration qualifies |
The Single-Family Home Exemption Hinges on a Notice
The most misunderstood exemption is for single-family homes and condos. It is not automatic. The unit is exempt from the AB 1482 cap only when both conditions are met: the owner is a natural person or another non-corporate entity (not a real estate investment trust, not a corporation, and not an LLC with even one corporate member), and the landlord has given the tenant the specific written notice of exemption that AB 1482 requires, in the statutory language. For tenancies started or renewed on or after July 1, 2020, that notice generally must appear in the rental agreement. If the notice is missing, the single-family home is treated as covered housing and the cap applies — even though the property would otherwise qualify.
The rolling 15-year new-construction exemption
Housing with a certificate of occupancy issued within the previous 15 years is exempt from the cap, but the date rolls forward every year. A building that was 14 years old and exempt becomes covered the year it turns 15. Recalculate annually against the certificate-of-occupancy date for the specific unit rather than assuming a one-time exemption sticks.
Takeaway
Exemptions are real but narrow. A single-family home is exempt only if the owner is non-corporate AND the tenant got the required written exemption notice; new construction is exempt only for its first 15 years on a rolling date. When in doubt, assume covered and verify — a missing notice quietly puts the cap back in force.
Costa-Hawkins: A Different Law, A Different Job
People often confuse AB 1482 with the Costa-Hawkins Rental Housing Act, but they do different things. AB 1482 is the statewide cap on how fast rent may rise. Costa-Hawkins, codified at Civil Code section 1954.50 and following and in effect since 1995, limits what local governments may place under rent control in the first place.
What Costa-Hawkins Exempts From Local Rent Control
Costa-Hawkins takes three categories out of local rent control: single-family homes and condominiums (separately alienable units), and new construction — generally units first issued a certificate of occupancy after February 1, 1995. That is why a city’s rent-stabilization ordinance typically cannot cap the annual increase on a single-family rental or a newer building, even inside a rent-controlled city.
Vacancy Decontrol: Reset to Market on Turnover
Costa-Hawkins also guarantees vacancy decontrol. When a tenant voluntarily moves out, abandons the unit, or is lawfully evicted, the landlord may set the rent for the next tenant at any lawful market amount — local rent control cannot force the starting rent for a new tenancy to stay low. Rent caps constrain increases during a tenancy; they do not cap the opening rent of a brand-new one.
Costa-Hawkins and AB 1482 can both apply
The two laws stack rather than cancel. A single-family home can be outside local rent control thanks to Costa-Hawkins and yet still be covered by the statewide AB 1482 cap — unless the landlord has served the AB 1482 exemption notice discussed above. Do not assume that a Costa-Hawkins exemption from city rent control also frees the unit from the state cap; those are separate questions with separate conditions.
Takeaway
Costa-Hawkins limits LOCAL rent control — it exempts single-family homes, condos, and post-February-1995 construction, and it guarantees vacancy decontrol at turnover. AB 1482 is the separate statewide cap. A unit can be free of city rent control under Costa-Hawkins yet still bound by the AB 1482 cap.
Local Rent Control: The Stricter Rule Wins
AB 1482 is a floor of tenant protection, not a ceiling. Many California cities run their own rent-stabilization programs with caps well below the state number and additional procedures on top. When a local ordinance is more protective, the tenant gets the local rule.
Jurisdictions with their own rent-stabilization systems include, among others, the Los Angeles Rent Stabilization Ordinance, San Francisco, Oakland, Berkeley, San Jose, Santa Monica, and West Hollywood. Their annual caps are frequently in the low single digits — far below 5 percent plus CPI — and many require registration of the unit, a specific notice format, and sometimes rent-board involvement before an increase takes effect.
Check both layers before you set a number
A rent increase can satisfy the AB 1482 cap and still violate a city ordinance. If your property sits inside a rent-controlled jurisdiction, the local cap and procedures govern how much you can raise and how, and AB 1482 becomes the outer ceiling you almost never reach. Confirm the local ordinance for the property’s exact address, because coverage can vary block by block and by build date.
Takeaway
When a city ordinance sets a stricter cap than AB 1482, the local rule controls and the tenant gets the more protective number. In Los Angeles, San Francisco, Oakland, and other rent-stabilized cities, follow the local ordinance first and treat the state cap as the ceiling. Verify coverage for the property’s exact address.
Retaliation and Fair Housing Limits
Two more limits apply on top of the cap and notice rules, and an increase that clears the numbers can still be unlawful if it trips either one.
A Rent Increase Cannot Be Retaliatory
California law prohibits a landlord from raising rent in retaliation for a tenant’s exercise of a legal right — for example, requesting a needed repair, reporting a habitability or code violation, or joining a tenant organization. When an increase follows shortly after protected activity, a retaliation presumption can arise, and the burden shifts to the landlord to show a legitimate, non-retaliatory business reason. The safest practice is to time increases to the ordinary schedule (renewal or an annual anniversary) and to document the market and cost reasons behind the number.
It Cannot Discriminate or Target a Source of Income
A rent increase also cannot be used to discriminate against a protected class under the federal Fair Housing Act and California’s Fair Employment and Housing Act — race, color, religion, national origin, sex, familial status, disability, and the additional classes California adds. California further protects source of income, which since SB 329 (2020) includes housing vouchers such as the Section 8 Housing Choice Voucher. You cannot raise or set rent to push out, or refuse to accommodate, a tenant because they use a voucher or other lawful rental assistance.
Consistency is your best defense
Increases applied evenly across comparable units on a regular schedule are far easier to defend than a one-off increase aimed at a single tenant. A selectively applied hike, or one that lands right after a complaint, invites both a retaliation defense and a fair-housing claim — even when the dollar figure is within the cap.
Takeaway
An increase inside the cap is still unlawful if it is retaliatory (soon after a repair request, code complaint, or tenant organizing) or discriminatory, including targeting a lawful source of income like a Section 8 voucher. Apply increases consistently, on schedule, with a documented business reason.
The Just-Cause Tie-In
AB 1482 does more than cap rent — the same law adds a just-cause eviction requirement for covered tenancies under Civil Code section 1946.2. Once a tenant has continuously and lawfully occupied a covered unit for 12 months or more (or at least one tenant has reached 24 months in a shared tenancy), a landlord generally must state a legally recognized “just cause” to end the tenancy, and certain no-fault terminations require relocation assistance.
This matters for rent increases because the two protections are linked. A landlord cannot use an oversized or improperly noticed rent increase as a back-door eviction of a covered tenant — if the increase is unlawful, the tenant may refuse the overage, and forcing the issue can run into both the cap and the just-cause rules. If you are weighing whether to raise rent sharply or end a tenancy, understand the eviction side first; see our guide to California eviction notice laws and the California eviction process for how just cause operates in practice.
Takeaway
AB 1482 also requires just cause to end a covered tenancy after 12 months under Civil Code section 1946.2. The rent cap and the just-cause rule are two halves of one law — you cannot use an unlawful rent increase to force a covered tenant out.
The California Landlord Playbook
Put the whole framework into a repeatable sequence and a rent increase becomes routine instead of risky. Follow these steps every time.
Confirm coverage versus exemption
Determine whether the unit is covered by AB 1482, covered by a stricter local ordinance, or exempt. For a single-family home, confirm the owner is non-corporate and that the required written exemption notice was actually given.
Calculate the cap for the CPI region
If covered, pull the current regional CPI figure for the property’s county and compute 5 percent plus CPI, capped at 10 percent. If a local ordinance applies, use its lower cap instead.
Check timing and tenancy type
Confirm you have the right to raise rent now — at renewal or on a month-to-month, never mid-term without a lease clause — and confirm the increase is not landing right after protected tenant activity.
Serve the correct 30 or 90-day notice
Use 30 days for a cumulative increase of 10 percent or less, 90 days for more, and add about 5 days when serving by mail. State the current rent, new rent, and effective date in writing.
Document everything
Keep a copy of the notice, the proof of delivery, the CPI figure you used, and a note of the market and cost reasons behind the increase. Consistent, documented increases are the ones that hold up.
Need the notice itself?
A ready-to-fill notice keeps the required fields in place. See our free California rent increase notice form, and the California lease agreement form if you need an escalation clause or a fresh renewal term. Always tailor the numbers to your unit and verify current law.
Common Scenarios, Quickly Answered
✓ Usually Defensible
- Renewal increase within the cap. A 60 to 90-day written notice before renewal, sized at or under 5 percent plus regional CPI.
- Month-to-month raise with proper notice. A written 30-day notice for a 5 percent increase on a covered unit.
- Market reset at turnover. Setting a new market rent for a new tenant after the prior one moves out (vacancy decontrol).
- Consistent annual adjustment. The same schedule applied across comparable units with documented comparables.
✕ Likely Unlawful
- Increase over the cap. Any raise above 5 percent plus regional CPI (or above a stricter local cap) on a covered unit.
- Mid-term hike, no clause. Raising rent during a fixed lease with no escalation clause.
- Post-complaint increase. A raise issued soon after a repair request or code complaint — a retaliation presumption.
- Verbal or under-noticed. A spoken or texted increase, or one served with fewer days than section 827 requires.
Rent Increases Go Smoother With the Right Tenant
The tenants who fight every lawful increase are often the ones who show red flags on screening. Comprehensive credit, income, and eviction-history reports catch the mismatch before you ever sign a lease.
Frequently Asked Questions
How much can a landlord raise the rent in California?
For housing covered by the Tenant Protection Act of 2019 (AB 1482), the annual rent increase is capped at 5 percent plus the regional Consumer Price Index, with a hard ceiling of 10 percent total, over any 12-month period. Whichever number is lower controls, so when 5 percent plus CPI would exceed 10 percent, 10 percent is the maximum. Properties under a local rent-control ordinance are usually held to a much lower cap, and the more protective rule wins. Always verify the current regional figure for your county before you set an increase, because the CPI portion changes each year.
Is my single-family home or condo exempt from the AB 1482 rent cap?
It can be, but only when two things are true. First, the property must not be owned by a real estate investment trust, a corporation, or a limited liability company with at least one corporate member. Second, the landlord must give the tenant the specific written notice of exemption that AB 1482 requires, using the statutory language and, for tenancies started or renewed on or after July 1, 2020, in the rental agreement. If that exemption notice is missing, the single-family home or condo is treated as covered and the cap applies. Confirm current requirements before relying on the exemption.
How much notice must a California landlord give before raising rent?
Under California Civil Code section 827, a landlord must give at least 30 days’ written notice for a cumulative increase of 10 percent or less over the prior 12 months, and at least 90 days’ written notice for an increase greater than 10 percent. When the notice is served by mail, add 5 calendar days under Code of Civil Procedure section 1013. A verbal announcement, a text, or an email the tenant never agreed to is not proper service.
Can a landlord raise the rent in the middle of a lease in California?
Generally no. During a fixed-term lease the rent is locked at the agreed amount unless the lease itself contains an escalation clause that expressly permits a mid-term increase. A landlord may raise rent at lease renewal, or during a month-to-month tenancy, by serving the proper 30-day or 90-day written notice.
What is the difference between AB 1482 and Costa-Hawkins?
They do different jobs. AB 1482 is the statewide rent cap that limits how much rent may rise each year on covered housing. The Costa-Hawkins Rental Housing Act, at Civil Code section 1954.50 and following, limits what local governments may put under rent control: it exempts single-family homes, condominiums, and units first occupied after February 1, 1995 from local rent control, and it allows vacancy decontrol so the rent may reset to market when a unit turns over. A single-family home can be outside local rent control under Costa-Hawkins yet still covered by the AB 1482 statewide cap unless the landlord serves the AB 1482 exemption notice.
Can I raise the rent to market rate when a tenant moves out?
In most cases yes. Under the Costa-Hawkins Rental Housing Act, vacancy decontrol lets a landlord set the rent to any lawful amount for a new tenant after the prior tenant voluntarily leaves, abandons the unit, or is lawfully evicted. The AB 1482 percentage cap limits increases during a tenancy, not the starting rent for a brand-new tenancy. A handful of jurisdictions with special rules can differ, so check the local ordinance.
Does the AB 1482 cap apply to new construction?
No. Housing with a certificate of occupancy issued within the previous 15 years is exempt from the AB 1482 rent cap, and this is a rolling date that must be recalculated each year. A building that was less than 15 years old becomes covered once it passes the 15-year mark. Verify the certificate-of-occupancy date for the specific unit.
Do local rent-control ordinances override the state cap?
When a city ordinance sets a stricter limit than AB 1482, the tenant gets the more protective rule, so the local cap controls. Cities such as Los Angeles, San Francisco, Oakland, Berkeley, San Jose, Santa Monica, and West Hollywood run their own rent-stabilization programs with lower annual caps and extra procedures. If your property sits inside one of these jurisdictions, follow the local ordinance and treat AB 1482 as the outer ceiling.
Can a rent increase be illegal even if it is under the cap?
Yes. A rent increase that is within the numeric cap can still be unlawful if it is retaliatory, for example issued soon after the tenant requested repairs, reported a code violation, or joined a tenant organization, or if it is discriminatory against a protected class or based on a lawful source of income such as a Section 8 voucher. Retaliation and fair-housing rules apply on top of the cap, not instead of it.
Does AB 1482 expire?
As enacted, the Tenant Protection Act of 2019 is scheduled to sunset on January 1, 2030 unless the Legislature extends it. Local rent-control ordinances do not expire on that schedule. Because sunset and extension dates can change, confirm the current status before relying on it.
What is the safest way for a landlord to raise rent in California?
Confirm whether the unit is covered by AB 1482 or a local ordinance or is exempt, calculate the cap using the correct regional CPI figure, serve a clear written 30-day or 90-day notice by a provable method, avoid raising rent mid-term or right after protected tenant activity, and keep a copy of the notice and proof of delivery. Documenting a legitimate, non-retaliatory business reason turns a routine increase into one that holds up.
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