Statewide cap: 5%+CPI, max 10% · Cal. Civ. Code § 1947.12 (AB 1482)
This guide covers California rent control rules, specifically focusing on the Eviction Risk Map. Our aim is to provide practical, California-specific guidance for landlords owning 1-20 units. Understanding these regulations is critical for compliance and risk management. California’s approach to rent control is distinct, marked by a statewide rent cap and just-cause eviction requirements that apply broadly across the state, even in areas without local rent control ordinances. This dual-layer system means landlords must comply with both state law and any stricter local regulations.
The primary controlling statute for statewide rent control is Cal. Civ. Code § 1947.12, often referred to as the Tenant Protection Act of 2019 (AB 1482). This law sets the baseline for rent increases and eviction procedures for most residential properties in California. Key regulators include the California Department of Real Estate (DRE) for broader landlord-tenant issues, though enforcement of AB 1482 itself typically falls to local courts when disputes arise. Local housing departments or rent boards administer and enforce city-specific ordinances, which can significantly alter the statewide rules. For instance, a city like Los Angeles or San Francisco has its own rent control board with extensive powers to set lower rent caps, hear petitions, and impose penalties.
For a landlord with 1-20 units, the practical bottom line is this: assume your property is subject to statewide rent control unless explicitly exempt. Exemptions are narrow and property-specific. For example, housing built within the last 15 years is exempt from the rent cap, but not from just-cause eviction rules. Single-family homes and condominiums, if owned by a non-corporate entity and where specific notice is provided to tenants, can be exempt from both rent caps and just-cause eviction. However, this notice requirement is often missed, leading to inadvertent non-compliance. Don't assume an exemption applies without verifying all conditions. Do verify all conditions and provide proper notice if seeking an exemption. Failing to provide the correct written notice at the lease start, for instance, can negate an otherwise valid exemption.
California’s posture is unique due to its statewide application of just-cause eviction. This means you cannot evict a tenant without a valid, legally recognized reason. This contrasts sharply with states that permit "no-cause" evictions after a lease term ends. In California, even after a fixed-term lease expires, the tenancy converts to month-to-month and the just-cause rules continue to apply. This significantly impacts a landlord’s ability to regain possession of a property, even for personal use. The default for non-payment of rent remains a 3-day notice to pay rent or quit. However, for a no-cause notice (e.g., if a property is exempt from just-cause eviction and you simply don't want to renew a month-to-month tenancy), a 60-day notice is generally required for tenancies of one year or more. For tenancies under one year, a 30-day notice is common, but always verify local ordinances which may require 60 days regardless of tenancy length.
One concrete example of a common landlord mistake involves rent increases. Under Cal. Civ. Code § 1947.12, annual rent increases are capped at 5% plus the percentage change in the cost of living (Consumer Price Index, or CPI), not to exceed a total of 10%. Let's say the CPI for your area is 3.5%. Your maximum allowable increase is 5% + 3.5% = 8.5%. A landlord might incorrectly assume they can always raise rent by 10% because it's the maximum. This is wrong. You are capped at the lower of (5% + CPI) or 10%. Overcharging, even by a small amount, can lead to tenant lawsuits, treble damages, and attorney fees. Always calculate the specific CPI for your region and apply the correct cap. Also, remember that a security deposit cap is set at 1.00 months' rent for unfurnished residential properties, though some local ordinances might have different rules for furnished units or for tenants with specific circumstances, so always verify.
A recent legislative change, or one frequently discussed in recent legislative sessions, concerns the statewide rent cap. As of recent legislative sessions, there have been proposals to lower the statewide rent cap from the current 5% plus CPI to a lower fixed percentage, or to remove the 10% overall cap entirely, allowing the 5% plus CPI to potentially exceed 10% in high-inflation years. While specific bills may not have passed into law, the ongoing discussion signals a legislative intent to further restrict rent increases. Landlords should monitor legislative updates closely, as what is permissible today could change rapidly. These discussions highlight the political climate surrounding housing in California, emphasizing tenant protection over landlord flexibility. Always confirm the current year's allowable rent increase percentage before issuing any rent increase notices.
| Annual rent increase cap | 5%+CPI, max 10% | Cal. Civ. Code § 1947.12 (AB 1482) |
| Just cause required for eviction | Yes | CA Civil Code §1946.2 (AB 1482) |
| Local rent control allowed? | Yes (subject to any state-law limits) | Costa-Hawkins Act (CC §1954.50) limits but does not preempt local rent control on pre-1995 multi-unit buildings. |
The mechanics, with a worked example.
AB-1482 caps the maximum annual rent increase at 5 percent plus the regional CPI, or 10 percent, whichever is lower. The CPI is measured from April 1 of the previous year to April 1 of the current year, using the U.S. Bureau of Labor Statistics regional figure for the area where the property sits.
For an apartment in Los Angeles, the BLS publishes a "Los Angeles-Long Beach-Anaheim" CPI. For an apartment in San Francisco, the figure is the "San Francisco-Oakland-Hayward" CPI. For inland California, the "West Region" CPI applies. The regional split matters because coastal CPI typically runs 0.3 to 1.5 points higher than inland.
Worked example for a unit in Sacramento, lease renewal effective July 1, 2026, with April 2025 to April 2026 West Region CPI at 3.1 percent: maximum increase is 5 + 3.1 = 8.1 percent. Below the 10 percent ceiling, so 8.1 percent governs. On a $2,400 monthly rent, the maximum permitted new rent is $2,594.40.
The cap is per 12-month period, not per renewal. A landlord cannot get around it by issuing two smaller increases six months apart that together exceed the cap. The statute looks at the rolling 12-month window from any prior increase.
What does not count toward the cap: increases passed through to a new tenant after a vacancy. AB-1482 allows full vacancy decontrol; the cap resets to whatever the market will bear when a new tenant signs.
City overlays that go further. The Los Angeles Rent Stabilization Ordinance (RSO) covers most pre-1978 buildings and caps annual increases between 3% and 8% depending on the year. The San Francisco Rent Ordinance covers most pre-1979 buildings with an annual figure published by the SF Rent Board (recent years: 1.6% to 2.6%). The Oakland Rent Adjustment Program caps at CPI without the AB-1482 5% add. Berkeley caps at 65% of CPI. Santa Monica, West Hollywood, San Jose, Mountain View, East Palo Alto, Beverly Hills, Glendale, and a growing list run their own formulas. Where a city ordinance imposes a stricter cap or stronger tenant protections, the city ordinance applies. AB-1482 acts as a statewide floor; the city is the ceiling.
Notice requirements for any rent increase. Under Cal. Civ. Code § 827, a rent increase of 10 percent or less requires 30 days written notice. An increase over 10 percent (rarely lawful under AB-1482, but applicable for exempt units) requires 90 days. The notice must state the specific new rent amount, the effective date, and (for AB-1482-covered units) include language identifying the unit as covered.
| City | Ordinance | Annual Cap | Just Cause | SFR |
|---|---|---|---|---|
| Alameda | Alameda Rent Program | 70% of CPI | Yes | No |
| Berkeley | Berkeley Rent Stabilization Ordinance | 65% of CPI | Yes | No |
| Beverly Hills | Beverly Hills Rent Stabilization | 3% flat | Yes | No |
| Hayward | Hayward Residential Rent Stabilization | 5% flat | Yes | No |
| Los Angeles | LA Rent Stabilization Ordinance (RSO) | 3% (CPI-indexed, capped) | Yes | No |
| Mountain View | MV Community Stabilization & Fair Rent Act | CPI (capped at 5%) | Yes | No |
| Oakland | Oakland Rent Adjustment Program | CPI (≈3 “5% typical) | Yes | No |
| Richmond | Richmond Fair Rent, Just Cause & Homeowner Act | CPI (capped) | Yes | No |
| San Francisco | SF Rent Ordinance (Ch 37) | 60% of CPI (≈1.4 “2.3% typical) | Yes | No |
| San Jose | San Jose ARO (Apartment Rent Ordinance) | 5% flat | Yes | No |
| Santa Monica | Santa Monica Rent Control Charter | CPI (≈2 “4% typical) | Yes | No |
| West Hollywood | WeHo Rent Stabilization Ordinance | 75% of CPI | Yes | No |
5 percent plus the regional CPI, or 10 percent, whichever is lower, in any 12-month period (AB-1482, codified at Cal. Civ. Code § 1947.12). The regional CPI is the April-to-April change as published by the U.S. Bureau of Labor Statistics. For most California renters in 2026, the practical maximum falls between 8 and 10 percent. Specifically for 2026: West Region 8.1%, LA-Long Beach-Anaheim 8.4%, SF-Oakland-Hayward 8.6%. Cities with their own rent-control ordinances (Los Angeles, San Francisco, Oakland, Berkeley, Santa Monica, West Hollywood, San Jose, Mountain View, East Palo Alto, Beverly Hills, Glendale) may set lower caps that apply instead.
It is exempt only if both conditions are met: (1) the owner is not a corporation, REIT, or LLC with a corporate member; and (2) the landlord gave the tenant written notice of the exemption (Cal. Civ. Code § 1947.12(d)(5)). Both conditions are required. Most landlords who own one or two single-family rentals qualify on the ownership prong but never sent the written notice, which means the unit gets dragged back inside AB-1482 by default. Check the lease for exemption language before relying on either side of this question. SB-518, pending in the 2026 session, would eliminate the written-notice escape hatch entirely; if it passes, the exemption attaches automatically to qualifying single-family rentals regardless of whether the landlord gave notice.
The rent cap provisions sunset on January 1, 2030 under the original AB-1482 framework. Multiple legislative proposals to extend or make permanent have been introduced in recent sessions; AB-1157 is the most active in the 2026 session and would extend the cap through 2040 with additional no-fault-eviction protections. None had passed by the time this page was reviewed. The just-cause eviction provisions in the same bill have a separate timeline that does not sunset on the same schedule. Verify current status at the California Legislative Information site before relying on either.
Where a city ordinance imposes a stricter cap or stronger tenant protections, the city ordinance applies. Los Angeles RSO (Rent Stabilization Ordinance) covers most pre-1978 buildings with sub-3% to 8% annual cap depending on the year. San Francisco Rent Ordinance covers pre-1979 buildings with annual caps tied to a city-specific formula (1.6% to 2.6% in recent years). Oakland, Berkeley, Santa Monica, West Hollywood, San Jose, Mountain View, East Palo Alto, Beverly Hills, Glendale, and a handful of smaller cities have their own systems. AB-1482 acts as a statewide floor; the city is the ceiling. Many tenants in covered cities never realize the city ordinance gives them more protection than AB-1482 and accept rent increases that would be unlawful under the local rule.
The increase above the cap is unenforceable. The tenant may continue paying the lawful capped amount, and the landlord cannot evict for nonpayment of the over-cap portion. If the tenant paid the over-cap amount before realizing the cap applied, they may recover the overpayment plus interest in some circumstances. Some cities (LA, SF, Oakland) have administrative complaint procedures that move faster than civil court. Document the rent history and the lease before challenging an increase. An LA RSO Notice of Violation can be filed online and triggers a city investigation within weeks; the SF Rent Board has a similar petition process. Tenants who challenge unlawful increases administratively almost always win when the documentation is good; tenants who try to litigate in civil court without first filing administratively often lose on exhaustion-of-remedies grounds.
Informational only, not legal advice. Consult a licensed California attorney. Source attribution in the Sources band below.
