California’s rent increase laws for 2025 maintain statewide protections while introducing new tenant rights and localized adjustments. Here’s what renters need to know:
Statewide Rent Increase Caps
- Maximum allowable increase: 5% plus the local Consumer Price Index (CPI) or 10%, whichever is lower, under the Tenant Protection Act (AB 1482).
- Example: If CPI is 3%, the cap is 8% (5% + 3%). If CPI hits 7%, the cap remains 10%.
- Applies to most residential units, excluding single-family homes (unless corporately owned), newer buildings (<15 years), and duplexes where the owner resides.
Local Adjustments for 2025
- Los Angeles County:
- Rent increases capped at 3% for multifamily units built before 1995 in unincorporated areas. Small landlords (≤10 units) can raise up to 4%.
- LA City’s Rent Stabilization Ordinance (RSO) allows up to 4% + 1-2% for landlord-paid utilities.
- Tenants facing increases above 8.9% (August 2024–July 2025) may qualify for relocation assistance.
- San Francisco:
- Rent-controlled units limited to a 1.4% increase starting March 2025.
- San Diego Area:
- Allowable increase set at 8.6% (August 2024–July 2025).
New Tenant Protections in 2025
- Credit reporting: Landlords with 15+ units must offer tenants the option to report rent payments to credit agencies (AB 2747). Late payments may also be reported.
- Security deposits:
- Landlords must provide itemized deductions, before/after repair photos, and allow tenant presence during move-out inspections (AB 2801).
- Deductions limited to damage beyond normal wear and tear.
- Eviction notices: Tenants now have 10 days (up from 5) to respond to eviction filings (AB 2347).
Key Requirements for Landlords
- Notice periods:
- 30 days for increases ≤10%.
- 90 days for higher increases (though AB 1482 caps increases at 10%).
- Exemptions: Units under stricter local rent control laws follow those rules instead.
Practical Steps for Tenants
- Verify local ordinances: Cities like LA, SF, and Oakland have stricter caps.
- Document communications: Keep records of rent notices and repairs.
- Challenge unlawful increases: File complaints with local housing agencies or seek legal aid.
Summary: While AB 1482 sets a 10% statewide ceiling, local caps in 2025 range from 1.4% to 8.6%, with added protections for credit reporting and security deposits. Tenants should confirm local rules and act promptly if facing noncompliant increases.
Sources:
- https://www.coastlineequity.net/california-rent-increase-2025-guide
- https://oag.ca.gov/consumers/general/landlord-tenant-issues
- https://www.kqed.org/news/12021928/new-laws-california-renters-and-landlords-need-to-know-in-2025
- https://rentpost.com/resources/article/raise-rent-laws-in-california/
- https://members.aagla.org/news/los-angeles-county-allowable-annual-rent-increase-for-2025
