Rent control in California caps most annual rent increases at 5% plus the local rate of inflation, or 10% total, whichever is lower. That ceiling comes from the statewide Tenant Protection Act of 2019 and applies to most rental housing in the state, though several categories of property are exempt. Cities like Los Angeles, San Francisco, Berkeley, Oakland, and Santa Monica layer their own, usually stricter, rent stabilization ordinances on top. The whole statewide framework is currently scheduled to expire on January 1, 2030.
How the Statewide Rent Cap Is Calculated
The Tenant Protection Act of 2019, passed as Assembly Bill 1482 and codified at Civil Code 1947.12, limits a landlord to raising rent by no more than 5% plus the percentage change in the regional Consumer Price Index over any 12-month period. If inflation runs high, the total increase still cannot exceed 10% in that same window. Whichever figure is lower becomes the cap for that year.1California Legislative Information. California Civil Code 1947.12 Because the CPI piece shifts each year with regional inflation data from the Bureau of Labor Statistics, the effective cap changes annually.
The percentage applies to the lowest rent charged for the unit during the preceding 12 months, not the most recent rate. That matters if a landlord offered a temporary discount or concession, because the discounted rate becomes the baseline. A landlord is also limited to two rent increases within any 12-month period, no matter how small each one is.1California Legislative Information. California Civil Code 1947.12
When a tenant moves out and a new tenant signs a lease, the landlord can set the opening rent at any amount. The cap only governs later increases from that initial rate, a form of vacancy decontrol built directly into the statute.1California Legislative Information. California Civil Code 1947.12 Landlords must also give tenants written notice of their rights under the Act.2California Legislative Information. AB-1482 Tenant Protection Act of 2019 – Tenancy: Rent Caps
Which Properties Are Exempt
AB 1482 doesn’t reach every rental in the state. Several categories sit outside its scope, and some of those exemptions require the landlord to take affirmative steps.
- Newer construction. Housing that received its certificate of occupancy within the previous 15 years is exempt. The threshold rolls forward each year, so a building completed in 2010 became covered in 2025, and one completed in 2011 becomes covered in 2026.1California Legislative Information. California Civil Code 1947.12
- Single-family homes and condominiums. Exempt only if two conditions are met. The owner cannot be a corporation, a real estate investment trust, or an LLC with a corporate member. And the owner must give the tenant a specific written notice stating that the property is exempt from the rent cap and just cause rules. Without that notice, the exemption doesn’t apply. The exemption also does not reach a single-family home with a second unit on the same lot, such as an accessory dwelling unit.1California Legislative Information. California Civil Code 1947.12
- Owner-occupied duplexes. If the owner lives in one unit of a two-unit property, the other unit is exempt, again only if the required written notice is given.
- Deed-restricted affordable housing. Properties restricted by deed or regulatory agreement as affordable housing for low- or moderate-income households.1California Legislative Information. California Civil Code 1947.12
- Properties under stricter local rent control. If a local ordinance already limits annual increases to less than AB 1482 allows, the local rule governs.1California Legislative Information. California Civil Code 1947.12
- Dormitories. Housing owned and operated by schools or universities.
The written notice requirement for single-family homes and condominiums catches a lot of landlords off guard. For tenancies that started or were renewed on or after July 1, 2020, the notice must appear in the lease itself. If the landlord never provided it, the unit is treated as covered by AB 1482 regardless of ownership structure.
Notice Required Before a Rent Increase
Civil Code 827 sets the timeline a landlord has to follow before any rent increase takes effect, and the required lead time depends on the size of the increase. If the total increase over the previous 12 months is 10% or less, the landlord must give at least 30 days’ written notice. If the total increase over that same period exceeds 10%, the required notice jumps to at least 90 days.3California Legislative Information. California Civil Code 827
A rent increase served with insufficient notice is not effective on the date the landlord intended. You aren’t obligated to pay the higher amount until the proper notice period has run. This procedural requirement applies regardless of whether the unit is covered by AB 1482 or a local ordinance.
When Local Rent Control Applies Instead
Cities including Los Angeles, San Francisco, Berkeley, Oakland, and Santa Monica run their own rent stabilization ordinances that predate AB 1482 by decades. These local rules are typically stricter than the state cap, often tying annual increases to a fixed percentage of local CPI that comes in well below the state’s 10% ceiling.4State of California – Department of Justice – Office of the Attorney General. Landlord-Tenant Issues Where a local ordinance applies, the tenant gets whichever law is more protective.
In Los Angeles, the Rent Stabilization Ordinance covers properties built on or before October 1, 1978, while newer properties may fall under the city’s separate Just Cause Ordinance or under AB 1482.5Los Angeles Housing Department. Rent Control Property Overview That difference matters a lot: a tenant in a pre-1978 Los Angeles building has stronger protections than a tenant in a 2015 building in a city with no local ordinance. If you aren’t sure which rules govern your unit, your local housing department can tell you.
How Costa-Hawkins Limits Local Rent Control
The Costa-Hawkins Rental Housing Act, codified at Civil Code sections 1954.50 through 1954.535, sets a ceiling on how far local ordinances can go. Even in cities with the most aggressive tenant protections, Costa-Hawkins carves out categories of housing that local governments cannot touch.
Cities cannot apply local rent control to three types of housing: single-family homes, condominiums, and residential units built after February 1, 1995. For cities that adopted rent control before that date, the cutoff may be earlier, set by each city’s own ordinance. In practice, only older multifamily buildings are eligible for local rent stabilization.
Costa-Hawkins also mandates vacancy decontrol statewide. When a tenant leaves a rent-controlled unit, the landlord can reset the rent to the market rate, and no local government can prevent that reset. Once a new tenant moves in, the local rules kick back in for future increases. Over time, this is why long-term tenants in rent-controlled buildings often pay far less than newer neighbors in the same building.
Just Cause Eviction Protections
Rent caps without eviction protection would be hollow, because a landlord could simply end a tenancy and bring in a new tenant at a higher price. Civil Code 1946.2 closes that door by requiring just cause for any eviction after a tenant has lived in the unit continuously for at least 12 months.6California Legislative Information. California Civil Code 1946.2
The law splits permissible reasons into two groups. At-fault just cause covers situations where the tenant did something wrong, like failing to pay rent, violating the lease, engaging in criminal activity on the premises, or refusing to allow the landlord lawful access. No relocation assistance is owed in those cases.
No-fault just cause covers situations where the tenant hasn’t done anything wrong but the landlord has a legitimate reason to end the tenancy. The common ones are the landlord or a close family member wanting to move into the unit, the landlord withdrawing the property from the rental market, or substantial renovation that cannot be completed with a tenant in place. For a no-fault eviction, the landlord must either pay relocation assistance equal to one month of the current rent within 15 calendar days of serving the termination notice, or waive the tenant’s final month of rent.6California Legislative Information. California Civil Code 1946.2
The written termination notice must state the specific just cause reason. Vague or pretextual reasons expose the landlord to legal liability. The same exemptions that take a property outside AB 1482’s rent cap also exempt it from these just cause rules.
What Happens If a Landlord Charges Too Much
Landlords who charge rent above the legal limit face real financial exposure. Civil Code 1947.12 gives tenants the right to sue for the full overcharge, plus injunctive relief ordering the landlord to stop. Courts can also award reasonable attorney’s fees and costs, so a landlord who loses doesn’t just refund the excess, they pay the tenant’s lawyer.1California Legislative Information. California Civil Code 1947.12
Where the overcharge was willful or involved fraud or malice, courts can impose damages up to three times the excess amount collected. That treble damages provision is the statute’s enforcement teeth. A $200 monthly overcharge becomes a potential $600 monthly liability, plus everything that has accumulated. The statute of limitations is three years from when the overcharge occurred.1California Legislative Information. California Civil Code 1947.12
Enforcement isn’t limited to individual tenants. The California Attorney General, along with city attorneys and county counsel, can bring actions to enforce the cap and seek injunctive relief. When the government sues, courts presume the tenant suffers irreparable harm from any violation, which makes an immediate court order easier to obtain.
The 2030 Expiration
The Tenant Protection Act’s rent cap and just cause rules are not permanent. As currently written, both provisions expire on January 1, 2030.2California Legislative Information. AB-1482 Tenant Protection Act of 2019 – Tenancy: Rent Caps After that date, tenants outside of cities with their own local ordinances would lose the statewide cap entirely, and landlords in those areas could raise rent by any amount with proper notice. Legislative efforts to make the protections permanent are underway, but their outcome will depend on the political dynamics in Sacramento over the next few years. Tenants in cities with independent rent control ordinances would keep their local protections regardless.