I’m going over California’s statewide and local rent control laws, including the Rent Stabilization Ordinance, and how each law affects tenants and landlords.
If you own a rental property in California or are planning to, understanding California rental laws is crucial for you to navigate the rental market and protect your investment. Here’s a clear guide to California’s rent control laws, including statewide regulations and city-specific ordinances like the Rent Stabilization Ordinance (RSO), to help you make informed decisions on your rental property:
What is rent control in California? Rent control laws limit how much a landlord can increase rent. In California, these laws vary between statewide regulations and local ordinances, including the RSO in certain cities. The rules differ based on your location and the type of property you have.
Statewide rent control. The California Tenant Protection Act, which went into effect in 2020, established statewide rent control. Under this law, landlords can increase rent by up to 5% of the current rent plus the rate of inflation, with a maximum increase of 10%. However, this doesn’t apply to all properties. Single-family homes, for example, are often excluded from statewide rent control. It’s essential to determine whether your property qualifies for statewide rent control before making any rent changes to avoid legal issues.
"Evictions are more difficult under rent control laws, with strict processes and relocation fees required."
Local rent control and the Rent Stabilization Ordinance. In addition to the statewide law, many cities in California, like Los Angeles, have their own rent control ordinances. These local laws can be stricter than the state guidelines, with the RSO in places like Los Angeles providing more tenant protections.
The RSO limits how much rent can increase and offers specific eviction protections. For instance, in Los Angeles, relocation fees for tenants who are evicted under the RSO can range from $9,000 to $10,000 or more, depending on the tenant’s circumstances.
The RSO also restricts evictions, making it difficult to remove tenants. In some cases, eviction is almost impossible unless landlords offer substantial relocation assistance. These protections are designed to prevent tenants from being displaced unfairly.
Rent increases and eviction protections. Rent increases under local rent control laws like the RSO differ from those under statewide rules. In Los Angeles, landlords can typically raise rent by 4% per year, though this may fluctuate due to local conditions such as natural disasters or emergency situations.
Eviction rules are also more stringent in areas with rent control. In many cities with an RSO, evictions are difficult without following a strict process and offering relocation fees. The legal process is more tenant-friendly and can be a long, costly ordeal for landlords. Always check whether your property is covered by statewide rent control or local ordinances like the RSO.
If you’re unsure how these laws apply to you, it’s always a good idea to consult a real estate attorney to guide you through the process and ensure you comply with all regulations. If you need more information, you can call or text me at (562) 316-2915 or email [email protected]. I’m here to help you navigate the complexities of California’s rent control laws.
