A new law took effect in California on January first, which affects how much landlords are able to increase rent. The Housing Rights Center held a meeting recently to discuss the new housing and rent policies. 

While the meeting focused largely on the new tenant protections, there are important takeaways for landlords to be aware of. 

How the new legislation affects landlords 

According to The Signal, if you fall under AB 1482 you cannot raise rental prices more than 5% plus the inflation rate for the year. Since the current inflation rate is 3.3%, rental prices cannot increase by more than a total of 8.3% for the current year. 

In addition, you need to provide “just cause” to evict someone living in one of your properties if they have lived there for more than a year. If you happen to remodel your property, you will need to pay one month’s rent to cover your tenants’ relocation costs. 

This new law will continue throughout 2030 but does not apply to buildings built in the last 15 years or certain properties that are not owned by corporations, LLCs with at least one corporate member, or real estate investment trusts. 

What landlords should expect from their tenants 

The Housing Rights Center also called attention to important tenant responsibilities to take reasonable care of the unit they occupy. 

  • Using plumbing, gas, and electrical appliances correctly 
  • Keeping the dwelling clean 
  • Disposing of waste properly 
  • Leaving the structure intact 
  • Notifying the landlord of broken or ineffective locks or security devices 

For landlords who have questions regarding how these new laws affect them, it may be a good idea to contact an experienced real estate attorney. 

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