Details
California caps how much most landlords can raise the rent. The cap comes from the Tenant Protection Act of 2019, written into Civil Code section 1947.12. It is not a flat number, it does not cover every unit, and in a number of cities a stricter local ordinance replaces it entirely.
The cap: 5% plus inflation, never more than 10%
Section 1947.12 limits the annual increase to 5 percent plus the percentage change in the cost of living, or 10 percent, whichever is lower. The 10 percent figure is a ceiling, not the normal number. In a year when regional inflation runs at 3 percent, the cap is 8 percent — not 10.
The inflation half of that formula is regional, so the exact ceiling depends on which metropolitan area your unit sits in rather than on a single statewide figure. The California Department of Justice and the Department of Housing and Community Development publish the applicable regional figures; check the one for your area before assuming a number.
How often the rent can go up
The statute also limits frequency. The rent “shall not be increased in more than two increments over that 12-month period.” Two smaller increases are allowed; what is not allowed is using them to exceed the annual cap in total.
Which units are exempt
The cap does not apply to everything. Section 1947.12 exempts, among others:
📨 Get Free California Guides Alerts
Free · No spam · Unsubscribe anytime
- Deed-restricted affordable housing
- Student dormitories and housing owned by a K-12 school
- Units already covered by a local rent control ordinance with a lower cap — the stricter local rule governs
- Housing with a certificate of occupancy issued within the last 15 years. This is a rolling window, so a building ages into coverage
- Single-family homes and condominiums, but only where the owner is not a corporation, a real estate investment trust, or an LLC with a corporate member, and the required written notice of exemption was given
- An owner-occupied duplex, where the owner lives in one of the two units as a principal residence
- Mobilehomes, where the resident owns the home rather than renting it
The single-family exemption is the one most often claimed incorrectly. Corporate ownership defeats it, and so does failing to serve the notice.
The statute expires in 2030
Section 1947.12 states that it “shall remain in effect until January 1, 2030, and as of that date is repealed.” Unless the Legislature extends it, the statewide cap ends then. Local ordinances are separate and are not affected by that date.
Your city may have a stricter rule
A local rent stabilization ordinance with a lower cap overrides the state figure for units it covers. Los Angeles, San Francisco, Oakland, Berkeley, Santa Monica, West Hollywood, San Jose and a number of other California cities operate their own programs, each with its own coverage rules, allowable increase, and registration requirements. If your unit is in one of those cities, the local number is the one that applies to you — start with your city’s rent board or housing department rather than the state cap.
If you think an increase is too high
Check three things in order: whether your unit is exempt, whether a local ordinance covers it, and whether the increase exceeds the applicable cap. Where a local ordinance applies, the city’s rent board handles disputes. Where only the state cap applies, enforcement generally runs through the courts, and local legal aid organizations are the usual starting point.
This page describes what the cited California statute says. It is not legal advice. Rent caps with an inflation component change annually — check the source above for the figure in effect on your date.