AB 1482 Rent Increase Limits for 2025 - 2026: What California Property Owners Need to Know
- Strategic Growth
- 13 minutes ago
- 4 min read
If you’re a landlord in California or a tenant wondering about next year’s rent you’ve probably heard of AB 1482, also known as The California Tenant Protection Act. This law sets a statewide limit on how much rent can be raised each year for certain types of rental properties.
As we head into a new rent cap period August 1, 2025, through July 31, 2026 here’s a simple, up-to-date guide to how AB 1482 works, who it affects, and how to stay compliant.
First, What Is AB 1482?
AB 1482 is a state law passed in 2019 to protect tenants from large, unexpected rent hikes. It applies mostly to older multi-unit buildings (generally 15 years or older) that are not covered by local rent control laws.
Under AB 1482, landlords can only raise the rent once or twice a year and by a limited amount. That amount is based on a formula: 5% + the local inflation rate, measured by something called the Consumer Price Index (CPI). But no matter what the CPI is, rent increases can’t go above 10% in one year.
What Are the New Rent Increase Limits for 2025–2026?
The State of California recently released the updated CPI numbers. These figures determine how much rent landlords can legally increase in each region. Here's what that looks like this year:
Los Angeles & Orange Counties: CPI is 3.0%, so the rent cap is 8.0%
San Diego: CPI is 3.8%, so the rent cap is 8.8%
Riverside & San Bernardino (Inland Empire): CPI is 2.5%, so the cap is 7.5%
San Francisco Bay Area: CPI is 1.3%, so the cap is 6.3%
All other counties follow the same formula: 5% + CPI, never exceeding 10%
So, if you own a qualifying property in LA, for example, the most you can raise rent this year is 8%.
Does AB 1482 Apply to Your Property?
Not all properties fall under AB 1482. It mostly applies to apartment buildings older than 15 years that aren’t already under stricter local rent control rules.
Some properties are exempt, including:
Single-family homes and condos, if they’re owned by individuals (not corporations or REITs) and the tenant received a written exemption notice
New construction (built in the last 15 years)
Affordable housing with deed restrictions
Owner-occupied duplexes
College dorms and some nonprofit housing
If you think your property is exempt, make sure you’ve provided tenants with the correct legal notice. Without that notice, your property could still be subject to AB 1482 rules—even if you’re technically exempt.
How to Legally Increase Rent Under AB 1482
If your property is covered by AB 1482 and you want to increase the rent during the 2025–2026 period, here’s what you need to do:
Figure out your region’s CPI and add 5%. Make sure your total increase doesn’t go over 10%.
Calculate the increase based on the tenant’s current base rent—not including utilities, late fees, or other charges.
Serve a written notice before increasing the rent:
30 days in advance if the increase is under 10%
90 days in advance if the total increase is 10% (even if it’s added up over two increases)
Keep documentation of how you calculated the increase in case a tenant asks or a dispute arises.
Also, you can only increase rent up to two times in 12 months, and the total of both increases must stay under the cap.
What Happens if You Don’t Follow the Rules?
If a landlord raises rent more than allowed under AB 1482, several things can happen:
The increase may be considered invalid, and tenants don’t have to pay it.
Tenants may be able to take legal action to recover overpaid rent.
Local or state agencies may get involved, and the landlord may have to pay fines or penalties.
It’s not worth the risk. Following the law keeps tenants protected and landlords out of trouble.
Why This Matters and How Strategic Growth Can Help
At Strategic Growth Real Estate, we manage rental properties across Los Angeles and surrounding counties. We know how complicated rent control and AB 1482 can feel, especially when the rules change every year.
That’s why we stay on top of the law, the CPI numbers, and the compliance requirements—so our clients don’t have to stress. Whether you’re a landlord looking to increase rent legally or a tenant trying to understand your rights, we’re here to help.
We offer:
Rent increase calculations based on your region and property
Custom notice templates that comply with California law
Lease reviews to ensure your documents include exemption language (if applicable)
Tenant communications to help avoid misunderstandings or disputes
AB 1482 doesn’t have to be a headache. With the right information and a great team behind you, you can stay compliant and keep your rental business running smoothly.
Final Thoughts
Between August 1, 2025, and July 31, 2026, rent increases for most older rental properties in California are limited to 5% plus CPI, with a hard cap of 10%. Depending on your region, that means an allowable increase of anywhere between 6.3% and 8.8%.
If you’re a landlord, make sure you know the rules before sending out rent notices. If you’re a tenant, check your rent notice carefully to ensure it follows the law. And if you need help navigating it all, Strategic Growth Real Estate is just a call or click away.