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New California Rental Laws Taking Effect in 2027: What Landlords and Tenants Need to Know

Writer: Strategic Growth
Strategic Growth
8 hours ago
10 min read

California’s rental housing rules continue to change, and 2027 is an important time for landlords, tenants, and property managers to review their responsibilities.


Understanding new legal requirements before they take effect can help prevent confusion, improve communication, and support better rental property management.


For multifamily property owners, compliance involves more than collecting rent and maintaining buildings. It also means using the correct legal documents, following applicable notice procedures, maintaining safe housing conditions, and understanding the state and local rules that apply to each property.


At Strategic Growth Real Estate, we believe that informed property owners and well-informed tenants are better prepared to manage rental relationships responsibly.

In this guide, we explain an important California legal change scheduled for 2027, review rental rules that will continue to matter, and share practical steps that property owners and tenants can take to prepare.


Please note: This article distinguishes changes scheduled for 2027 from laws that took effect earlier but remain relevant to rental property operations. The information should be checked against official sources before being used for a specific legal decision.


1. Eviction Summons Forms: AB 863

One important change scheduled for January 1, 2027, involves the paperwork used in residential eviction cases.


Assembly Bill 863 (AB 863) requires the California Judicial Council to create a standardized summons form for residential unlawful detainer cases. The form must include specified information in English, Spanish, Chinese, Tagalog, Vietnamese, and Korean and is intended for mandatory use. The Judicial Council is responsible for publishing the form.


An unlawful detainer is the legal process commonly used when a landlord seeks to recover possession of a rental property through the courts.


What does this mean for landlords and property managers?

Landlords and property managers involved in eviction proceedings should review the updated court forms and procedures before filing a case in 2027.

Practical steps include:

  • Confirming that the current required court forms are being used.

  • Reviewing internal procedures for preparing and submitting eviction paperwork.

  • Coordinating with qualified California landlord-tenant counsel when needed.

  • Ensuring that notices, supporting documents, and court filings are accurate and consistent.

  • Training relevant staff on any updated procedures.

Using an outdated form or making an error in a court filing can cause delays or other legal complications. The correct documents and procedures depend on the circumstances of the case.


What does this mean for tenants?

The standardized form is intended to make important information in residential eviction cases more accessible in several languages.

Tenants who receive court papers should read them carefully, pay attention to deadlines, and seek legal assistance promptly if they have questions. A translated form does not replace the need to respond appropriately or comply with court deadlines.

Tenants should not assume that a notice from a landlord and a court summons are the same document. Each may have different legal effects and deadlines.


Practical takeaway: Before January 2027, property managers should review the official California court forms and update their eviction-related procedures. Tenants should seek timely assistance if they receive court documents.


2. Working Stoves and Refrigerators: AB 628

California's appliance requirements are also important for rental property operations.

Assembly Bill 628 (AB 628) established requirements for working stoves and refrigerators in covered rental housing, effective January 1, 2026, subject to the law's terms and exceptions. This is not a new 2027 law, but it remains relevant to property owners and managers throughout 2027.


What should landlords review?

Landlords should confirm that the required appliances are provided and functioning when the law applies. They should also establish a consistent process for inspections, maintenance requests, and repairs.


A practical review should include:

  • Checking the stove and refrigerator before a new tenancy.

  • Documenting the condition of the appliances.

  • Responding promptly to reported problems.

  • Keeping records of maintenance requests and completed repairs.

  • Reviewing any agreement under which a tenant provides their own appliance to confirm that it satisfies the applicable legal requirements.


The law contains specific provisions and exceptions, so landlords should not assume that every arrangement is automatically permitted.


What should tenants know?

Tenants should report appliance problems promptly and keep written records of their requests. If a repair is delayed, they should document the issue and follow the appropriate communication process.


An appliance problem does not automatically authorize a tenant to stop paying rent or terminate a lease. The appropriate options depend on the facts and applicable law.


Practical takeaway: Routine inspections and organized maintenance records help property managers address problems before they become larger disputes.


3. Security Deposit Procedures: AB 414 and Existing California Rules

Security deposits remain an important area of rental compliance in 2027.

Assembly Bill 414 (AB 414) introduced a rule concerning the return of security deposits received through digital payment methods. The law took effect in 2026 and generally requires a landlord to return a deposit through a digital payment method when the deposit was received that way, unless the landlord and tenant agree to another method.

Landlords must also continue to comply with California's existing security deposit requirements.


What should landlords and property managers do?

A consistent move-out process should include:

  • Confirming the original deposit amount and payment method.

  • Documenting the property's condition at move-in and move-out.

  • Reviewing proposed deductions to ensure they are legally permitted.

  • Providing the required itemized statement and refund within the applicable deadline.

  • Confirming the tenant's payment details before issuing the refund.


California generally requires the landlord to return the security deposit balance and provide the required accounting within 21 calendar days after the tenant moves out, subject to specific statutory provisions.


Permitted deductions can include certain unpaid rent, qualifying cleaning expenses, and repairs for damage beyond ordinary wear and tear. Ordinary wear and tear is not a valid reason for a deduction.


What should tenants do?

Tenants should keep copies of their lease, move-in inspection, photographs, payment records, and communications about repairs. When moving out, they should provide appropriate forwarding and payment information.

If a tenant disagrees with a deduction, they can request an explanation and supporting documentation.


Practical takeaway: Clear documentation, lawful deductions, and timely refunds help reduce disputes and support a more professional move-out process.


4. Rent Increases: Verify the Applicable Limits

Rent increases will continue to be an important compliance issue in 2027. However, there is no single rent increase percentage that applies to every California rental property.


California's Tenant Protection Act generally limits annual rent increases for covered properties to 5% plus the applicable change in the cost of living, subject to a maximum of 10%, whichever is lower. Certain properties are exempt, and local rent stabilization laws may impose stricter limits.


What should landlords check before issuing an increase?

Before sending a rent increase notice, property owners and managers should confirm:

  • The property's exact city or county jurisdiction.

  • Whether the property is covered by the Tenant Protection Act.

  • Whether an exemption applies and whether required notices have been provided.

  • Whether local rent stabilization rules impose a lower limit.

  • The applicable notice period and delivery requirements.

  • Whether any additional protections apply to the tenancy.


For example, properties in the City of Los Angeles may be subject to different requirements from properties in unincorporated Los Angeles County or other California cities.


Landlords should not rely on a rent increase percentage from a previous year without confirming that it applies to the date of the proposed increase.


What should tenants check?

Tenants should review the amount of the proposed increase, its effective date, and the notice received. They can also check official state and local resources to determine whether their rental unit has additional protections.


5. Internet Service and Tenant Choice: AB 1414

Another rule that continues to matter in 2027 concerns certain internet service subscriptions offered as part of renting a home.


Assembly Bill 1414 (AB 1414) took effect January 1, 2026. For covered residential tenancies, the law generally requires landlords or their agents to allow tenants to opt out of paying for a subscription from a third-party internet service provider offered as part of residing in the unit.


The law includes specific provisions concerning the covered services, tenant opt-out rights, and potential remedies for noncompliance. It also allows bulk-billing arrangements under the circumstances described in the statute.


What should property managers review?

Property managers should examine any arrangements involving internet subscriptions included in rental housing packages, especially when a third-party provider bills residents.

They should confirm:

  • Whether the arrangement is covered by AB 1414.

  • How tenants are informed of their opt-out rights.

  • Whether billing procedures allow a covered tenant to opt out.

  • How tenant requests are documented and processed.

  • Whether lease language and communications reflect the applicable requirements.

Landlords should not assume that every internet arrangement is treated identically under the law.


What should tenants know?

Tenants who are charged for a third-party internet subscription as part of their rental arrangement should review their lease and ask whether the service is covered by the law.

If they believe their opt-out rights have not been respected, they should keep copies of relevant billing records and communications and seek appropriate guidance.


6. Eviction Notices and Tenant Protections

Eviction procedures remain an area where mistakes can have serious consequences for both landlords and tenants.

California law requires landlords to follow the appropriate legal process when seeking possession of a rental property. The correct notice depends on the reason for the action, the type of tenancy, and any applicable state or local protections.

For example, a notice for unpaid rent is different from a notice involving a lease violation or the termination of a tenancy.

Landlords cannot lawfully force tenants out by changing the locks, removing their belongings, or shutting off essential services instead of following the required legal process.


Best practices for landlords

  • Maintain accurate rent ledgers and copies of lease documents.

  • Confirm the correct legal basis for a notice.

  • Verify the amount demanded and the applicable deadline.

  • Use the correct notice and method of service.

  • Review any just-cause eviction requirements or local protections.

  • Obtain legal advice when the facts or procedure are unclear.


What should tenants do if they receive a notice?

Tenants should read the document carefully, keep a copy, and seek legal assistance promptly if they do not understand it or disagree with the claims.

A landlord's notice is not the same as a final court judgment. However, failing to respond to court papers or meet deadlines can seriously affect a tenant's options.


Practical takeaway: Eviction decisions should never be based on assumptions. Landlords should verify the applicable process before proceeding, and tenants should respond promptly to notices and court documents.


7. State Laws and Local Ordinances: Why Location Matters

California's statewide rental laws do not replace every local housing rule. Depending on the property's location, landlords may also need to comply with local requirements concerning rent stabilization, eviction protections, registration, inspections, and tenant notices.


This is particularly important for multifamily property owners who manage buildings in different cities or jurisdictions.


A requirement that applies to a building in the City of Los Angeles may not apply in exactly the same way to a building in another city or an unincorporated area of the county.


How can property owners prepare for 2027?

A property-by-property review should include:

  • Identifying the city and county where each property is located.

  • Confirming applicable state and local rental regulations.

  • Reviewing rental registration and licensing obligations, where required.

  • Updating lease forms and required disclosures when necessary.

  • Checking current rent increase limits and notice requirements.

  • Reviewing maintenance, inspection, and habitability procedures.

  • Keeping records of tenant communications, payments, and repairs.

  • Monitoring official government updates throughout the year.


Property owners should not rely exclusively on general online articles or assume that one compliance checklist covers every building.


Practical takeaway: A centralized compliance calendar can help a property management team track deadlines, but the legal requirements should still be verified for each property.


8. A Practical 2027 Rental Compliance Checklist

Before the start of 2027, landlords and property managers can use this checklist to organize their review.


For landlords and property managers

  • Review the updated California eviction summons forms and procedures scheduled for 2027.

  • Confirm that required appliances are provided and maintained where applicable.

  • Review security deposit collection, accounting, and return procedures.

  • Check rent increase limits before issuing notices.

  • Review third-party internet billing arrangements for compliance with AB 1414.

  • Confirm local registration, licensing, and inspection requirements.

  • Update lease documents and notices when required.

  • Organize maintenance records, tenant communications, and rent ledgers.

  • Train staff on relevant procedural changes.

  • Consult qualified legal counsel when a situation requires interpretation of the law.


For tenants

  • Keep a copy of the lease and important notices.

  • Save rent receipts and payment records.

  • Report maintenance issues in writing.

  • Review security deposit statements after moving out.

  • Check whether rent increases comply with applicable state and local rules.

  • Review service charges included in the rental arrangement.

  • Keep copies of communications with the landlord or property manager.


This checklist is an organizational tool, not a substitute for legal advice or a complete list of every requirement that may apply to a particular property.


Conclusion: Prepare Early for a More Organized 2027

Preparing for 2027 means understanding which requirements are new, which rules remain in effect, and which obligations depend on the property's location and circumstances.


The updated eviction summons requirements under AB 863 are an important change to monitor. At the same time, established rules concerning appliances, security deposits, rent increases, internet subscriptions, and eviction procedures remain relevant to day-to-day rental property operations.


For landlords and property managers, the best preparation includes reviewing procedures, keeping accurate records, training staff, and confirming requirements before taking action. For tenants, understanding the rules and maintaining clear documentation can help them communicate concerns and recognize when professional assistance may be needed.


At Strategic Growth Real Estate, we believe effective property management is built on responsible planning, clear communication, and attention to the requirements that apply to each property. By reviewing these issues early, property owners and residents can enter 2027 with a better understanding of their responsibilities and a more organized approach to rental housing.


Important legal disclaimer: This article is for general educational and informational purposes only. It is not legal advice and does not create an attorney-client relationship. Laws and court procedures may change, and the application of a law depends on the specific facts, property, tenancy, and jurisdiction. Before making decisions about a particular rental property, eviction, rent increase, or tenant dispute, consult qualified California legal counsel or the appropriate government agency.


Sources

The following official resources provide additional information and should be checked for updates before publication or when applying a rule to a specific property.

  1. California Department of Real Estate — Landlord/Tenant Rights and Responsibilities. The state's 2026 guide explains California rental laws and landlord and tenant responsibilities.https://www.dre.ca.gov/publications/ResourceGuidebook/

  2. California Department of Real Estate — Real Estate Bulletin, Winter 2026. Includes a summary of AB 863 and its requirements for a standardized multilingual eviction summons form by January 1, 2027.https://www.dre.ca.gov/files/pdf/reb/rebwinter_26.pdf

  3. California Department of Justice — Limits on Rent Increases. Explains the statewide rent increase formula and provides information about local rent stabilization rules.https://oag.ca.gov/rentcaps

  4. California Governor's Office — New California Laws Taking Effect in 2026. Provides information on laws such as AB 628 and other changes that remain relevant to rental property operations in 2027.https://www.gov.ca.gov/2025/12/31/new-in-2026-california-laws-taking-effect-in-the-new-year/

  5. California Courts — Eviction Resources. Provides information about eviction procedures and resources for landlords and tenants.https://selfhelp.courts.ca.gov/eviction

  6. California Legislative Information — Official Bill and Statute Search. Use this resource to review the enacted text of AB 863, AB 414, AB 628, AB 1414, and any subsequent amendments or related legislation.https://leginfo.legislature.ca.gov/

 
 
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