How Much Can a Landlord Increase Rent in Los Angeles

In Los Angeles, the amount a landlord can increase rent is limited by the Rent Stabilization Ordinance (RSO). The RSO applies to all residential rental units built before October 1, 1978, and some units built after that date. Under the RSO, rent increases are limited to a maximum of 3% per year plus an additional amount for capital improvements. The additional amount for capital improvements cannot exceed 10% of the base rent. Landlords must also provide tenants with a 30-day notice before increasing the rent.

Rent Control Laws in the City of Los Angeles

Rent control laws in Los Angeles are designed to protect tenants from excessive rent increases and ensure affordable housing. These laws are in place for both residential and commercial properties.

Exemptions

The following properties are exempt from rent control laws in Los Angeles:

  • Owner-occupied properties with four or fewer units
  • Single-family homes
  • Condominiums
  • Properties built after October 1, 1978
  • Properties subsidized by the government
  • Units offered as temporary housing

Rent Increases

For properties subject to rent control, the amount that a landlord can increase rent is limited. The annual rent increase is based on the Consumer Price Index (CPI) for the Los Angeles area. The CPI is a measure of inflation that tracks the cost of goods and services over time.

The maximum allowable rent increase is typically between 3 and 8%. However, there are some exceptions to this rule. For example, landlords may be allowed to increase rent by a higher amount if they make major improvements to the property.

Security Deposits

Landlords in Los Angeles are also limited in the amount of security deposit they can charge. The maximum security deposit is typically equal to one month’s rent.

Tenant Protections

Rent control laws in Los Angeles also provide a number of protections for tenants. These protections include:

  • The right to a written lease
  • The right to a habitable property
  • The right to receive notice of any rent increase
  • The right to challenge a rent increase

Enforcing Rent Control Laws

The Los Angeles Housing Department is responsible for enforcing rent control laws. Tenants who believe that their landlord has violated rent control laws can file a complaint with the Housing Department.

Rent Control Laws in Los Angeles
Property Type Rent Control Status
Owner-occupied properties with four or fewer units Exempt
Single-family homes Exempt
Condominiums Exempt
Properties built after October 1, 1978 Exempt
Properties subsidized by the government Exempt
Units offered as temporary housing Exempt

Calculating Allowable Rent Increase

Landlords in Los Angeles can increase the rent, but it is subject to certain limits set by the city’s rent control laws. These laws ensure that rent increases are reasonable and do not exceed a specific percentage year-over-year.

In recent years, the allowable rent increase in Los Angeles has been tied to the Consumer Price Index (CPI) for the Los Angeles-Long Beach-Anaheim area. The CPI is a measure of the average change in prices for a basket of goods and services purchased by consumers.

To determine the maximum allowable rent increase for a given year, the following steps are taken:

  1. The CPI for Los Angeles-Long Beach-Anaheim is calculated for the 12-month period ending on June 30th.
  2. The percentage change in the CPI from the previous year is calculated.
  3. The City Council of Los Angeles sets the maximum allowable rent increase based on the CPI change. This increase is typically set at a percentage that is lower than the CPI increase.

For example, if the CPI for Los Angeles-Long Beach-Anaheim increased by 3.5% from June 2021 to June 2022, the City Council might set the maximum allowable rent increase for the following year at 3%. This means that landlords would be allowed to increase the rent by up to 3% for existing tenants.

It’s important to note that the maximum allowable rent increase is just that—a maximum. Landlords are not required to increase the rent by the full amount. The actual rent increase that a landlord offers to a tenant is typically based on a number of factors, including the current market rate for similar units in the area. and the tenant’s rental history.

Allowable Rent Increase Based on CPI
Year CPI Change Allowable Rent Increase
2021 2.5% 2.0%
2022 3.5% 3.0%
2023 4.0% 3.5%

For additional details, please refer to the Los Angeles Housing Department’s website or consult with a local landlord-tenant attorney.

Rent Increase Notices and Timing

In Los Angeles, landlords are required to provide tenants with written notice of any rent increase. The notice must be served to the tenant at least 30 days before the rent increase becomes effective. The notice must include the following information:

  • The amount of the rent increase
  • The date the rent increase will become effective
  • The reason for the rent increase

If a landlord fails to provide the tenant with proper notice of a rent increase, the rent increase is void and the tenant is not obligated to pay the increased rent.

There are some exceptions to the 30-day notice requirement. For example, landlords are not required to provide notice of a rent increase if the rent increase is due to a change in the law or a government-imposed fee. Additionally, landlords are not required to provide notice of a rent increase if the tenant has agreed to the rent increase in writing.

If you are a tenant in Los Angeles and you receive a notice of a rent increase, you should carefully review the notice to make sure that it complies with all of the legal requirements. If you have any questions about the rent increase, you should contact your local housing authority or consult with an attorney.

Rent Control in Los Angeles

Los Angeles has a rent control ordinance that applies to certain rental units. Under the ordinance, landlords are limited in the amount that they can increase rent each year. The rent control ordinance also provides certain protections for tenants, such as the right to a just cause eviction.

The rent control ordinance applies to all rental units in Los Angeles that were built before October 1, 1978. The ordinance does not apply to single-family homes, condominiums, or townhouses that are owner-occupied. For more information on rent control in Los Angeles, visit the website of the Los Angeles Housing Department.

Rent Increase Limits

Year Rent Increase Limit
2021 3%
2022 3.5%

Just Cause Eviction Regulations

In Los Angeles, landlords are subject to strict “just cause” eviction regulations, which limit the reasons for which they can evict tenants. These regulations help protect tenants from unfair or arbitrary evictions and ensure that they have a stable and secure place to live.

The following are some of the most common just cause reasons for eviction in Los Angeles:

  • Non-payment of rent
  • Violation of the lease agreement
  • Creating a nuisance or disturbance
  • Engaging in criminal activity
  • Threatening or harassing other tenants
  • Causing damage to the property

If a landlord wants to evict a tenant for any of these reasons, they must provide the tenant with a written notice of termination. The notice must specify the reason for the eviction and give the tenant a reasonable time to remedy the situation. If the tenant does not remedy the situation within the specified time, the landlord may file an eviction lawsuit in court.

In addition to the just cause eviction regulations, Los Angeles also has a rent control ordinance that limits the amount that landlords can increase rent on certain types of housing. The rent control ordinance applies to most residential properties that were built before October 1, 1978. Under the rent control ordinance, landlords can only increase rent by a certain percentage each year, which is determined by the Rent Stabilization Commission.

Rent Control Ordinance
Year Rent Increase (%)
2023 5%
2024 4%
2025 3%

The rent control ordinance also prohibits landlords from charging tenants more than a certain amount for security deposits and cleaning fees. The maximum security deposit that a landlord can charge is one month’s rent, and the maximum cleaning fee that a landlord can charge is $100.

If you are a tenant in Los Angeles, it is important to be aware of your rights under the just cause eviction regulations and the rent control ordinance. These regulations can help protect you from unfair or arbitrary evictions and ensure that you have a stable and secure place to live.

So, there you have it folks! Now you know all about the ins and outs of rent increases in Los Angeles. I hope this article has been helpful and informative. If you have any more questions, be sure to check out the links I’ve included throughout the article. And don’t forget to come back soon for more updates on all things related to renting in LA. In the meantime, stay informed, stay safe, and happy renting!