Riverside, CA asked in Contracts and Landlord - Tenant for California

Q: In LA county Ca, I signed a lease which increased my rent 40%. I saw there may be a new law that makes this illegal?

If this law is correct, and I can only be obligated to pay a 10% increase, does my lease for the next year still stand.

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2 Lawyer Answers
James L. Arrasmith
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Answered
  • Landlord Tenant Lawyer
  • Sacramento, CA
  • Licensed in California

A: In August 2022, the California legislature passed AB 1482, also known as the Tenant Protection Act of 2019. This law caps annual rent increases at 5% plus the local rate of inflation, or 10%, whichever is lower. The law applies to most properties in California, with some exceptions like those built within the past 15 years.

If your rental property falls under the jurisdiction of AB 1482 and your rent increase exceeds the allowable limit, the excessive portion of the rent increase would be considered invalid. However, the rest of your lease agreement would likely still be enforceable.

In your case, if the property is covered by AB 1482, the landlord can only legally increase your rent by a maximum of 10%. You would only be obligated to pay the allowable increase, and the remaining 30% of the increase would be void.

It's important to note that some cities and counties in California have their own local rent control laws that might provide additional protections. I recommend checking with your local city or county housing department and considering seeking legal advice to better understand your rights and obligations under your specific lease agreement and local laws.

Delaram Keshvarian
Delaram Keshvarian
Answered
  • Landlord Tenant Lawyer
  • Orange, CA
  • Licensed in California

A: Thank you for asking the question!

1. Is your property "Commercial" or "Residential"?

Rent control in Los Angeles County primarily applies to residential properties, not commercial ones. Residential rent control ordinances typically limit how much landlords can increase rent annually and provide protections for tenants against unjust evictions.

2. Many residential cities in Los Angeles County have "rent stabilization local rules rules":

rent increase limits in Los Angeles County can vary depending on whether your rental unit is covered by local rent control laws or the California statewide rent cap.

a. Statewide California Rent Cap: Under California's statewide rent control, the maximum allowable rent increase is set at 5% plus the percentage change in the cost of living, or 10%, whichever is lower. This applies to most rental properties that are more than 15 years old.

b. Local Rent Control Laws: In cities like the City of Los Angeles that have local rent control ordinances, the rules might be different. For instance, the City of Los Angeles, under the Rent Stabilization Ordinance (RSO), typically sets a different annual allowable rent increase (such as 3% to 8%, varying annually based on the Consumer Price Index). It's important to check both the specific municipal ordinance applicable to your location within Los Angeles County and the most recent adjustments to these regulations. Local housing departments or a legal advisor can provide up-to-date information tailored to specific situations.

This is merely discussion of general laws and not a legal advice. For a comprehensive advise, more specific facts and investigation are needed. I recommend you consult with an attorney in more detail.

Please let me know if you need further assistance.

Wish you luck.

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