Bonta alerts California renters to new caps on rent hikes

Above: Nexstar Media video about whether to buy or rent a home.

SAN DIEGO (FOX 5/KUSI) — California Attorney General Rob Bonta issued a consumer alert on Friday to inform renters about new caps on how much landlords can increase rent that recently went into effect.

The limitations were imposed by a state bill passed back in 2020, known as the Tenant Protection Act, expanding safeguards for tenants in California from things that could result in displacement from their home — like no-fault evictions and significant rent hikes.

A second bill signed into law last year built off these protections by adding new enforcement mechanisms.

Under these laws, rent increases for most landlords are limited to 10% or 5% plus the year-over-year percent change in a metro’s cost of living — whichever is lower. New caps are set every year, applying for the period of time from Aug. 1 to July 31.

“At a time when rent prices continue to be a top concern for Californians, my office is publishing two consumer alerts to remind both landlords and tenants of the allowable rent-increase caps under the Tenant Protection Act and local law,” Bonta said in a press release on the alert.

For big metros like Los Angeles and San Diego, the rent increase caps under the Tenant Protection Act are calculated based on the U.S. Bureau of Labor Statistics’ Consumer Price Index from either the month of March or April.

All other parts of the state use Consumer Price Index from the California Department of Industrial Relations.

According to Bonta’s office, the latest update caps the amount landlords can raise rents between Aug. 1, 2024 and July 31, 2025 by are:

• Los Angeles, Orange Counties – 8.9%
• Riverside, San Bernardino Counties – 9.3%
• San Diego County – 8.6%
• San Francisco County – 8.8%
• All other counties – 8.8%

These caps apply to most rental housing older than 15 years, including single-family homes and condos owned by corporations, mobile homes and units rented with Section 8 housing vouchers.

However, some cities or counties may have stronger restrictions on rental unit price increases. The Attorney General’s Office urges renters to check with local housing authorities to understand what other rent control measures might impact price changes.

“The bottom line is this: The Tenant Protection Act sets a floor — not a ceiling. If your city or county has stronger rent-increase protections than those provided by the Tenant Protection Act, that city or county’s protections take precedence,” Bonta added.

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