California rental law is among the most complex in the nation, with extensive tenant protections that landlords must navigate carefully. Understanding these laws isn't just about compliance—it's about protecting your investment and avoiding costly legal mistakes. This guide covers the essential California rental laws every landlord needs to know.
The Tenant Protection Act of 2019 (AB 1482)
AB 1482, extended through 2030, is the most significant California rental law in decades. It establishes statewide rent control and eviction protections for most residential properties.
Rent Increase Limits
For covered properties, annual rent increases are capped at 5% plus local Consumer Price Index (CPI), with a maximum of 10% regardless of CPI. This applies to increases over any 12-month period—landlords cannot circumvent the cap by raising rent multiple times.
Just Cause Eviction Requirements
After a tenant has occupied a covered property for 12 months, landlords can only evict for specific "just causes." At-fault causes include nonpayment, lease violations, nuisance, criminal activity, and refusal to allow access. No-fault causes include owner move-in, withdrawal from rental market, and substantial renovation—but require one month's rent as relocation assistance.
Exempt Properties
Key exemptions include single-family homes and condos (if proper written notice provided), properties built in the last 15 years, owner-occupied duplexes, and affordable housing with existing deed restrictions. Even exempt properties must provide the required notice of exemption to tenants.
Security Deposit Laws
California's security deposit laws changed significantly in 2024. Maximum deposits are now limited to one month's rent for most properties (previously two months unfurnished, three furnished). Landlords have exactly 21 days after move-out to return the deposit with an itemized statement of any deductions. Deductions must be supported by receipts or good-faith estimates, and are limited to unpaid rent, cleaning to return unit to move-in condition, and repair of damage beyond normal wear and tear.
Penalty Warning: Landlords who fail to return deposits properly or act in bad faith can be liable for up to twice the deposit amount plus the deposit itself. Courts take these violations seriously.