Ab 1482 Allowable Rent Increase

AB 1482 Rent Increase Formula:

\[ \text{Rent Increase} = \min(\text{CPI} + 5\%, 10\%) \times \text{Current Rent} \]

Rent Increase (USD):

New Rent (USD/month):

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1. What is AB 1482 Rent Increase?

The AB 1482 is California's Tenant Protection Act (2019) that limits annual rent increases to the lesser of 5% plus the percentage change in the cost of living (CPI) or 10%, whichever is lower. This applies to most residential properties in California.

2. How Does the Calculator Work?

The calculator uses the AB 1482 formula:

\[ \text{Rent Increase} = \min(\text{CPI} + 5\%, 10\%) \times \text{Current Rent} \]

Where:

\( CPI \) — Consumer Price Index percentage change
\( Current\ Rent \) — The current monthly rent amount
\( 5\% \) — The fixed percentage allowed under AB 1482
\( 10\% \) — The maximum allowed increase under AB 1482

Explanation: The calculation ensures landlords cannot increase rent more than 10% annually, even if CPI + 5% would be higher.

3. Importance of Rent Control

Details: AB 1482 helps protect tenants from excessive rent hikes while allowing landlords reasonable increases to cover increased costs. It applies to buildings more than 15 years old, with some exceptions.

4. Using the Calculator

Tips: Enter the current CPI percentage (available from government sources) and your current monthly rent. The calculator will show the maximum allowable increase and new rent amount.

5. Frequently Asked Questions (FAQ)

Q1: Does AB 1482 apply to all rental properties?
A: No, there are exceptions including single-family homes (unless owned by corporations), newer buildings (less than 15 years old), and some duplexes where the owner occupies one unit.

Q2: How often can rent be increased under AB 1482?
A: Landlords can only increase rent once every 12 months under AB 1482 protections.

Q3: Where can I find the current CPI percentage?
A: The California Department of Industrial Relations publishes the relevant CPI figures for different regions.

Q4: Can local rent control laws be stricter?
A: Yes, local ordinances can provide greater protections than AB 1482, but cannot be less restrictive.

Q5: What if my rent was already below market rate?
A: AB 1482 doesn't guarantee affordable rent, just limits how much it can increase each year. There's no provision to adjust for previous below-market rates.