1. What is the California Rent Cap?

The California Rent Cap under AB 1482 limits annual rent increases to the lesser of 5% plus the local CPI (Consumer Price Index) or 10%, whichever is lower. This applies to most residential properties in California built more than 15 years ago.

2. How Does the Calculator Work?

The calculator uses the AB 1482 formula:

Where:

• \( CPI \) — Consumer Price Index percentage for your area
• \( Current Rent \) — The current monthly rent amount
• \( 5\% \) — The fixed percentage allowed under AB 1482
• \( 10\% \) — The maximum allowed increase under any circumstances

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

3. Importance of Rent Control

Details: The rent cap protects tenants from excessive rent increases while allowing landlords reasonable adjustments for inflation and operating costs.

4. Using the Calculator

Tips: Enter the local CPI percentage and current monthly rent amount. The calculator will show the maximum allowable rent increase and new rent amount under AB 1482.

5. Frequently Asked Questions (FAQ)

Q1: Does AB 1482 apply to all rental properties?
A: No, it exempts properties built within the last 15 years, single-family homes (unless owned by corporations), and duplexes where the owner occupies one unit.

Q2: Where can I find my local CPI?
A: Check with your local housing authority or the Bureau of Labor Statistics website for regional CPI data.

Q3: Can landlords increase rent more than once per year?
A: Yes, but the total increase for any 12-month period cannot exceed the cap.

Q4: Are there exceptions to the rent cap?
A: Yes, if the property becomes exempt (e.g., through substantial rehabilitation) or if local ordinances have stricter limits.

Q5: How does this affect security deposits?
A: AB 1482 doesn't limit security deposit amounts, which are governed by other California laws.