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Increase Rent Calculator California

California AB 1482 Rent Increase Formula:

\[ \text{New Rent} = \text{Current Rent} \times (1 + \min(\text{CPI} + 5\%, 10\%)) \]

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1. What is California AB 1482 Rent Cap?

The California Tenant Protection Act (AB 1482) limits annual rent increases to no more than 5% plus the percentage change in the cost of living (CPI), or 10% of the lowest gross rental rate charged at any time during the 12 months prior to the increase, whichever is lower.

2. How Does the Calculator Work?

The calculator uses the AB 1482 formula:

\[ \text{New Rent} = \text{Current Rent} \times (1 + \min(\text{CPI} + 5\%, 10\%)) \]

Where:

Explanation: The calculation ensures landlords cannot increase rent more than 10% annually, even if CPI plus 5% would exceed that amount.

3. Importance of Rent Increase Calculation

Details: Proper calculation helps landlords comply with California law and helps tenants understand their rights regarding rent increases. The law applies to most rental properties more than 15 years old.

4. Using the Calculator

Tips: Enter current rent in USD and the relevant CPI percentage (available from the Bureau of Labor Statistics). The calculator will show the maximum allowable new rent under AB 1482.

5. Frequently Asked Questions (FAQ)

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

Q2: Where do I find the correct CPI percentage?
A: Use the CPI for your metropolitan area from the Bureau of Labor Statistics (BLS) website.

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

Q4: What happens if a landlord exceeds the cap?
A: Tenants may be entitled to refunds of excess rent paid and could potentially sue for violations.

Q5: Are there local rent control laws that might apply?
A: Yes, some cities have stricter rent control ordinances that supersede AB 1482.

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