1. What is the Los Angeles Rent Increase Formula?

The Los Angeles rent control formula calculates the maximum allowable rent increase under local rent stabilization ordinances. It combines the Consumer Price Index (CPI) with a fixed percentage, capped at a maximum increase.

2. How Does the Calculator Work?

The calculator uses the LA rent control formula:

Where:

• Current Rent — The tenant's current monthly rent amount
• CPI — The annual Consumer Price Index percentage increase
• 3% — The fixed percentage added to CPI
• 8% — The maximum allowable annual increase

Explanation: The formula ensures rent increases are tied to inflation but protects tenants with a maximum cap on increases.

3. Importance of Rent Control Calculation

Details: Accurate rent increase calculations are crucial for landlords to comply with local ordinances and for tenants to understand their rights under rent stabilization laws.

4. Using the Calculator

Tips: Enter current rent in USD and the annual CPI percentage. The calculator will determine the maximum allowable rent increase under LA's rent control rules.

5. Frequently Asked Questions (FAQ)

Q1: What properties are covered by LA rent control?
A: Most multi-family buildings built before October 1978 are covered by the Rent Stabilization Ordinance (RSO).

Q2: How often can rent be increased?
A: For RSO units, rent can typically be increased once every 12 months.

Q3: Where do I find the current CPI percentage?
A: The Los Angeles Housing Department publishes the applicable CPI figure annually.

Q4: Are there exceptions to the rent increase cap?
A: Some exceptions may apply for capital improvements or if the unit was voluntarily vacated.

Q5: Does this apply to all LA rental properties?
A: No, single-family homes, condos, and newer buildings are generally exempt from rent control.