Rent Increase Calculator California 2025 Calendar

California Rent Increase Formula:

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

New Rent (USD):

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1. What is the California Rent Increase Formula?

The California rent increase formula calculates the maximum allowable rent increase under California's Tenant Protection Act (AB 1482). For 2025, the maximum increase is the lesser of 10% or 5% plus the percentage change in the cost of living (CPI).

2. How Does the Calculator Work?

The calculator uses the California rent increase formula:

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

Where:

Current Rent — The tenant's current monthly rent amount
CPI — The Consumer Price Index percentage change for the region
5% — The base increase allowed under California law
10% — The maximum allowed annual increase (including CPI)

Explanation: The formula ensures rent increases don't exceed either 10% or 5% plus CPI, whichever is lower, protecting tenants from excessive hikes.

3. Understanding California Rent Control

Details: California's Tenant Protection Act (AB 1482) applies to most rental properties more than 15 years old. It caps annual rent increases and provides "just cause" eviction protections.

4. Using the Calculator

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

5. Frequently Asked Questions (FAQ)

Q1: Does this apply to all California rentals?
A: Most rentals are covered, but there are exceptions including newer buildings (first 15 years), single-family homes (unless owned by corporations), and some affordable housing.

Q2: Where do I find the CPI percentage?
A: CPI data is published by the Bureau of Labor Statistics. Your local housing authority can provide the correct percentage for your area.

Q3: Can landlords increase rent by less than the maximum?
A: Yes, landlords can choose to increase rent by less than the maximum allowed amount.

Q4: How often can rent be increased?
A: Under AB 1482, rent can only be increased once every 12 months.

Q5: What if my rental is already under local rent control?
A: Local ordinances with stricter limits take precedence over state law. Check your local regulations.