AB 1482 Explained: What California’s Rent Cap Means for Property Owners in 2025–2026
As of August 1, 2025, California’s statewide rent cap under AB 1482 has been updated based on the latest Consumer Price Index (CPI). Here’s what it means for you—and how to plan ahead.
What’s Changing?
AB 1482 (the Tenant Protection Act of 2019) limits annual rent increases on eligible rental properties to 5% plus the regional CPI, or a maximum of 10%, whichever is less.
- For the Los Angeles area, the April 2025 CPI was 3.0%, bringing the total cap to 8.0%
- For the Inland Empire (Riverside & San Bernardino Counties), the CPI is 2.5%, so the rent increase cap is 7.5%
Who Is Affected?
AB 1482 applies to most residential rental properties over 15 years old unless they’re covered by stricter local rent control measures or fall under statutory exemptions.
What Property Owners Should Do Now
- Determine applicable caps: If your property operates under AB 1482 (not governed by local rent control), use the new CPI data to calculate allowable rent increases.
- Prepare for August 1 renewals: Any lease renewals or rent increases scheduled after this date must comply with the new limits.
- Provide proper notice:
- For increases under 10%, a 30-day written notice is required.
- For increases 10% or more, a 90-day notice is mandatory.
Why This Matters
Understanding AB 1482’s rent cap updates ensures you are compliant and helps you strategically plan your income streams in what remains a dynamic rental market.
