Landlord Question and Answer Forum

Hello, Do you know what is the standard rental increase % for California? Thanks.

In California a landlord can raise the rent in any amount unless they live in rent controlled community like San Francisco, Berkeley, and some others. If the amount of the increase is 10% or less, the notice need only be 30 days. If the amount of the increase is more than 10%, the notice must be 60 days. If the landlord gives more than one increase in a year, the notice would have to 60 days when the cumulated rent increase totals go over 10%. Most landlords give 3% increases on an annual basis for single family properties. Much more and you taking the chance of losing a tenant. it is important also to weigh the market trend in your immediate area. If there is alot of supply and rents seem to be lower than usual, I would be careful in increasing rent too much in fear of losing a good tenant.

Posted by Donna , NC on Wednesday, April 7, 2010

Very informative. Thank you so much. :)

Posted by Li D, CA on Wednesday, April 7, 2010

I would like to know if 10% in the normal for rent increae every year??

Posted by martin g, CA on Wednesday, April 7, 2010

Martin: I do not think there is a "normal" for increasing rents every year. I ALWAYS weigh out the facts. DO my tenants pay on time? Are they good, non-problematic tenants? If so, increasing rent every year could risk them going somewhere else. Market factors play a role as well. If supply overmeets demand, than you certainly do not want to lose a good tenant. On the other hand, if you have a tenant that has caused some problems, I believe there is more "play". I hope this helps!!!

Posted by Donna , NC on Thursday, April 8, 2010