Beginning February 2024, landlords who rent RSO properties to tenants in the city of LA will be allowed to raise the rent up to 4%, or up to 6% if the landlord pays for the gas and electric.
LA City RSO Rent Increase up to 4%
The LA City Council, who by their actions over the past several years have proven to be extremely anti-landlord, voted to allow rent increases of up to 4%, beginning in February 2024. If the landlord pays for the gas and electric, the rent increase can be up to 6%. See the new rules here. The proposal was approved on a 10-2 vote, and still needs to be drafted for signature as an official ordinance.
This is yet one more blow to landlords in the city of LA. Prior to this vote, landlords would have been able to increase the rent up to 7%, or up to 9% if the landlord pays for the gas and electric. Keep in mind, owners of RSO properties have been barred from raising rents by even a penny, since 2020. Of course, the cost of goods and services have increased substantially during this same period, and landlords have still been required to maintain their properties in good working order.
If the property is not subject to the RSO, then these rent limits don’t apply; however, other state and city restrictions on raising rents may apply. We discussed LA city rent increase restrictions in another article. Landlords must also familiarize themselves with California Civil Code 827 and Civil Code 1947.12.
The LA Times recently wrote an article on this topic, which can be read here, but may require a subscription to the paper to view.
LA County RSO Rent Increase up to 4%
As a side note, LA county also recently authorized rent increases on RSO properties located within the unincorporated areas of LA county of up to 4%, through June 2024. Without the cap, landlords who own RSO properties in unincorporated LA county would have been able to raise the rent by up to 8%.
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The information in this article and blog are not meant to be legal advice and is intended for educational purposes only. The laws change frequently and this article may not be updated to reflect current rules. Do not rely on this article when making legal decisions. Consult with legal counsel regarding your particular case before taking any action. It is important for landlords to understand what jurisdiction the rental property is located in, and whether or not there are any special tenant protections or rent control applicable to the property.