What to Know When Transitioning From Rent Control to Market Rent in California

Many California renters enjoy protections under rent control or rent stabilization laws, which limit how much a landlord can increase rent each year. However, situations may arise where a rental unit is no longer covered by these protections, meaning your rent may shift to the higher market rate. If you're moving from rent-controlled to market rent status in California, it's essential to understand what this transition means for you and what your rights and options are.

Understanding Rent Control, Rent Stabilization, and Market Rent

California's state and local laws offer various renter protections. Rent control generally limits annual rent increases, while rent stabilization can add extra rules about evictions and lease renewals. Market rent means your landlord can charge the prevailing rate, often higher than what you previously paid under rent control. Knowing the difference helps you anticipate changes and take action if needed.

When Can a Unit Move From Rent-Controlled to Market Rent?

• When a vacancy occurs (the previous tenant moves out), many rent-controlled units lose their capped rent status for the next renter. This is known as vacancy decontrol (California Civil Code Section 1954.50 et seq.).
• If the building is exempt due to age or type (e.g., single-family homes, condos, or buildings constructed after 1995 under the Costa-Hawkins Rental Housing Act).
• Some local ordinances provide stricter protections, so always check your city’s rent board (for example, the Oakland Rent Adjustment Program or Los Angeles Rent Stabilization Ordinance).

What Happens to Rent Increases?

Without rent control, landlords can raise rent to the current market amount, subject to notice requirements. However, the California Statewide Rent Cap (AB 1482, Civil Code Section 1947.12) still limits annual rent increases to a specific percentage for many properties, unless the property is exempt.

• Landlords must provide a 30-day written notice for rent increases of less than 10% in a 12-month period.
• If the increase is over 10%, a 90-day written notice is required.

Key Official Forms Renters Should Know

• Notice of Rent Increase (sample form from California Courts): Used by landlords to inform you of an upcoming rent increase. If you receive one, check that it includes the correct notice period for your situation.
• Notice to Quit (Form 3-Day, 30-Day, or 60-Day Notice) (California Courts Eviction Forms): May be served if you do not accept the new rent or if your landlord seeks to end your tenancy. These forms are available on the California Courts self-help website.

Example:

If you receive a 30-day Notice of Rent Increase through the official form and believe your apartment should still be rent-controlled, you have the right to request documentation about your unit’s status or file a complaint with your local rent board.

Your Rights and What to Do

This transition can be unsettling, but California law still protects you from sudden displacement, retaliation, and certain types of unfair rent hikes. If you get a notice or are unsure of your unit’s status:

• Request written proof from the landlord justifying the exemption from rent control.
• Review your city’s rental board rules. Major cities often provide more protection than state law.
• Keep all paperwork (notices, leases, communications) in case you need them to file a complaint or contest an increase.

Steps to Take If You Get a Notice of Market Rent Increase

• Verify whether your unit should still be under rent control (check your local rent board or city housing department).
• If the notice seems improper, do not ignore it. Respond in writing to the landlord stating your concerns.
• Contact your city’s rent tribunal or housing authority to confirm the status and get instructions on next steps.
• If necessary, file an official complaint using your city’s or state’s online portals or forms.

FAQ

1. Can my landlord raise my rent to any amount after rent control ends?
   In most cases, yes, if your unit is no longer covered by rent control, but the Statewide Rent Cap or local ordinances may still limit how much your rent can be increased.
2. What notice must my landlord provide before raising rent to market level?
   Your landlord must give you a written notice: at least 30 days for increases under 10%, or 90 days for increases over 10% within 12 months.
3. What forms should I receive if my rent is being increased or my tenancy is ending?
   You should receive an official Notice of Rent Increase and, if applicable, a Notice to Quit (30-Day or 60-Day Notice), available from the California Courts website.
4. What if I think my unit should still be rent-controlled?
   You can contact your local rent board to verify your building’s status and file a complaint if you believe rent control laws are not being followed.
5. Who can help me if I am being forced out due to a rent increase?
   Your local rent board, city housing department, or the California Department of Consumer Affairs can offer help and may investigate your complaint.

Need Help? Resources for Renters

• California Department of Consumer Affairs: Tenants
• California Courts Self-Help: Eviction & Landlord/Tenant Issues
• Tenants Together (California statewide advocacy)
• Contact your local city rent board or housing department for city-specific help and forms.
• California’s official residential tenancy law is governed by the California Civil Code – Tenant Protections.

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1. [1] California Civil Code Section 1954.50 et seq. (Rent Control and Vacancy Decontrol)
2. [2] Costa-Hawkins Rental Housing Act
3. [3] California Statewide Rent Cap: Civil Code Section 1947.12 (AB 1482)
4. [4] California Department of Consumer Affairs: Tenants
5. [5] California Courts: Landlord/Tenant Issues and Eviction

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