Important Update: 2025 Los Angeles CPI Numbers for AB 1482 Rent Increases
Important Update: 2025 Los Angeles CPI Numbers for AB 1482 Rent Increases
Dear Valued Clients,
As your trusted real estate agent, I’m reaching out to provide you with the latest information on the Consumer Price Index (CPI) numbers for Los Angeles, as published by the U.S. Bureau of Labor Statistics, for calculating allowable rent increases under California’s Assembly Bill 1482 (Tenant Protection Act) for 2025.
Key Update: April 2025 Los Angeles CPI and AB 1482 Rent Increase Limits
Under AB 1482, annual rent increases for covered properties are limited to the lesser of:
5% + the regional CPI, or
10%.
For the Los Angeles-Long Beach-Anaheim area, the CPI for April 2025, as reported by the U.S. Bureau of Labor Statistics, is 3.0%. This results in a maximum allowable rent increase of 8.0% (5% + 3.0%) for rent increases effective between August 1, 2025, and July 31, 2026.
How to Apply This to Your Properties
Calculate the Increase: For a property with a current monthly rent of $2,000, an 8.0% increase would allow a new rent of $2,160 ($2,000 x 1.08).
Timing: This CPI figure applies to rent increases taking effect on or after August 1, 2025. For increases before August 1, 2025, the prior year’s CPI (April 2024, 3.9%, resulting in an 8.9% cap) applies.
Notice Requirements:
For increases less than 10%, provide tenants with at least 30 days’ written notice.
For increases of 10% or more, provide at least 90 days’ written notice.
Exemptions: Certain properties, such as single-family homes (unless owned by a corporation), condos, and buildings constructed within the last 15 years, may be exempt from AB 1482. Please consult with a legal professional to confirm your property’s status.
Important Reminders
Local Rent Control: Properties subject to local rent control ordinances (e.g., City of Los Angeles Rent Stabilization Ordinance) may have stricter limits. For example, the City of Los Angeles caps increases at 4% for covered units, and unincorporated Los Angeles County limits increases to 3% or 60% of the CPI, whichever is lower, effective January 1, 2025. Always verify local regulations.
Compliance: Ensure compliance with AB 1482’s “just cause” eviction provisions and provide proper notice to tenants. The California Apartment Association offers a “Find Your CPI” tool at www.caanet.org/ab1482 for additional guidance.
Communication: When implementing rent increases, consider open communication with tenants, as significant adjustments can impact tenant relations.
We’re Here to Help
Navigating California’s complex rent control laws can be challenging, but I’m here to support you. If you have questions about how these CPI numbers affect your properties, need assistance calculating rent increases, or want to discuss your investment strategy, please reach out. I can also connect you with legal or property management professionals for further guidance.
For the latest CPI data, you can visit the U.S. Bureau of Labor Statistics website at www.bls.gov or contact me directly for personalized assistance.
Thank you for entrusting me with your real estate needs. I look forward to helping you maximize your investments while staying compliant with state and local regulations.
Best regards,
Luca Jacoli
Disclaimer: This information is provided for general guidance and does not constitute legal advice. Please consult with a qualified attorney or property management professional to ensure compliance with AB 1482 and local ordinances specific to your property.
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