In Sacramento, a rent increase on a house covered by AB 1482 can be up to 8.6% if it takes effect between August 1, 2026 and July 31, 2027 (7.7% before that), measured from the lowest rent in the past 12 months, in no more than two steps. Civil Code 827 then requires 30 days' written notice for an increase of 10% or less and 90 days above 10%, plus five days if you mail it. Exempt houses have no cap, but the notice rules still apply.
You own a rental house in or near Sacramento, you're deciding whether to raise the rent, keep the house or sell it, and you want the exact limit and notice for your property.
Rent increase limits at a glance
| AB 1482 cap, increases from Aug 1, 2026 | 8.6% (5% + 3.6% California CPI) |
|---|---|
| AB 1482 cap, Aug 1, 2025 to Jul 31, 2026 | 7.7% (5% + 2.7%) |
| City of Sacramento TPP cap | 8.6% from Jul 1, 2026 to Jun 30, 2027 |
| Increases allowed per 12 months | Two under AB 1482; one under the City TPP |
| Notice, 10% or less | 30 days (Civil Code 827) |
| Notice, over 10% | 90 days |
| Mailed notice | Add 5 calendar days within California (CCP 1013) |
California rent increase limits for 2025, 2026 and 2027
California's cap isn't one number. It resets every August 1 from the April cost-of-living figures, and it differs by region. Sacramento County isn't one of the four metro areas the statute names, so Civil Code 1947.12(g) sends it to the California CPI that the Department of Industrial Relations (DIR) publishes. The Attorney General's rent cap table lists Sacramento under "All Other Counties".
Rent increase cap from August 1, 2026 to July 31, 2027
An increase that takes effect on or after August 1, 2026 can be up to 8.6%: 5% plus the 3.6% rise in DIR's California index from April 2025 (352.063) to April 2026 (364.746). That figure holds for any increase taking effect through July 31, 2027.
Rent increase cap from August 1, 2025 to July 31, 2026
An increase that took effect before August 1, 2026 (and on or after August 1, 2025) was capped at 7.7%, from the 2.7% change between April 2024 and April 2025. If you're checking an increase you already made, use the cap for the date it took effect, not the date you sent the notice.
Rent increase cap under the City of Sacramento TPP
Apartments and older duplexes inside city limits follow the City's Tenant Protection Program instead, and its year starts on July 1. The City's 2026 notice sets 8.6% from July 1, 2026, using the same 3.6% April figure, and the Attorney General lists it for July 1, 2026 to June 30, 2027.
Earlier California rent increase caps for a lookback
A buyer's agent or your own attorney may check past increases. These are the statute's arithmetic on DIR's April index, rounded to a tenth of a percent:
| Increases taking effect | April CPI change | Cap |
|---|---|---|
| Aug 1, 2022 to Jul 31, 2023 | 7.7% (2021 to 2022) | 10% (ceiling) |
| Aug 1, 2023 to Jul 31, 2024 | 4.2% (2022 to 2023) | 9.2% |
| Aug 1, 2024 to Jul 31, 2025 | 3.8% (2023 to 2024) | 8.8% |
| Aug 1, 2025 to Jul 31, 2026 | 2.7% (2024 to 2025) | 7.7% |
| Aug 1, 2026 to Jul 31, 2027 | 3.6% (2025 to 2026) | 8.6% |
This page is general information, not legal advice. Before you serve an increase on a house you plan to sell, have a California landlord-tenant attorney look at the lease and the rent history.
Rent increase notice: 30 days or 90 days under Civil Code 827
The cap says how much. Civil Code 827 says how far ahead you must tell the tenant, and it applies to every month-to-month tenancy in California, capped or exempt. Section 1947.12(e) points covered landlords straight back to it.
30-day rent increase notice for 10% or less
If the new rent is 10% or less above the rent charged at any point in the previous 12 months, the written notice must reach the tenant at least 30 days before the increase takes effect.
90-day rent increase notice for more than 10%
Above 10%, the notice period is 90 days. The test is cumulative: two smaller increases inside 12 months that add up to more than 10% trigger the 90-day rule for the one that crosses the line. A covered house can't get past 8.6% in that window, so in practice the 90-day notice only comes up on an exempt house.
Mailing a rent increase notice adds five days
Section 827 lets you deliver the notice in person or by mail under Code of Civil Procedure 1013, and that section extends a notice period by five calendar days when it's mailed within California. A mailed 30-day notice needs 35 days; a mailed 90-day notice needs 95. Hand delivery avoids the arithmetic and gives you a cleaner record.
What a written rent increase notice should say
- The tenants' names and the property address.
- The current rent, the new rent and the date it takes effect.
- A date of service, and a signed note of how you served it.
No state form exists. Keep a copy with the proof of service: a buyer's investor will ask for it.
Rent increases during a fixed-term lease
Section 827 covers week-to-week and month-to-month tenancies. A lease for a set term fixes the rent for that term unless the lease itself says how and when it can rise, so the next increase usually waits for the renewal or the switch to month-to-month.
How to work out an allowed rent increase on a Sacramento house
Four inputs decide the number: the rule that covers the house, the date the increase will take effect, the lowest rent in the past 12 months, and any increase already taken in that window.
The rent increase base: the lowest rent in 12 months
Civil Code 1947.12(a)(1) measures the cap from the lowest gross rent charged in the 12 months before the increase takes effect, ignoring discounts or credits the tenant accepted. A month of free rent doesn't lower the base, but it has to be listed separately from the gross rent in the lease or an amendment.
Example: a rent increase on a $1,950 Sacramento rent
Say your tenant pays $1,950 and the house is covered by AB 1482. An increase taking effect on November 1, 2026 falls in the 8.6% year:
| Step | Figure |
|---|---|
| Lowest rent in the past 12 months | $1,950.00 |
| Cap for an increase taking effect Nov 1, 2026 | 8.6% |
| Largest allowed increase | $167.70 |
| Highest new rent | $2,117.70 |
| Notice (8.6% is under 10%) | 30 days, or 35 if mailed |
Two rent increases inside 12 months
AB 1482 allows at most two increases to the same tenant in 12 months, and both share one cap. If you raised that $1,950 by 4% to $2,028 in September 2026, a second increase before September 2027 can add only $89.70, back up to $2,117.70. The City's program is stricter: one increase every 12 months.
An exempt Sacramento house and the rent increase notice
A house outside both caps (built within 15 years, or exempt with the statutory notice in the lease) can go to whatever the market supports. Moving $1,950 to $2,250 is a 15.4% increase, so it needs 90 days' notice. The tenant can still leave on 30 days' notice of their own, and an empty month at $2,250 wipes out most of a month's gain from the raise.
When a new tenancy resets the rent
Once no tenant from the old tenancy is still in lawful possession, section 1947.12(b) lets you set the starting rent freely. The cap applies again from the new tenant's first increase.
Which rent increase rule covers your rental: AB 1482, the City TPP or neither
Pick the row that matches your property, then use that row's cap and notice. Who qualifies for each exemption, and the just cause rules that come with them, are explained in the AB 1482 guide for Sacramento owners.
| Your rental | Rule | Cap from the current year | Increases per 12 months |
|---|---|---|---|
| House or condo, statutory exemption notice given, owner not a REIT, corporation or LLC with a corporate member | None (exempt) | No cap | No limit; Civil Code 827 notice only |
| House or condo without the exemption notice, anywhere in the county | AB 1482 | 8.6% from Aug 1, 2026 | Two |
| Certificate of occupancy within 15 years | None (exempt) | No cap | No limit |
| Duplex or apartment built by Feb 1, 1995, Sacramento city limits | City TPP | 8.6% from Jul 1, 2026 | One |
| Duplex or apartment built after Feb 1, 1995, older than 15 years | AB 1482, unless exempt | 8.6% from Aug 1, 2026 | Two |
City registration, fees and the rest of the program are on the Sacramento rental rules page. Outside city limits, the Attorney General's list of local caps names no other city in Sacramento County, so Elk Grove, Rancho Cordova, Folsom and the unincorporated county follow the state rule.
Is a 5% rent increase a lot in Sacramento?
Against the current market, yes. Zillow's typical Sacramento asking rent was $2,045 in September 2026, up 1.2% in 12 months and 14.6% in five years, about 2.8% a year. A 5% increase on $2,045 is $102.25 a month, roughly four times what new listings gained last year.
Rent increase cap against Sacramento rent growth
That's the point most owners miss about the 8.6% cap: for a tenant already paying close to market, the cap isn't what stops you. The market is. Push a sitting tenant past what the same house would list for and you're betting they won't move, and a vacancy costs a full month of rent plus turnover work.
Below-market rent and how long the rent increase cap takes to close it
The cap bites on a long-term tenant who's fallen behind. Take a tenant at $1,700 in a house that would list near $2,045: the gap is 20.3%. Assuming 8.6% each year and a flat market, the rent reaches $1,846.20 after one increase and $2,004.97 after two, so it takes a third year to catch up. Next year's cap depends on April 2027's CPI, which isn't published yet.
The Sacramento rent report has the rent figures by city if your house is outside city limits.
What a capped rent increase means when you sell a California rental
If you're thinking about selling, the rent your tenant pays is part of the price. An investor buying the house with the tenant in place values it on that rent, and the cap limits how fast they can change it.
The rent increase history your buyer inherits
Section 1947.12 defines the owner to include a predecessor in interest. Your buyer takes over your 12-month window and your base, so an increase you made in March limits what they can do in September.
Below-market rent and the investor's price
At Sacramento's typical value of $470,552, a year of the $2,045 typical rent is a 5.21% gross yield. The same house rented at $1,700 yields 4.34% before any costs. An investor who needs a set return pays less for the lower rent, or waits years of capped increases to close the gap. That's why a house with a below-market tenant is often worth more sold vacant, if the tenant can leave lawfully.
Raising the rent before you list
A lawful increase a few months ahead of listing can lift what an investor pays, but it can also prompt a tenant to give notice, which may suit you if you'd rather sell vacant. Don't raise the rent within 180 days of a repair complaint: Civil Code 1942.5 treats that as retaliation. Whether to sell occupied is covered in selling a rental with the tenant in place, and ending the tenancy in the notice to vacate guide for sellers.
Rent increase mistakes that cost California landlords
Charging more than the AB 1482 rent increase cap
Under section 1947.12(k), an owner who collects more than the cap owes the excess, may owe attorney's fees, and can owe up to three times the excess for a willful violation. The Attorney General and city attorney can sue too, and the tenant has three years to bring a claim.
Going over the City TPP rent increase cap
The City's 2026 notice warns of administrative penalties of up to $25,000 for an increase over the maximum or more than one increase in 12 months. A tenant can't waive the limit.
A retaliatory rent increase
For 180 days after a tenant who isn't behind on rent complains to you or to an agency about a repair, or files a case over one, Civil Code 1942.5 bars raising the rent. Punitive damages run $100 to $2,000 per retaliatory act on top of actual damages.
Short rent increase notice
A 30-day notice for an 11% increase, or a mailed notice without the extra five days, is short. Count from the date the tenant receives it, and when in doubt, give the longer period.
Rent increase checklist for a Sacramento owner
- Confirm the rule: exempt, AB 1482 or the City TPP, from the table above.
- Find the base: the lowest gross rent in the 12 months before the effective date.
- Use the cap for the effective date: 7.7% before August 1, 2026 and 8.6% from then for AB 1482; 8.6% from July 1, 2026 under the City program.
- Count past increases: two in 12 months under AB 1482, one under the City program.
- Check the last 180 days for repair complaints before you raise.
- Serve the right notice: 30 days for 10% or less, 90 above, five more if mailed.
- Keep the paper: the notice, the proof of service and the rent ledger go to your buyer.
If the numbers say the house earns less than the equity in it could, run them through the rent vs sell calculator. The other rules a landlord answers to are summarized in the California landlord-tenant law overview. Justin can price the house rented and vacant so you can see what the rent is worth at sale; start with selling a Sacramento rental.
California rent increase questions from Sacramento owners
What is the maximum rent increase in California for 2026?
It depends on the region and the date. For Sacramento County and every county outside the four named metro areas, an AB 1482 increase taking effect between August 1, 2026 and July 31, 2027 can be up to 8.6%; before August 1, 2026 the limit was 7.7%. Units under the City of Sacramento's Tenant Protection Program have had an 8.6% limit since July 1, 2026. Exempt houses have no cap.
Is a 5% rent increase a lot?
For Sacramento right now, it's well above the market. Zillow's typical asking rent rose 1.2% in the 12 months to September 2026, so 5% on a $2,045 rent, $102.25 a month, is about four times what new listings gained. It's legal under the 8.6% cap, but a tenant who can rent a similar house for less may leave, and a vacant month costs you more than the raise.
Can a tenant refuse a rent increase in California?
Not a lawful one on a month-to-month tenancy. If the increase is within any cap that applies and you gave 30 days' written notice (90 days above 10%), the new rent is due on the effective date. The tenant's choice is to pay it or give notice and move. An increase above the cap, too early in a fixed-term lease, or within 180 days of a repair complaint can be challenged.
How much notice do I need to give for a rent increase in California?
Civil Code 827 requires at least 30 days' written notice for an increase of 10% or less over the past 12 months, and 90 days for more than 10%, counting earlier increases in that window. If you mail the notice within California, add five calendar days under Code of Civil Procedure 1013. Hand delivery starts the clock the day the tenant receives it.
How much can I raise the rent on a month-to-month tenant in California?
On a house covered by AB 1482, up to 8.6% over 12 months for increases taking effect from August 1, 2026, in no more than two steps, measured from the lowest rent in that period. On an exempt house there's no cap, only the notice rules. A pre-1995 duplex or apartment in Sacramento city limits follows the City's 8.6% cap with one increase a year.
Does California rent control apply to single-family homes?
AB 1482's cap applies to a single-family home unless it's exempt. The exemption needs an owner who isn't a REIT, a corporation or an LLC with a corporate member, plus the statutory exemption notice given to the tenant in writing. Homes with a certificate of occupancy from the last 15 years are also exempt. The City of Sacramento's own program exempts single-family dwellings and condos.
Should I raise the rent before selling my rental?
Only if the increase is lawful and the market supports it. An investor buyer values the house on the lease, so a rent closer to market can help the price, and the buyer inherits your 12-month window either way. But an increase can push a tenant to leave, and one within 180 days of a repair complaint is retaliation. Price the house both ways before deciding.
Sources
- California Attorney General: rent caps under the Tenant Protection Act
- California Attorney General: tenants' rights and landlord obligations
- California Civil Code 1947.12 (rent cap, CPI definition, remedies)
- California Civil Code 827 (notice of rent increase)
- California Code of Civil Procedure 1013 (extension for service by mail)
- California Civil Code 1942.5 (retaliation)
- California Department of Industrial Relations: California Consumer Price Index 1955-2026
- City of Sacramento: 2026 TPP annual rent adjustment notice
- Zillow Research: Observed Rent Index and Home Value Index (September 2026)
Reviewed by Justin Vierra
Justin reviewed this page for accuracy on October 28, 2026. Figures come from the sources listed above. Our research process.
Justin Vierra is a Sacramento Realtor® with GUIDE Real Estate and Principal of the Vierra Group who sells rental homes for their owners, with tenants in place or vacant. He spent six years in Midtown property management before he began selling homes in 2010.
- Since 2010Licensed in California, DRE #01880488
- 6 yearsManaging Midtown rental property before he sold homes
- 447Vierra Group team sales on Zillow, 26 in the past 12 months
- 440+Career sales, as reported by Justin
- Six years in property management: Midtown Sacramento: older buildings, multifamily property, maintenance and tenants
- Principal, Vierra Group: His team at GUIDE Real Estate, 3001 I Street, Sacramento
- Sacramento Real Producers: Top 250 agent for 2025, as reported by Justin
Realtor®, DRE #01880488. Vierra Group, GUIDE Real Estate, 3001 I St, Suite 200, Sacramento, CA 95816. General information, not legal, tax or financial advice.
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