• November 8, 2023

Temporary Cap on Rent Increases

Temporary Cap on Rent Increases

Temporary Cap on Rent Increases 150 150 CVillacorte

The Los Angeles County Board of Supervisors set a temporary cap on rent increases of 4% for tenants in unincorporated Los Angeles County communities who reside in housing subject to the County’s Rent Stabilization and Tenant Protections Ordinance (RSTPO).

The motion authored by Supervisors Lindsey P. Horvath and Hilda L. Solis will be effective January 1, 2024 – June 30, 2024, and aligns with the County’s homelessness prevention priority for the homelessness emergency declaration.

“Keeping people in their homes by stabilizing rent to keep it affordable is essential in preventing homelessness. Doing so is responsible, just, and necessary in the face of the homelessness crisis we face – anything less will undermine our ongoing emergency response,” said Supervisor Lindsey P. Horvath. “This moment calls us to level the playing field and protect our most vulnerable while we gather better data on rent stabilization impacts throughout our unincorporated communities.”

“The majority of Los Angeles County residents are tenants and even as we near the fourth anniversary of the start of the COVID-19 pandemic, many are still struggling to pay back rent and figure out a way to keep a roof over their heads. Strong eviction protections are critical in preventing mass displacements — especially for low-wage workers who are essential in keeping our economy running. What happens when food service employees, hospitality staff, and janitorial workers are unable to afford places they call home? Today’s vote on extending the rental increase cap for stabilized units and mobile home spaces is critical to helping us avert more people from falling into homelessness — an issue we are severely grappling with,” said Supervisor Hilda L. Solis.

On November 1, 2022, the Board established a temporary 3% cap on the maximum allowable rent increase for rent stabilized rental units and mobile home spaces, effective January 1, 2023 through December 31, 2023.

Through today’s motion, the rent cap will be set at 4% for a six-month period while a comprehensive analysis is conducted on the economic impact of recently enacted rent increase formulas in order to recommend permanent changes to the RSTPO. Without the temporary rent cap, rent increases of up to 8% would have been allowable as of January 1, 2024, threatening housing stability for thousands of renters in unincorporated communities amidst an affordability and homelessness crisis made evident through the approximately 35,583 eviction cases filed from January to September of 2023, far higher than what was seen in 2022.

If you are a renter subject to the RSTPO in an unincorporated LA County community, here’s what this means:

  • Now – December 31, 2023: Rent can only increase up to 3%
  • January 1 – June 30, 2024: Rent can only increase up to 4%
  • After July 1, 2024: Rent can increase up to 8%, but a discussion will come before the Board before this time considering permanent changes to the RSTPO

While the temporary rent cap is in place, the Department of Consumer and Business Affairs will conduct a cumulative analysis of the economic impact of recently enacted rent increase formulas in LA County and jurisdictions in the region to recommend permanent changes to the RSTPO.

For more information, visit https://dcba.lacounty.gov/rentstabilizationprogram/


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