2026 California Rental Laws Coming: What Landlords Need to Know | Realty Management Group
Key Takeaways
- AB 1248 (proposed, Jan 1, 2026): Requires full fee transparency in ads and leases, clear disclosure of optional services and discount terms; may restrict certain ratio utility billing practices.
- AB 1482: Rent cap remains at 5% + CPI or 10% (whichever is lower); recalc annually using current CPI.
- 2025 rules continue: AB 2801 (security deposit photos at move-in, move-out, post-cleaning/repair), AB 2747 (positive rent reporting option), AB 2493 (screening fees/process).
- Action now: Audit ads/leases, disclose all fees, update screening & deposit workflows, and train staff before 2026.
Why These Changes Matter
California continues to strengthen rules around affordability, tenant rights, disclosures, and fees. For property managers and owners, the risk of non-compliance is rising as “best practices” become enforceable standards. Proactive updates to ads, leases, and workflows reduce disputes, fines, and vacancy risk.
Major Laws Effective or Proposed to Be Effective in 2026
AB 1248 – Renter Protection Bill on Fees & Disclosures (Proposed for Jan 1, 2026)
- Upfront fee transparency: Ads and leases must list all required fees and clearly describe any optional housing services and their costs.
- Discount clarity: State the duration of any discount and the rent/fee after the discount period ends.
- Utility billing limits: May prohibit certain ratio utility billing systems, with narrow exceptions (e.g., water/sewer in limited circumstances).
Status: Proposed; prepare as if adopted to avoid last-minute changes across your portfolio.
Continuing Laws / Rules That Still Apply
AB 1482 – Rent Caps & Just Cause
Rent increases remain capped at 5% + CPI or 10%, whichever is lower. Confirm coverage and exemptions (e.g., new construction, some single-family homes) and check local ordinances.
AB 2801 – Security Deposit Photo Documentation
Take timestamped move-in, move-out, and post-cleaning/repair photos and include documentation with the itemized deductions (within 21 days of move-out). Non-compliance can void deductions.
AB 2747 – Positive Rent Payment Reporting
Offer eligible tenants the option to report positive rent payments to credit bureaus.
AB 2493 – Tenant Screening Criteria & Fees
Follow written screening criteria, handle application order consistently, and comply with fee rules and receipts.
How Landlords Should Prepare for 2026 (Checklist)
- Ads & Listings: List all required fees (deposit, cleaning if applicable), clearly label optional services and costs, and disclose any rent/fee discounts with post-discount pricing.
- Lease Audit: Update fee sections, discount language, and any utility billing clauses to align with AB 1248’s restrictions and disclosures.
- Screening & Deposits: Provide written criteria; process in order; implement AB 2801 photo workflows (move-in, move-out, post-repair/cleaning) and track 21-day deadlines.
- Rent Caps: Refresh AB 1482 calculations annually with current CPI; document your math.
- Staff Training: Train leasing, accounting, and maintenance teams on scripts, templates, and documentation standards.
- Optional Services: Clearly mark “optional” items (parking, storage, internet) and avoid hidden or ambiguous fees.
Why Choose Realty Management Group for 2026 Compliance
We combine local California expertise with compliant, documented workflows to protect your asset and cash flow.
- Compliance-First Leasing: AB 1248-ready fee and discount disclosures in ads and leases.
- AB 2801 Automation: Photo checklists, timestamped storage, and 21-day clock tracking.
- AB 1482 Controls: Annual CPI updates and documented increase calculations.
- Screening Standards: Written criteria, fair processing, and audit trails.
- Owner Visibility: Real-time statements, document vault, and compliance logs.
Contact Expert San Diego Property Management & Resources
Need help auditing leases, updating ads, and building AB 2801/AB 1248 workflows? Our team can implement compliant, documented processes across your portfolio.
FAQ: California Rental Laws 2026
When do these new laws/rules start?
Some changes from 2025 are already active (AB 2801, AB 2747, AB 2493). AB 1248 is proposed to apply to new tenancies after January 1, 2026 if enacted. Prepare now.
Which properties are covered by AB 1482’s rent cap and just cause?
Generally multi-unit residential 15+ years old, with exemptions. Always verify local ordinances too.
Can a landlord charge late fees or other optional fees?
Optional fees must be clearly disclosed. Under AB 1248, ads and leases must list required fees and optional services with costs and any discount timelines; some utility billing setups may be restricted.
What if a landlord doesn’t comply?
You risk invalid deductions/notices, fines, and civil liability. Tenants can challenge non-compliant lease terms or ads.
Should I talk to an attorney?
Yes. Given the pace of change and local overlays, consult a California landlord-tenant attorney.