San Diego Rent Increases Now Capped at 8.8% Under AB 1482
Under AB 1482, California’s Tenant Protection Act, annual rent increases in San Diego are capped at 5% plus the regional Consumer Price Index (CPI), or 10%, whichever is lower. For San Diego County, the latest CPI-u is 3.8%, which brings the current maximum allowable annual increase to 8.8% (5 % + 3.8%).
This is a slight uptick from the previous cap of 8.6%, reflecting rising inflation and the updated CPI. This increase is effective from August 1, 2025.
Who & What San Diego Rent Increase Apply To
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AB 1482 applies to:
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Multifamily buildings over 15 years old
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Units not covered by local rent control
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Most single-family homes owned by corporate entities, unless built within the past 15 years
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Exemptions include:
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Newer buildings (last 15 years)
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Owner-occupied duplexes
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Fully detached single-family homes (unless owned by corporations)
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When Rent Can Be Increased
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Rent can be increased once every 12 months, up to the capped amount.
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30-day written notice required for increases under 10%, and 60 days for those over 10%
Why This Matters for San Diego Investors
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Stay compliant to avoid tenant legal challenges or rent recapture
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Factor the 8.8% cap into your revenue forecasts and renewal strategies
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Review all units to confirm AB 1482 coverage
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Adjust upcoming rent increase plans to stay within the 8.8% cap
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Use the full 12-month cycle to maximize rent before planning a new adjustment
Strategic Considerations
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Evaluate your current rents vs. the new cap
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Use rent surveys to guide rent increases and leasing
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Avoid underpricing that delays returns
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Remain compliant while optimizing NOI
Want help modeling rent increase scenarios? ACI Apartments specializes in San Diego multifamily strategy and compliance—reach out today to stay ahead.
Link to AB 1482 and San Diego Rental Increase Laws
The information in this blog is for general informational purposes only and should not be your sole basis for financial or investment decisions. While ACI Apartments uses reliable sources for data and analysis, you should verify all information independently. This blog is not a comprehensive report on all changes to local, state, or federal laws affecting property owners and managers. Laws may have changed or been misinterpreted since publication. Always consult legal counsel or a licensed CPA before making decisions. ACI Apartments is not liable for actions taken based on this content.