2026 Los Angeles RSO Changes: What Rental Property Owners Need to Know
Los Angeles rental-property owners should be aware of several changes to the City’s Rent Stabilization Ordinance that took effect on February 2, 2026. These rules apply specifically to rental units covered by the City of Los Angeles Rent Stabilization Ordinance, commonly called the RSO.
This guide summarizes information published by the Los Angeles Housing Department. It is intended for general educational purposes only and is not legal advice.
What Changed on February 2, 2026?
The Los Angeles Housing Department identifies three significant changes affecting RSO rent increases:
1. A New Formula for Annual RSO Rent Increases
The City amended the formula used to determine the annual allowable RSO rent increase. The formula is now based on 90% of the average Consumer Price Index rather than 100%.
Under the amended formula, the annual allowable increase may range from a minimum of 1% to a maximum of 4%, depending on the applicable Consumer Price Index calculation. Under the prior formula, the minimum was 3% and the maximum was 8%.
This new range does not mean that landlords may automatically raise rent by 4%. The Los Angeles Housing Department announces the allowable percentage for each applicable period.
The Current Allowable RSO Increase Remains 3%
According to the Los Angeles Housing Department, the annual allowable RSO rent increase remains 3% from July 1, 2025, through June 30, 2027.
RSO rent increases are generally permitted only once every 12 months. California law also requires written advance notice before a rent increase. The City’s RSO Rent Increase Calculator states that increases of less than 10% require at least 30 days’ written notice.
2. Utility Add-On Percentages Are No Longer Permitted
Beginning February 2, 2026, a landlord may no longer add an additional percentage to the annual allowable RSO rent increase for utilities.
Previously, the RSO rules allowed certain additional percentage increases when the landlord paid for gas or electricity. LAHD now states that an annual RSO increase may not include an additional percentage increase for utilities.
This change concerns the percentage added to an annual RSO rent increase. Owners should separately verify whether any properly noticed and authorized fee or surcharge applies to their property before charging it.
3. No Additional 10% Increase for a Dependent
Beginning February 2, 2026, an additional 10% rent increase is no longer permitted when an additional dependent is added to an RSO tenancy.
LAHD distinguishes a dependent from another additional tenant. According to LAHD’s current RSO guidance, if an additional tenant who is not a dependent moves into an RSO unit, a landlord may increase rent by 10% within 60 days of learning about that additional tenant.
Because household circumstances and tenancy documents vary, owners should confirm how the rule applies before changing the rent.
Which Properties Are Generally Covered by the Los Angeles RSO?
The RSO applies within the City of Los Angeles—not automatically throughout Los Angeles County or in separately incorporated cities such as Santa Monica, Culver City, Beverly Hills, or West Hollywood.
LAHD states that the RSO generally applies to rental properties first built on or before October 1, 1978. Covered housing may include:
• Apartments
• Condominiums
• Townhomes
• Duplexes
• Two or more single-family dwellings located on the same parcel
• Certain accessory dwelling units and junior accessory dwelling units
• Residential units attached to commercial buildings
• Certain hotel, motel, rooming-house, or boarding-house rooms occupied by the same tenant for at least 30 consecutive days
A single-family home that is the only residential structure on its parcel is generally not subject to the City’s RSO, although other state or local tenant-protection laws may still apply.
Owners can check a property’s RSO status through the City’s ZIMAS system by entering the property address and reviewing the Housing tab. LAHD also advises owners and tenants that they may text “RSO” to 1-855-880-7368 and follow the instructions.
Practical Steps for Los Angeles Rental Owners
Owners of RSO properties should consider the following administrative steps before issuing a rent increase:
• Confirm that the property and unit are registered with LAHD.
• Verify that the unit is subject to the RSO.
• Check the current allowable percentage directly with LAHD.
• Confirm that at least 12 months have passed since the last annual RSO increase.
• Do not add a separate utility percentage to an annual RSO increase effective on or after February 2, 2026.
• Determine whether a new household member is a dependent or another tenant before considering any adjustment.
• Use the required written notice and retain a copy with proof of service.
• Review the City’s current guidance each time, because allowable percentages, notices, fees, and procedures can change.
Official Sources
Los Angeles Housing Department — Renter Protections:
https://housing.lacity.gov/renter-protections-2
Los Angeles Housing Department — What Is Covered Under the RSO:
https://housing.lacity.gov/residents/what-is-covered-under-the-rso
Los Angeles Housing Department — RSO Rent Increase Calculator:
https://housing.lacity.gov/rso-rent-increase-calculator
ZIMAS — City of Los Angeles Property Information:
Final Reminder
The February 2, 2026 changes are important, but they do not replace the need to verify the status of a specific property and tenancy. Owners should consult LAHD or a qualified California landlord-tenant attorney before taking action when the property’s coverage or the correct notice is unclear.
This article is for general informational purposes only. It is not legal advice and does not create a property-management or attorney-client relationship. Laws, regulations, official interpretations, and agency procedures may change.