Which States Cap Rent Increases in 2026?
Updated July 2026 · StateNoticePro Editorial
For most of the country, there is no legal limit on how much you can raise rent — only on how much notice you must give. But three states now impose statewide caps, and the list of cities with local rent control keeps growing. If you own rentals in any of these places, the cap — not the market — sets your ceiling.
The three statewide caps (2026)
| State | Cap formula | Law | Common exemptions |
|---|---|---|---|
| California | 5% + local CPI, max 10% per year | AB 1482 (2019) | Buildings under 15 years old; most single-family homes owned by individuals (with required lease disclosure) |
| Oregon | 7% + CPI, with a statutory maximum (≈10%) | SB 608 / SB 611 | Buildings under 15 years old; no increases at all in a tenant's first year |
| Washington | 7% + inflation, max 10% per year | HB 1217 (2025) | New construction (first 12 years); some owner-occupied situations; manufactured-home lots have a separate lower cap |
All three states pair the cap with strict notice rules — 90 days in Oregon and Washington (on Washington's mandatory Commerce form), and 30/90 days in California depending on the increase size. Details are on our state pages: California · Oregon · Washington.
Local rent control: the bigger minefield
Even in states without statewide caps, local ordinances can be stricter than anything above:
- New York: roughly one million rent-stabilized NYC apartments follow increases set annually by the Rent Guidelines Board — often 2–4%.
- New Jersey: no statewide cap, but over 100 municipalities (Newark, Jersey City, Elizabeth, and more) run their own rent control, commonly capping increases around CPI or 4–5%.
- California cities: LA, San Francisco, Oakland, Santa Monica and others impose caps lower than AB 1482 for covered units.
- Washington, D.C.: rent-stabilized buildings cap increases near CPI + 2%.
- St. Paul, MN and Portland, ME: voter-passed rent stabilization ordinances with their own formulas.
The pattern to remember: the strictest applicable rule wins. A unit can be exempt from the state cap but covered by a city one, or vice versa.
What happens if you exceed a cap
- The excess portion of the increase is typically void and uncollectible — tenants can recover overpayments.
- Washington and Oregon allow tenant lawsuits with damages and attorney fees; California AB 1482 violations can surface as eviction defenses and civil claims.
- An over-cap increase can also poison a later eviction: judges look hard at a nonpayment case where part of the "unpaid rent" was an illegal increase.
Everywhere else: no cap, but not no rules
In the other 47 states, you can raise rent as much as the market bears — subject to three universal limits: proper written notice, no increases mid-lease, and no retaliatory or discriminatory timing. Several states (Florida, Texas, Arizona, and others) even prohibit their cities from enacting rent control, so the state rules are the whole story there.