Free Rent Increase Notice Template

What is an Rent Increase Notice?

As a landlord, you may increase rent when necessary, but you must notify your tenants in a timely manner. Timely notice is essential to allow tenants to accept or reject the new terms.

A rent increase notice letter is formal. Remember that although you have the right to increase rent, doing so indiscriminately may lower tenant turnover and affect your overall income. Also, research local laws and enlist legal help if necessary to avoid legal battles.

For example, many States have an average requirement of 30 days’ notice for month-to-month renters. However, California law (AB – 1482) stipulates that landlords intending to raise rent by ten percent give a 60-day notice. Rent increases are also dependent on the Consumer Price Index (CPI) and the length of the tenant’s rental period. No landlord may increase the rent by more than 10%, or the CPI plus 5%, whichever is lower. City laws may be stricter.

Aside from being legal and timely, the rent increase notice should identify legitimate reasons for increasing rent. Mention whether you have made costly upgrades resulting in a higher property value, property taxes have gone up, or another reason.

State the current and new rent amounts. Specify the date when tenants start paying the increased amount and allow them a reasonable time to decide. Your lease agreement should provide for rent increases for month-to-month and fixed lease term tenants.

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Article written by

Dena Standley

Senior Writer | Experienced Paralegal | 79 Articles

Dena Standley is an experienced paralegal based in Houston, Texas and has over a decade of experience working as a paralegal with trial lawyers and law firms. She is passionate about making legal processes more accessible and helping people understand and navigate complex legal matters with confidence.