San Jose’s housing market is one of the most expensive in the Bay Area. Rent control laws aim to protect tenants from steep rent increases and unfair evictions. But does rent control apply to all apartments in San Jose? The answer is no—only specific apartments are covered.
What Is Rent Control?
Rent control is a set of laws that limit how much landlords can increase rent and under what conditions they can evict tenants. In San Jose, the goal is to keep housing affordable and prevent displacement in a high-cost city. The main law governing rent control is the San Jose Apartment Rent Ordinance (ARO), established in 1979 to address rental housing challenges. Alongside it, the Tenant Protection Ordinance (TPO) provides eviction protections.
Rent control benefits tenants by capping rent increases and ensuring stability. However, it’s a debated topic. Some tenants feel it doesn’t go far enough, while landlords and developers argue it may discourage new housing construction.
Understanding Rent Control in San Francisco
The San Jose Apartment Rent Ordinance (ARO)
The ARO is the cornerstone of rent control in San Jose. It applies to specific apartments and sets rules for rent increases. Here’s what you need to know:
Which Apartments Are Covered?
The ARO applies to:
- Apartment buildings with three or more units.
- Buildings that were built and occupied before September 7, 1979.
Approximately 45,820 apartments in San Jose—about one-third of the city’s rental units—are covered by the ARO. If your apartment doesn’t meet these criteria, it’s likely not rent-controlled.
Rent Increase Limits
For covered apartments, the ARO sets strict rules:
- Landlords can increase rent once every 12 months.
- The maximum increase is 5% of the current rental rate.
- Landlords can petition the city for higher increases if they show significant capital improvements or financial need, but this requires approval from the Rent Stabilization Program.
Exemptions from Rent Control
Not all properties are covered by the ARO. The following are exempt:
- Single-family homes
- Duplexes
- Condominiums
- Townhomes
- Hotels, motels, or boarding houses rented to transient guests for less than 30 days
- Properties built after September 7, 1979
- Properties regulated or subsidized by a government agency
- Facilities like monasteries, convents, school dormitories, hospitals, extended care facilities, or nonprofit homes for seniors
If you live in one of these exempt properties, your landlord can raise rent without the ARO’s restrictions, subject to state laws like AB 1482.
Table: ARO Coverage and Exemptions
| Property Type | Covered by ARO? | Notes |
|---|---|---|
| Apartments (3+ units, pre-1979) | Yes | Subject to 5% annual rent increase limit |
| Single-family homes | No | Exempt under ARO and Costa-Hawkins Act |
| Duplexes | No | Exempt under ARO |
| Condominiums/Townhomes | No | Exempt under ARO and Costa-Hawkins Act |
| Hotels/Boarding houses (<30 days) | No | Exempt due to transient nature |
| Post-September 7, 1979 buildings | No | Exempt due to construction date |
| Government-subsidized units | No | Regulated by other agencies |
| Monasteries, dormitories, hospitals | No | Exempt due to special use |
Tenant Protections in San Jose
Beyond rent control, San Jose’s Tenant Protection Ordinance (TPO) offers additional safeguards. The TPO applies to:
- All residential buildings with three or more units.
- Guest houses and non-permitted units.
Just Cause Eviction
The TPO requires landlords to have a “just cause” for evicting tenants. There are 13 just causes in San Jose, including:
- Nonpayment of rent
- Violation of the lease
- Owner move-in (with proper notice)
- Removal of the property from the rental market (under the Ellis Act)
Relocation Assistance
If tenants are evicted for no fault of their own (e.g., owner move-in or property removal), landlords must provide relocation assistance. This includes:
- First and last month’s rent
- Security deposit for new housing
- Moving expenses
- Additional assistance for households with school-age children, elderly, or disabled members
For rent-controlled properties, landlords must give at least 120 days’ notice (or one year for elderly/disabled tenants) when removing a property from the rental market.
How to Check If Your Apartment Is Rent-Controlled
Unsure if your apartment is covered by the ARO? Here are two easy ways to find out:
- San Jose Rent Control Map: The City of San Jose provides an online map to check if your property is rent-stabilized.
- Contact the Rent Stabilization Program: Call (408) 975-4470 or visit the City of San Jose’s website for assistance.
Comparing San Jose’s Rent Control to Other Bay Area Cities
San Jose is one of several Bay Area cities with rent control. Here’s how it compares to others:
- Mountain View: Rent stabilization applies to apartments built before February 1, 1995, with a cap on annual increases based on the Consumer Price Index (CPI).
- Los Gatos: Rent control covers apartments with four or more units built before September 1, 1980, with similar rent increase limits.
- San Francisco: Rent control applies to units built before June 13, 1979, with stricter rules than San Jose’s.
Each city’s rules vary, so tenants should check local ordinances for specifics.
Table: Rent Control in Bay Area Cities
| City | Covered Units | Rent Increase Limit | Key Exemptions |
|---|---|---|---|
| San Jose | 3+ units, pre-September 7, 1979 | 5% annually | Single-family homes, duplexes, post-1979 units |
| Mountain View | Pre-February 1, 1995 | CPI-based | Single-family homes, newer units |
| Los Gatos | 4+ units, pre-September 1, 1980 | Varies | Single-family homes, newer units |
| San Francisco | Pre-June 13, 1979 | CPI-based (strict) | Single-family homes, post-1979 units |
The Broader Context of Rent Control in California
Rent control in San Jose operates within California’s broader legal framework. Two key state laws impact local rent control:
- Costa-Hawkins Rental Housing Act (1995):
- Prohibits rent control on single-family homes, condos, and units built after February 1, 1995.
- Allows “vacancy decontrol,” meaning landlords can raise rents to market rates when a tenant moves out.
- AB 1482 (Tenant Protection Act of 2019):
- Caps rent increases at 5% + CPI (up to 10%) for non-rent-controlled units built before 2005.
- Applies to San Jose units not covered by the ARO.
Proposition 33: A Potential Change
A proposed ballot initiative, Proposition 33, aims to repeal the Costa-Hawkins Act. If passed, it would allow cities to:
- Apply rent control to all housing types, including single-family homes and newer units.
- Control rent prices for new tenants.
Supporters argue this would protect more tenants from rising rents. Opponents, including San Jose Mayor Matt Mahan, warn it could discourage developers from building new housing, worsening the housing shortage. This debate highlights the tension between tenant protections and housing supply.
Frequently Asked Questions (FAQs)
- What is rent control?
- Rent control limits how much landlords can increase rent and protects tenants from unfair evictions.
- Does rent control apply to all apartments in San Jose?
- No, only apartments with three or more units built before September 7, 1979, are covered.
- What are the rent increase limits in San Jose?
- Landlords can raise rent once every 12 months, up to 5% of the current rate.
- What properties are exempt from San Jose’s rent control?
- Single-family homes, duplexes, condos, townhomes, hotels, post-1979 buildings, and government-subsidized units are exempt.
- What protections does the Tenant Protection Ordinance offer?
- It requires a just cause for eviction and provides relocation assistance for no-fault evictions.
- How can I check if my apartment is rent-controlled?
- Use the San Jose Rent Control Map or call (408) 975-4470.
- What is the Costa-Hawkins Act?
- It’s a state law that limits rent control to units built before February 1, 1995, and excludes single-family homes and condos.
- Is there a proposal to expand rent control in California?
- Yes, Proposition 33 would repeal Costa-Hawkins, allowing rent control on all housing types.
Conclusion
San Jose’s rent control laws, primarily the Apartment Rent Ordinance, apply only to apartments with three or more units built before September 7, 1979. These laws cap rent increases at 5% annually and work alongside the Tenant Protection Ordinance to prevent unfair evictions. However, many properties, like single-family homes and newer buildings, are exempt. Tenants can use tools like the San Jose Rent Control Map to check their apartment’s status.
The debate over rent control’s effectiveness continues, with some calling for stronger protections and others warning against policies that could limit housing development. Staying informed about local and state laws, like the proposed Proposition 33, is key for tenants and landlords alike.