Santa Cruz County, CA Rental Property Rules: Rent Control (2026)

Despite multiple efforts, neither unincorporated Santa Cruz County nor any of the four incorporated cities currently has a permanent local rent-control ordinance. In November 2018, City of Santa Cruz voters rejected Measure M, which would have established a Rent Board and capped annual increases at the CPI. The County and the cities therefore rely on the statewide Tenant Protection Act of 2019 (AB 1482, Cal. Civ Code 1947.12). AB 1482 caps annual rent increases at 5% plus the change in the regional Consumer Price Index, with an absolute maximum of 10%, for rentals more than 15 years old (a rolling 15-year exemption). Exemptions include single-family homes and condos owned by non-corporate landlords (with proper written notice in the lease), new construction under 15 years, owner-occupied duplexes, and deed-restricted affordable housing. Vacancy decontrol is allowed - the cap resets when a tenancy ends voluntarily or for cause. Owner-paid utilities, parking, and amenities cannot be unbundled to circumvent the cap. The County's high housing costs and the post-CZU fire housing shortage continue to drive renewed local discussion of rent stabilization.