Can a Landlord Raise the Rent with No Contract?
A written lease is not required to rent a home or apartment. It comes in handy, though, when you want to lock in rent for lengthy period of time. Without a written agreement, a landlord can raise the rent with a limited amount of notice. The only exception to this rule applies to units covered by a local rent control ordinance.
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Notice Requirements
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When you don't have a lease, the only thing standing between you and a rent raise is a notice from your landlord. Unless otherwise regulated state or local law, a landlord can raise your rent with a 30-day notice. In California, state law mandates a 60-day notice if the rent increase is more than 10 percent. The same rule applies for increase of 10 percent or more in Seattle. Some states, such as California, require written notice. Others allow verbal notice. The notice can be delivered in person or by mail.
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Unless prohibited by local law, there is no limit to the number of rent raises a landlord can give in the absence of a written lease. He could send a rent raise notice every month of the year.
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Rent Raise Amount
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Unless regulated by local law, there is no limit on the rent raise. Although most landlords understand they risk losing a tenant by raising rents above market rate for the area and type of unit they are renting, there is nothing that prohibits them from raising rents in excess of market rate in the absence of a written lease.
Exceptions
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Communities in only the District of Columbia and four states -- California, Maryland, New Jersey and New York -- have rent control ordinances. These ordinances, although each different, limit how much and how often rent can be raised. In San Francisco, for instance, rent raises can only take place once a year and are limited to a formula tied to the consumer price index.
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References
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