Information for Landlords

  1. Is my unit subject to the Residential Rent Stabilization and Tenant Protection Ordinance (RRSO)?

Yes. All rental units are subject to noticing requirements and most rental units are subject to harassment and retaliation protections, just cause for eviction, and prohibition of discrimination related to source of income. About half of rental units in the City of Hayward are subject to the City’s rent increase limits. See individual sections of the Residential Rental Stabilization Ordinance for more information about the exemptions that apply.

To determine if you have a Covered Rental Unit and which tenant protections outlined in the RRSO apply, please look up your unit by address or APN number in the Rent Review Database.

Please be aware that some units that are not subject to the City’s Rent increase limit may be subject to the rent increase limit in the California Tenant Protection Act and you are responsible to determining if State housing provisions apply to your unit. Please see Housing is Key website for more information.

  1. Is my unit rent-controlled by the City?

The Residential Rent Stabilization & Tenant Protection Ordinance (RRSO) describes the criteria for Covered Rental Units (e.g., units that are rent controlled under RRSO). Broadly, Covered Rental Units were built before July 1, 1979 and are multi-unit properties. There are a few major exceptions to this that would make a unit built before July 1, 1979 not covered under the Rent Increase Threshold section of the Ordinance:

  • Single unit properties that are exempt due to state law (Costa Hawkins);
  • Owner occupied properties with a legal accessory dwelling unit such as a converted garage;
  • Affordable housing units with other rent controls;
  • Hospitals, care facilities, convalescent homes, and transitional housing;
  • Motels, hotels, inns, and boarding houses; Non-profit cooperative units owned/occupied by most of the owners.

You can see if your unit is a covered rental unit by searching the Rent Review Database.

Please be aware that some units that are not subject to the City’s Rent increase limit may be subject to the rent increase limit in the California Tenant Protection Act and you are responsible to determining if State housing provisions apply to your unit. Please see Housing is Key website for more information.

  1. If my unit is covered by the City’s rent increase limits, how much can I increase rent?

Landlords can increase rent on an occupied Covered Rental Unit once in a 12-month period based on the following reasons:

  • Annual rent increase: A landlord may increase a tenant’s rent once in a 12-month period by 5% or less of the tenant’s current rent;
  • Banked Rent Increase: “Banked or Banking” refers to annual rent increases (up to 5%) not charged to the tenant. Any year since 2018 that the landlord did not increase the rent, would be considered a banked rent increase. The landlord can charge the banked rent increase in the future years with the annual increase. The total rent increase (annual increase plus the banked rent increase) may be 10% or less of the tenant’s current rent. Banked increases may be deferred up to 10 years. Banked increases not given to the tenant within a 10-year period expire. Landlords must give the tenant a copy of the rental history if they are giving a banked rent increase.
  • Capital Improvement Pass-Through: Half of capital improvement costs may be charged to the tenant to cover a portion of the landlord’s cost for improvements that benefit the tenant. The improvements must be completed and paid for by the landlord before they can charge the tenant. The amount of the increase must be approved by the City. The landlord must ask for approval from the City within 24 months of completing the work. The increase cannot be more than 10% of the tenant’s current rent (including annual rent and banking increase applied). The City’s approval must be attached to the rent increase notice that includes a capital improvement pass-through. This is not considered a rent increase. The increase must be removed after half of the costs for the improvement have been recovered by the landlord. If the landlord does not get approval, the tenant can request rent review and the landlord will have to provide evidence to justify the increase.
  • Fair Return Rent Increase: Rents can be increased above 5% if it is necessary for a landlord to cover costs and get a fair return on their investment as defined in the RRSO. The landlord can request City approval through the rent review process. Through this process, the landlord will have to provide evidence to justify the rent increase. If the landlord does not get approval, the tenant can request rent review and the landlord will have to provide evidence to justify the increase.

Tenants in Covered Rental Units can file a petition disputing any rent increase above 5%. The dispute would be resolved during mediation or arbitration.

  1. How much can I raise the rent following a vacancy?

Rent increases following a vacancy depend on the nature of the vacancy.

  • Rent Increase after Non-Voluntary Vacancies: Landlords can increase rent up to 5% of previous tenant’s rent following a landlord-initiated termination of tenancy or eviction. The 12-month period does not apply.
  • Rent Increase after Voluntary Vacancies: Landlords can set initial rent without limitation. The 12-month period does not apply.

  1. What is the process for obtaining City review and approval for a rent increase over 5% that is related to an increase in rent related to Capital Improvement or a Fair Return?

Landlords must submit petitions to the Rent Review Office and receive approval prior to increasing rent for capital improvement pass-throughs or fair returns. To file for a capital improvement pass-through, you must submit a Landlord Petition and Capital Improvement Schedule A Form. To file a fair return increase, you must submit a Fair Return Schedule B Form along with the Landlord petition.

  1. If I increase the parking fee or add charges for other services, is that a rent increase?

Yes. A rent increase is any additional rent requested by the Landlord from the Tenant. This includes any increase in housing service costs or a reduction in housing services. Housing services include insurance, repairs, replacement, maintenance, painting, lighting, heat, water, elevator service, laundry facilities, janitorial service, garbage removal, furnishings, parking, security service, and/or employee services. Increases to utility cost pass through that are included in your lease agreement may not be considered a rent increase. However, tenants have the right to petition utility cost pass-throughs if they exceed 1% of the tenant’s rent and the landlord has not provided supporting documentation to the tenant.

  1. What if my tenant disputes a rent increase?

Under Hayward’s Residential Rent Stabilization and Tenant Protection Ordinance (RRSO), tenants in Covered Rental Units can petition to dispute rent increases above 5%, improper notices, excessive utility charges, or reductions in housing services. Landlords may file petitions to raise rent above the allowed threshold or to pass through capital improvement costs. After a petition is filed, tenants must first attempt a “meet and confer” with the landlord. If unresolved, the case goes to voluntary mediation. If mediation fails or is waived, it proceeds to arbitration.

In arbitration, both parties can submit evidence, but the landlord carries the burden of proof to justify rent increases or charges. The arbitrator makes a decision based on the preponderance of evidence, which becomes final after 30 days. If the decision favors the landlord, the tenant must pay any approved increases. If it favors the tenant, the landlord must refund overcharges, or the tenant may deduct them from future rent.

  1. What do I do if my tenant can’t pay rent?

For immediate access to housing and community resources, we recommend contacting 211, a free and confidential service that connects residents with a wide range of local support, including:

  • Rental assistance programs
  • Emergency shelter and housing referrals
  • Food, utilities, and other basic needs resources
  • Support for seniors, people with disabilities, and families in need

How to contact 211: By phone: Dial 2-1-1 or visit https://211.org/ to search for services in your area.

If your tenant is unable to make rent payments, you can refer them to several back rental assistance. Echo Housing also assists with processing emergency applications for Seasons of Sharing. For individuals who do not meet the criteria for Seasons of Sharing, the Housing & Emergency Lodging Program (HELP) may offer tenants with rental relief.

Prior to filing in small claims court, we encourage you to negotiate a repayment plan with your tenant. You should seek legal counsel for further assistance for non-payment of rent. While the City cannot provide legal advice, landlords may consult private attorneys or nonprofit legal organizations for guidance:

  1. How much can I increase utility costs?

A landlord can only charge tenants for utility costs (like water or electricity) using a shared ratio utility billing system (“RUBS”) if it is clearly written into the lease. Tenants cannot be charged more than their portion of the actual utility costs for the building, based on how those costs are divided under the RUBS system. These utility charges are not considered part of the rent.

Within two (2) months receipt of a utility rate cost increase and/or any increase in utility services costs above one percent (1%) of the Tenant's existing Rent, upon request by a Tenant, the Landlord shall provide the Tenant(s) documentation supporting the level of increase, including at a minimum:

  • Proof of the Governmental-Utility Service cost for the entire building showing the amount paid by the Landlord for each billing period for a twelve-month period prior to the increase in the Governmental-Utility Service;
  • Proof of the Governmental-Utility Service cost by month or billing period apportioned to each unit for a twelve-month period prior to the increase in the Governmental-Utility Service;
  • Billing notices or other equivalent documents from the agency imposing the increase reflecting the amount of increase in the Governmental-Utility Service cost for the entire building; and
  • The RUBS or unmetered allocation arrangement calculations used by Landlord or third-party agency on behalf of the Landlord to apportion the increased costs among the Tenants.

  1. How much can I increase rent if my tenant receives Section 8/HCV?

The City does not administer the Housing Choice Voucher (Section 8) program. For questions about rent increases for tenants who receive Housing Choice Vouchers, please contact the Housing Authority of Alameda County at (510) 538-8876.

  1. What information am I required to provide a new tenants to be in compliance with the RRSO?

Form

Covered Rental Unit

Rental Unti

Notice of the RRSOX 
Notice of Increase in Governmental Utility Costs
(see questions above for more information on this notice)
X 
(included in the Notice of the RRSO)
XX
Notice of the Tenant Relocation Assistance OrdinanceXX

*Please note that additional requirements by state law still apply in addition to the requirements for the RRSO

If a landlord doesn’t give a tenant the required notices or information under the RRSO, they can’t charge the tenant a rent increase—even if it would normally be allowed. This also means the landlord can’t use that rent increase to try to evict the tenant or take them to court for unpaid rent. However, the landlord can fix this mistake by giving the proper notice or information before trying to raise the rent or evict the tenant.

  1. What information am I required to provide to the City of Hayward?

The following must be supplied to the Rent Review Office for ALL units:

  • Copies of Rent Increase Notices
  • Copies of Termination Notices (e.g., cure/pay or quit notices) including notices to the tenants about their right to relocation assistance, if applicable.

All notices can be mailed or emailed to the Rent Review Office (777 B Street, Hayward, CA 94541 or housing@hayward-ca.gov) and must be submitted within 30 calendar days of informing the tenant.

  1. What do I need to know about selling a property that currently has a tenant in it?

The City of Hayward has just cause protections for evictions. Additionally, State Law ensures that tenants who have a rental agreement have the right to remain through the end of the rental agreement under the same terms and conditions (see California Tenants: A Guide to Residential Tenants and Landlords Rights and Responsibilities).

To ensure that you remain in compliance with local and State law, you should contact an attorney for guidance prior to selling a property that is currently occupied by a tenant(s).

  1. How do I evict a tenant?

You must follow Hayward and State law regarding evictions. Before starting the eviction process, we recommend you consult an attorney. The City of Hayward cannot provide legal advice. Landlords can contact the Alameda County Bar Association or the East Bay Rental Housing Association for referrals.

You must give tenants a written notice of termination of tenancy. In Hayward, landlords must list the reason for an eviction and it must be one of 16 just cause reasons. If you do not state the reason for eviction, your tenant can use this as defense against the eviction. If the reason for the eviction is a “no fault eviction”, the landlord may be required to pay permanent or temporary relocation assistance.

Landlords must also file a copy of the notice to terminate tenancy with the City, which can be submitted via email to Rental.Notifications@hayward-ca.gov. Review the Alameda County Court self-help page for additional information on the eviction process.

  1. As a landlord, what fees are associated with my rental unit(s)?

Landlord are required to pay two fees.

Landlords may have additional business license fees. Please contact Revenue Division to learn more about business license fees.

  1. Can my tenants rent to other people who are not on the lease?

This depends on the rental agreement with your tenant. Please also see guidance from the State on subleases and assignments in California Tenants: A Guide to Residential Tenants and Landlords Rights and Responsibilities.

If you are concerned about tenants not on the original lease, you should consult an attorney to understand your rights.

  1. When do I have to pay relocation assistance to my tenants?

There are three kinds of relocation assistance as detailed in the Tenant Relocation Assistance Ordinance: permanent relocation assistance, temporary relocation assistance, and relocation assistance due to a governmental agency’s order to vacate.

  • Landlords must pay permanent relocation assistance with tenants face no-fault evictions.
  • Landlords must pay temporary relocation assistance to provide financial help to tenants who cannot stay in their rental unit for a temporary time because the landlords must make substantial repairs to the unit.
  • Landlords must pay relocation assistance due to a governmental agency’s order to vacate for tenants who cannot stay in their rental unit because of health and safety violations.

In some cases, tenants may need to leave the unit for repairs, but landlords are not required to make temporary relocation payments. This happens if a governmental agency determines that:

  • The damage was caused by natural disasters. Examples include a fire, flood, or earthquake.
  • The tenant or their guest caused or substantially contributed to the damage.

For more information about Tenant Relocation Assistance, please refer to the Ordinance and Hayward’s tenant relocation assistance webpage.