Owning rental property in Los Angeles is rewarding—but only if you stay compliant with a dense web of rules. From federal Fair Housing standards to California’s Tenant Protection Act and Los Angeles-specific RSO/SCEP requirements, the details matter.
At TGN Property Management, our mission is to make compliance simple, consistent, and stress-free.Throughout this guide, our Los Angeles Property Management Company recommends proven processes you can put in place today. This is general information, not legal advice; always consult your attorney for specific situations.
Why Compliance Matters
- Avoid costly penalties and lawsuits: Noncompliance can trigger fines, rent refunds, or legal exposure.
- Protect NOI and asset value: Compliant operations reduce vacancy, disputes, and turnover costs.
- Enhance tenant trust: Following the rules builds reputation and retention.
As TGN Property Management, our Los Angeles Property Management Company recommends treating compliance as a daily operating system, not a once-a-year task.
Start With the Three Layers: Federal, State, Local
Compliance always stacks from broad to specific. You must meet all three.
- Federal requirements
- Fair Housing Act (FHA) and ADA: Prohibit discrimination and require reasonable accommodations/modifications. Train staff, standardize screening, and document decisions.
- FCRA (tenant screening): If using credit reports, follow proper disclosures, authorizations, and adverse-action notices.
- EPA/Lead-Based Paint: For homes built before 1978, provide disclosures and follow lead-safe practices for work that disturbs paint.
- California state requirements
- AB 1482 (Tenant Protection Act): Just-cause eviction rules and annual rent cap on many properties. Certain exemptions apply—verify before acting.
- Security deposits (AB 12, effective 2024): For most landlords, the security deposit cap is generally one month’s rent. Some small-owner exemptions may apply—confirm your status.
- Habitability (Civ. Code 1941.1): Maintain essential services, pest control, weatherproofing, and safety.
- Required disclosures: Mold, bedbugs, flood risk in certain areas, and more where applicable.
- Entry notice: Typically 24 hours for non-emergencies—use written, timestamped notices.
- Privacy & data: California privacy rules (CCPA/CPRA) influence how you store, protect, and delete tenant data.
- City of Los Angeles and LA County rules
- Los Angeles RSO (Rent Stabilization Ordinance): Applies to most multi-unit properties built before 1978; governs rent increases, just-cause, and relocation assistance.
- SCEP inspections (LAHD): Periodic habitability inspections; address citations promptly.
- Rental registries/filings: Annual registrations and fees may apply; keep proofs of payment.
- Local notice forms and timelines: LA-specific just-cause and relocation paperwork are common pitfalls.
Because local rules evolve, our Los Angeles Property Management Company recommends a quarterly city and county compliance review.
The Compliance Blueprint TGN Property Management Uses
Here’s the operational framework we use across our portfolio. Adapt it to your properties for consistent results.
- Policy and training
- Standardize your policies: Fair housing, screening criteria, rent increases, notices, repairs, vendor onboarding.
- Annual training: Fair Housing, ADA accommodations, habitability, and privacy/data handling.
- Centralized forms: Keep DRE-compliant leases and LA-specific addenda in one source of truth.
- Documentation and audit trails
- Everything in writing: Screening results, notices, approvals, repairs, vendor licenses, inspections.
- Retention: Keep leases, move-in/move-out docs, ledgers, and maintenance records for several years after tenancy ends.
- Adverse action: If you deny an application or increase deposit based on screening, follow FCRA rules and document reasons.
- Calendar discipline
- Annual tasks: Rent cap calculation under AB 1482, rental registrations, safety checks (smoke/CO alarms), insurance renewals.
- Recurring tasks: RSO timelines, SCEP phases, vendor re-verification, maintenance cycles, habitability checks.
- Change management: When laws change, update leases, notices, and staff training immediately.
- Maintenance and inspections
- Proactive habitability: Seasonal HVAC checks, plumbing, weatherproofing, pest control, and safety devices.
- Turnover standards: Document condition with photos/video; complete required disclosures; ensure code-compliant repairs.
- Corrective action: Track work orders to completion and confirm with the resident.
- Vendor compliance
- Verify licenses/insurance: Contractors and property service providers should be properly licensed and insured.
- Scope and permits: Pull permits for work that requires them; keep copies on file.
- W-9s and 1099s: Keep tax documentation current.
- Financial controls
- Trust accounting: Follow DRE trust account standards if you manage funds for others.
- Security deposits: Respect caps, handle itemizations precisely, and return on time with receipts for deductions.
- Rent increases: Calculate within caps and use correct city/state forms and timelines.
Our Los Angeles Property Management Company recommends auditing these six areas at least once a year—and after any major law change.
Technology Stack That Makes Compliance Easier
- Property management software: Centralize leases, notices, maintenance logs, and ledgers; ensure role-based access to protect data.
- E-sign and time-stamping: Demonstrates delivery and acceptance for notices and forms.
- Document templates and workflows: Preload LA- and CA-specific notices to reduce human error.
- Secure storage and backups: Encrypt sensitive tenant data; set deletion schedules that align with retention policies.
TGN Property Management uses tech to standardize processes, then layers human review for accuracy. Our Los Angeles Property Management Company recommends selecting software that supports custom fields for RSO/AB 1482 tracking.
Common LA Compliance Pitfalls (And How To Avoid Them)
- Using generic notices: LA often requires specific language and timelines. Solution: Use city-approved templates.
- Rent increases beyond caps: Miscalculations happen. Solution: Double-check AB 1482 and RSO status before issuing any increase.
- Security deposit mistakes: Exceeding caps or late itemizations trigger claims. Solution: Calendar the deadlines and use itemized checklists with receipts.
- Informal screening: Inconsistent criteria can look discriminatory. Solution: Apply a written screening policy uniformly, and document.
- Maintenance delays: Slow habitability fixes can lead to rent reductions or suits. Solution: 24–48 hour response targets and escalations for critical issues.
Our Los Angeles Property Management Company recommends a quarterly “top-five risks” review to spot and fix blind spots.
Quick FAQ
- What agencies enforce rules?
- Federal: HUD/DOJ for Fair Housing; CFPB/FTC touching FCRA matters.
- State: California Civil Rights Department, Department of Real Estate (DRE).
- Local: Los Angeles Housing Department (LAHD) for RSO, SCEP, and related programs.
- Are all properties subject to AB 1482 and RSO?
- No. Some single-family homes and newer buildings may be exempt from AB 1482, and RSO depends on year built and unit type. Always verify property status before acting.
- What’s the current security deposit limit in California?
- As of 2024, AB 12 generally caps most security deposits at one month’s rent, with limited exemptions. Confirm how the law applies to your specific ownership profile.
- How should I handle accommodation requests?
- Engage in a prompt, interactive process, request only lawful verification where appropriate, and document outcomes. Train staff annually.
Partner With TGN Property Management
Compliance is a daily discipline, not a checkbox. TGN Property Management builds it into every step—from screening to renewals, maintenance, and move-out accounting—so owners can focus on performance. If you need a portfolio audit or want a turnkey solution, we’re here to help.Before your next lease cycle, our Los Angeles Property Management Company recommends:
- Audit your lease package and notices for AB 1482/RSO alignment.
- Confirm your property’s RSO status and SCEP schedule.
- Recalculate rent caps and review security deposit practices.
- Refresh staff Fair Housing training and screening standards.
- Centralize documentation in a secure, searchable system.
For owners who want peace of mind and consistent NOI, TGN Property Management is your compliance partner in Los Angeles.