1. Start with your lease
Your lease may say when the rent can change, by how much, or how you have to tell your tenant. Read it before anything else: what you agreed to in writing is the first rule you have to follow.
2. Check the rules where the property is
There's no federal cap on rent increases, and most states don't set one. Some states and cities do limit increases (you'll often see this called rent control or rent stabilization), and the notice you must give before the new rent starts also depends on where the property is and on your lease.
So check two levels: your state and your city or county. Official state and city websites are the best place to look. If anything is unclear, ask a local lawyer or a landlord association before you send the notice.
3. Choose the amount
Once you know the limits, if any, pick a percentage and look at the result in dollars. Our rent increase calculator shows the new rent and the increase per month and per year, which helps you weigh it against the market and against keeping a good tenant.
4. Give written notice in time
Put the new amount and the date it starts in writing, and deliver it the way your rules and your lease require. Enter the start date and the notice period in the calculator to see the last day to give notice. Leave yourself a margin: how the days are counted and how notice must be delivered can also depend on local rules.
Keep a copy of the notice and a note of when and how you delivered it.
5. Update your records
When the new rent starts, use the new amount on your receipts. Our rent receipt generator makes a PDF receipt for each payment.
A note on security deposits
If you're also reviewing the deposit, deposit limits and return deadlines vary by state, so check them the same way.