Berkeley Rent Control for Owners and Buyers: Coverage, Fees, Move-In
By Matthew Martinez, Founder, CEO & Managing Broker, Diamond Real Estate Group. California DRE #01869679.
Berkeley rent control is run by the Berkeley Rent Stabilization Board under the city’s Rent Stabilization and Good Cause for Eviction Ordinance, and it sorts every rental unit into one of three groups: fully covered (rent ceilings plus eviction protection), partially covered (eviction protection and registration, but no rent ceiling) or exempt. For 2026 the Annual General Adjustment for fully covered units is 1.0%, and the Board has set 2.5% for January 1, 2027. Registration for fiscal year 2026-27 costs $397 per fully covered unit and $244 per partially covered unit, and a buyer inherits any fees the seller left unpaid.
This page reads the ordinance from the purchaser’s side of the table. It is written for investors and owner-occupants looking at Berkeley duplexes, small apartment buildings, and houses or condos with tenants in place. It covers how to tell which group each unit is in, what the current numbers are, what passes to you at closing, how owner move-in works, and what to collect before you remove contingencies. All figures are as of October 2026.
Fully covered, partially covered or exempt
Coverage is decided unit by unit. The Rent Board’s registration pages and its reference guide for real estate agents describe the groups this way; the guide notes that Measure BB, passed in November 2024, changed some exemptions, so check any unusual case with the Board.
| Group | Typical units | What applies |
|---|---|---|
| Fully covered | Most units in multifamily buildings built before 1980; single-family homes whose current tenancy began before 1996; single-family homes with five or more rooms rented on separate leases (each room counts as a unit) | Rent ceiling and AGA, good cause for eviction, security deposit interest, registration at $397 per unit for FY 2026-27 |
| Partially covered | New construction with a certificate of occupancy issued after 1980; most single-family homes; most condominiums; some subsidized units, such as Section 202 and Section 811 housing | No rent ceiling, but good cause for eviction, security deposit interest, and registration at $244 per unit for FY 2026-27 |
| Possibly exempt | A “golden duplex” where an owner of record holding at least 50% lives in one unit; certain properties with one single-family home plus an ADU where either unit is owner-occupied and the tenancy began after November 7, 2018; units shared with a resident landlord | Depends on the facts; the exemption must be claimed and can be lost if the conditions change |
| Not registered at all | Owner-occupied units, units kept for the owner’s own use, rent-free units | No registration; claim the status through the Rent Board’s online portal |
The golden duplex rule is narrow. The Rent Board’s December 2024 guide ties it to a duplex in which one unit was owner-occupied in 1979, and the exemption depends on a 50% owner of record actually living there. Since Measure BB, a unit shared with the landlord’s kitchen or bath is exempt only if the landlord lived on the property when that tenancy began.
As of October 2026, the Board’s registration page still says some owner-occupied duplexes and single-home-plus-ADU properties may be exempt, and its Measure BB summary lists no change to either rule. The detailed wording above comes from the December 2024 guide, so confirm the current test with the Board before you rely on it.
Rent ceilings and the Annual General Adjustment
Each fully covered unit has a legal rent ceiling, and the ceiling rises once a year by the Annual General Adjustment (AGA) on January 1. The AGA is 65% of the change in the Bay Area Consumer Price Index for the 12 months ending June 30, and Measure BB lowered its cap from 7% to 5%. The Rent Board adopts it each October.
| Year | AGA |
|---|---|
| 2023 | 4.4% |
| 2024 | 1.9% |
| 2025 | 2.1% |
| 2026 | 1.0% |
| 2027 (effective January 1, 2027) | 2.5% |
The 2027 order, Regulation 1149, attaches conditions. An owner cannot take the increase if any unit on the property is unregistered, if more than the lawful rent has been charged, or if there is an outstanding city housing code notice of violation or an unmet hearing examiner decision on habitability. For each month after October 1, 2026 that an owner fails to register, the allowable 2027 increase drops by 10%.
- Notice: 30 days in writing for an increase of 10% or less, and 90 days for anything larger.
- New tenancies and banking: the Rent Board’s AGA page says a tenancy that starts during a year is not eligible for an AGA for the rest of that year, and unused AGAs can be carried forward and taken later with proper notice.
- Above the AGA: since Measure BB, an owner can petition for a capital improvement increase only after the work is complete.
- Disputes: a tenant who questions an owner’s eligibility files a petition, and a hearing examiner decides.
When a fully covered unit turns over, Civil Code section 1954.53, part of the state’s Costa-Hawkins Rental Housing Act, generally lets the owner set the initial rent for the new tenancy, after which the ceiling and AGA apply again. The exceptions include a prior tenancy the owner ended by notice and a unit cited for serious code violations left unabated for 60 days before the vacancy. That reset is why current rents in a long-held Berkeley building can sit far below market, and why underwriting should rest on the actual rent ceilings rather than a pro forma.
Registration, fees and what you inherit at closing
Registration has two parts: the unit, with its annual fee, and each tenancy, which must be reported within 15 days of its start with the start date, number of tenants, initial rent, included housing services and bedroom count. Measure MM, approved in November 2020, extended registration to partially covered units. For tenancies that began on or after December 20, 2024, owners must also give tenants a written notice of their rights within 15 days.
- Due date: July 1 each year; the FY 2026-27 bills were due July 2, 2026.
- Penalty: a late fee doubles the bill, and another 100% is added every six months it stays unpaid.
- Effect of not registering: the Rent Board says units must be properly registered for an owner to raise rents or evict, and a registration failure can be a defense in an eviction case.
The point that catches buyers is on the Board’s sale-of-property page: new owners are responsible for the prior owner’s outstanding debts, including unpaid registration fees and penalties. Rent levels and tenancy terms transfer to you unchanged, and the sale itself is not a cause for eviction. Update the ownership record with the Board as soon as you close, and ask the seller to transfer tenants’ security deposits, or you may owe them back under state and local law.
Good cause for eviction after Measure BB
Fully and partially covered tenants can be evicted only for a cause the ordinance lists. Measure BB tightened several of them. Eviction for nonpayment now requires rent owed of at least one month of the Fair Market Rent, a tenant cannot be evicted for refusing to sign a substantially similar new lease, and a lease-violation case requires substantial, actual harm and unreasonable conduct by the tenant.
Two practical consequences follow for a buyer. First, vacant delivery is something the seller has to produce lawfully before closing, not something you can arrange afterward by giving notice. Second, any voluntary buyout falls under Berkeley’s tenant buyout ordinance, and tenants are not required to accept one. Our guide to cash-for-keys agreements in California covers the general mechanics, and the just cause eviction guide for landlords explains how state and local rules fit together.
Owner move-in rules
Many buyers of a small Berkeley building plan to live in one unit. The Rent Board’s owner move-in page sets these conditions, and they bind the owner long after closing:
- Who may move in: the owner, or the owner’s spouse, registered domestic partner, parent or child.
- Ownership share: the landlord must hold at least 50% of the unit of record.
- Occupancy: the owner or relative must move in within three months of the tenancy ending and live there for 36 continuous months.
- Protected tenants: an owner with at least a 10% interest in five or more Berkeley rental units cannot remove a tenant of five years or more who wants to stay; with four or more units, the same applies to a tenant 60 or older or disabled with five years of tenancy. Narrow exceptions exist.
- School year: a household with minor children cannot be evicted if the notice expires while the Berkeley Unified School District year is in session.
- One unit per property: once possession of one unit is recovered for owner move-in, no current or future owner may use owner move-in for a different unit on that property.
- Comparable units: the owner must disclose Berkeley ownership interests of 10% or more, and cannot proceed if a comparable Berkeley unit is available.
- Return right: the displaced tenant has a right to reoccupy when the owner or relative leaves, with no time limit.
The one-unit-per-property rule matters at purchase. If a past owner already used owner move-in on the building, that route may be limited to the same unit, so ask the seller and check the property file.
Relocation payments for 2026 and 2027
Owner move-in and Ellis Act evictions require a relocation payment, deposited with the Rent Board within 10 days of serving the notice. The amounts are indexed to inflation.
| Payment | 2026 | From January 1, 2027 |
|---|---|---|
| Standard payment (household in the unit at least one year) | $19,413 | $20,151 |
| Additional payment for qualifying households | $6,471 | $6,717 |
The additional amount can apply to households that are low income, that include elderly or disabled tenants or minor children, or whose tenancy began before January 1, 1999. The Board approved the 2027 figures, a 3.8% increase, on October 15, 2026. Separately, the Board’s fee schedule lists an Ellis Act administration fee of $250 per unit.
What to collect before you remove contingencies
The Rent Board’s reference guide for agents suggests a sequence that works well as a buyer’s checklist. Pair it with the general steps in our guide to buying a property with tenants.
- Request a tenancy printout from the Rent Registry for each unit, showing rent levels and any outstanding fees or penalties.
- Call a Rent Board housing counselor to ask whether a property file exists, and request it through the city’s public records portal.
- Get tenant estoppels with the leases attached, confirming rent, deposits and open repair requests. Our estoppel certificate guide shows what to ask for.
- Confirm every exemption with paper, such as the certificate of occupancy date, owner-occupancy evidence for a golden duplex, or an exemption claimed in the portal.
- Ask about past owner move-in or Ellis notices and any pending petitions.
- Collect the city’s sale-time records, including the private sewer lateral and BESO energy items, which our Berkeley sale-readiness records guide organizes, and price the city’s transfer tax.
- Underwrite on actual ceilings, the current AGA and the fees you will pay, not projected market rents.
Diamond may refer you to partners we work with, such as property managers or landlord-tenant attorneys; you’re free to choose any provider.
How Berkeley compares with state law and nearby cities
For units without a Berkeley rent ceiling, the state’s Tenant Protection Act may still cap increases unless one of its exemptions applies; our AB 1482 guide for landlords walks through them. Oakland runs a different system, with its own registry, CPI formula and owner move-in steps, covered in our Oakland rent rules for buyers. For a side-by-side view of East Bay cities, see the East Bay rent stabilization comparison.
Questions people ask
What is the Berkeley rent increase for 2026?
The Annual General Adjustment for fully covered units is 1.0% for 2026. The Rent Board has set the 2027 AGA at 2.5%, effective January 1, 2027, for owners who are otherwise eligible.
Does Berkeley rent control apply to single-family homes and condos?
Most are partially covered: no rent ceiling, but good cause for eviction and registration still apply. A single-family home whose current tenancy began before 1996 is fully covered.
How much is the Berkeley rent registration fee?
For fiscal year 2026-27 it is $397 per fully covered unit and $244 per partially covered unit, due July 1 each year. A late payment doubles the fee.
Can I raise the rent after I buy a Berkeley rental?
Only as the ordinance allows. Rent ceilings and tenancy terms transfer with the sale, so a fully covered unit keeps its ceiling and can rise only by the AGA, with proper notice, while the property is registered and fees are paid.
Can I move into a unit after buying a Berkeley duplex?
Possibly, through an owner move-in eviction, if you own at least 50%, move in within three months, live there 36 months, pay relocation and the tenant is not protected. A golden duplex where you live in one unit may be exempt from the ordinance altogether.
What is a golden duplex in Berkeley?
The Rent Board’s December 2024 agent guide describes it as a duplex where one unit was owner-occupied in 1979 and a 50% owner of record still lives in one unit. If those conditions hold, the other unit can be exempt, but confirm the current test with the Board for any specific property.
Who pays unpaid Rent Board fees when a property sells?
The Rent Board holds the new owner responsible for the prior owner’s outstanding fees and penalties, so request a tenancy printout and have escrow settle any balance before closing.
Buying or selling a Berkeley rental property starts with knowing what each unit is. If you are weighing a building, talk with us through our Berkeley buyer services, or see how we approach investment property across the Bay Area. Owners preparing a sale can start on our Berkeley seller page.
This page is general information about Berkeley’s rent ordinance, not legal advice; a California landlord-tenant attorney should review any owner move-in, buyout or exemption question before you act, and the Rent Board’s housing counselors can confirm a unit’s status.
Sources & notes
- Berkeley Rent Board: Annual General Adjustment
- Berkeley Rent Board: AGA list, 1981 onward
- Berkeley Rent Board: Annual General Adjustment Order for 2027 (Regulation 1149)
- Berkeley Rent Board: Measure BB changes to the Rent Ordinance
- Berkeley Rent Board: Registration
- Berkeley Rent Board: Fully covered unit registration
- Berkeley Rent Board: Partially covered unit registration (Measure MM)
- Berkeley Rent Board: Fees guide for property owners (FY 26-27)
- Berkeley Rent Board: Administrative fee schedule
- Berkeley Rent Board: Sale of property
- Berkeley Rent Board: Reference guide for realtors (December 2024)
- Berkeley Rent Board: Owner move-in eviction
- Berkeley Rent Board: 2027 adjustments of relocation assistance payments (October 20, 2026)
- California Public Law: Civil Code section 1954.53 (Costa-Hawkins initial rent)
Last reviewed October 2026 by Matthew Martinez.