Property Management Blogs | Coastal Oak Property Management

Navigating Orange County, California Property Management Laws

Written by Matthew Martin | Jan 31, 2025 10:37:53 PM

California’s rental laws are constantly changing, and staying compliant can be a challenge for any landlord. Orange County property owners must follow both statewide regulations and city-specific ordinances that impact rent control, security deposits, tenant screening, and eviction procedures. Understanding Orange County California property management laws helps you avoid costly mistakes and protect your investment.

Falling behind on new regulations can lead to fines, lawsuits, or extended vacancies. That’s why many landlords turn to professional property managers like Coastal Oak, experts who track these changes and keep your rentals compliant year-round.

Understanding the California Laws That Impact Orange County Landlords

Every California landlord must comply with statewide rental regulations. While these laws apply across the state, they directly affect how Orange County landlords operate day to day.

Rent Cap and Just Cause Eviction (AB 1482)

The Tenant Protection Act (AB 1482) limits annual rent increases and provides “just cause” eviction protections for tenants.

  • Most properties built before 2005 fall under this law.
  • Landlords can increase rent only up to 5% plus the regional Consumer Price Index (CPI), capped at 10% per year.
  • Evictions must meet a valid cause, such as nonpayment or lease violations.

Certain properties are exempt, such as single-family homes not owned by corporations, but landlords must provide written notice of exemption in the lease.

Security Deposit Laws

Under AB 12 (2024), landlords can collect no more than one month’s rent as a security deposit for any residential property, whether furnished or unfurnished. However, if you own no more than two rental properties with up to four units total, you’re allowed to collect up to two months’ rent.

Deposits must be returned within 21 days after a tenant moves out, along with an itemized list of any deductions. Starting in 2025, AB 2801 will also require landlords to provide photo documentation of property condition at move-in and move-out.

Tenant Screening and Source of Income Rules

California’s fair housing laws prohibit income discrimination. That means landlords must consider all legal sources of income, including housing vouchers, disability payments, and other public assistance, when screening tenants.

Landlords must also apply screening criteria consistently, including credit, rental history, and income verification.

Fair Housing and Accessibility

Federal and state laws protect tenants from discrimination based on race, color, religion, sex, familial status, disability, or national origin. California extends those protections to include sexual orientation, gender identity, and source of income.

Property owners are responsible for providing reasonable accommodations and ensuring accessibility in common areas.

Local Orange County Regulations Landlords Should Know

Beyond statewide requirements, Orange County landlords must also comply with city-specific ordinances that vary by location. Cities like Santa Ana and Anaheim have introduced local rent stabilization and tenant protection programs in recent years.

Santa Ana Rent Stabilization Ordinance

Santa Ana’s rent control law limits annual rent increases to 3% or 80% of CPI, whichever is lower, for most multi-unit properties built before 1995. It also requires “just cause” for evictions and caps security deposit amounts in line with state law.

Landlords in Santa Ana must register rental units with the city and provide tenants with a Rent Stabilization and Just Cause Ordinance notice at lease signing.

Anaheim Rental and Inspection Rules

Anaheim has adopted rental inspection programs to ensure that properties meet health and safety standards. These inspections can include electrical, plumbing, and structural checks. Landlords are required to maintain habitability standards and keep records of completed repairs.

Short-Term Rentals and Permitting

Several Orange County cities have restrictions on short-term rentals (STRs) such as Airbnb or Vrbo. For instance, Newport Beach requires short-term rental permits and enforces occupancy limits, while other areas have banned them entirely in residential zones.

Since local ordinances differ, landlords with multiple properties should review each city’s requirements before advertising or leasing a unit.

Tenant Protections and Fair Housing Standards

California places a strong emphasis on tenant rights, and understanding these rules helps prevent disputes and legal issues.

Habitability Standards

Landlords must maintain rental units in a condition that meets California’s implied warranty of habitability. This includes working plumbing, heat, electrical systems, and protection from leaks or pests. Failure to address repair requests promptly can result in rent withholding or legal claims.

Privacy and Entry Requirements

Landlords must give at least 24 hours’ notice before entering a tenant’s home for inspections or repairs, except in emergencies. Repeated unannounced visits or failure to respect tenant privacy can lead to penalties.

Coastal Oak’s Commitment to Compliance

At Coastal Oak, we help property owners stay compliant through proactive maintenance and consistent communication. Our team documents every repair, schedules regular property inspections, and keeps detailed records, ensuring your properties always meet state and local habitability standards.

Avoiding Legal Pitfalls Through Professional Property Management

Staying current with Orange County California property management laws takes time, research, and constant monitoring. Partnering with a professional property management company like Coastal Oak ensures you don’t miss important updates or deadlines.

How Coastal Oak Protects Landlords

Our team handles the legal and administrative side of property management, including:

  • Drafting compliant lease agreements and renewal terms
  • Tracking changes to rent control or eviction laws
  • Managing security deposit accounting and documentation
  • Issuing accurate notices and maintaining proper records
  • Training staff in fair housing and tenant communication best practices

For example, when Santa Ana introduced its new rent stabilization ordinance, Coastal Oak immediately updated lease agreements and owner communications to align with the new law, ensuring clients stayed compliant without interruption.

Why Compliance Matters for ROI

Legal missteps can quickly eat into rental income. Fines, legal fees, and lost rent during disputes cost far more than professional management fees. By staying proactive, you protect your investment, reputation, and long-term returns.

Stay Compliant and Stress-Free with Rental Law Guidance from Coastal Oak

Orange County’s rental laws continue to evolve, and even small oversights can create major headaches for landlords. It’s essential to protect your investment and maintain positive tenant relationships.

At Coastal Oak Property Management, we handle every detail so you don’t have to. Our team monitors changes in California and Orange County housing laws, ensures lease compliance, and documents every process to safeguard your property and your peace of mind. With our expertise, you can focus on growing your portfolio instead of worrying about legal risks.

Schedule a consultation with Coastal Oak today and let our experts keep your rentals protected and profitable.