Governor Gavin Newsom’s Executive Order N-23-25, issued on March 7, 2025, extends rental price gouging protections in Los Angeles County until July 1, 2025. These protections cap rent increases at 10% and prohibit evictions aimed at re-listing properties at higher prices.
However, some properties are now exempt from HUD Fair Market Rent (FMR) calculations—specifically newly constructed units and high-value single-family homes (4+ bedrooms) in select Los Angeles ZIP codes. Importantly, these exemptions do NOT remove the 10% cap on rent increases and do NOT allow landlords to raise prices beyond prior rates if the property was rented or listed in the last year.
For landlords, property managers, and investors in Newport Beach, Costa Mesa, and beyond, these updates carry critical implications for leasing strategies, property valuations, and rental pricing. Orange County remains fully subject to price gouging laws, with no exemptions.
📖 Read our full article to understand how these changes impact your real estate business.
