About the Rent Increase Calculator
This rent increase calculator turns a rent increase notice into clear numbers. Enter your current monthly rent and either the percentage or the dollar amount of the increase, and it shows the new rent, the extra you will pay each month and each year, and the increase as a percentage — useful when a landlord quotes only one of the two.
Add a maximum allowed increase to check whether the new rent is within a local rent cap or the limit in your lease. Some places cap annual increases for many rentals — California’s statewide law, for example, limits most increases to 5% plus local inflation, with a 10% ceiling — while many areas have no cap at all. Always confirm which rules apply to your unit.
Landlords can use it the other way round: to set a fair, compliant increase and show tenants the math. The projection repeats the same increase every year so you can see where rent is heading and plan your budget, a move or a rent-versus-buy decision.
With the default inputs, the new monthly rent is $1,890.00. Change any value above to recalculate instantly.
How to use the rent increase calculator
- 1Enter your current monthly rent.
- 2Choose whether the increase is a percentage or a dollar amount, then enter it.
- 3Enter the maximum increase allowed by your local rules or lease (0 if none).
- 4Pick how many years to project and review the new rent and cap check.
Formula and method
For a percentage increase, new rent is the current rent multiplied by one plus the percentage. For a dollar increase, the amount is added and the equivalent percentage is the increase divided by the current rent. The yearly cost of the increase is the monthly increase times 12.
The cap check compares the new rent with current rent × (1 + cap %). The projection applies the same percentage every year (compounding) in percentage mode, or adds the same dollar amount each year in dollar mode, and totals twelve months of rent for each projected year.
- R
- Current monthly rent
- p
- Increase as a decimal percentage
- A
- Increase as a monthly dollar amount
- cap
- Maximum allowed increase as a decimal
Worked examples
5% increase on $1,800 rent
A 5% increase adds $90 a month, taking rent to $1,890 and costing $1,080 more per year. A 10% cap would allow up to $1,980, so the increase is within the cap. If 5% repeats for five years, rent reaches about $2,297.
$250 increase on $2,200 rent with a 10% cap
A $250 increase on $2,200 is an 11.36% rise. The 10% cap allows at most $2,420, so the proposed $2,450 is $30 over the limit.
12% increase against an 8.5% cap
Twelve percent of $1,500 is $180, for new rent of $1,680. An 8.5% cap limits rent to $1,627.50, so the notice is $52.50 a month above the cap.
Frequently asked questions
How do I calculate a rent increase percentage?+
Subtract the old rent from the new rent, divide by the old rent and multiply by 100. For example, going from $1,800 to $1,890 is a $90 increase, and $90 ÷ $1,800 × 100 = 5%.
How much can a landlord legally raise rent?+
It depends on where you live and the type of unit. Many US places have no limit for market-rate rentals, while some states and cities cap annual increases or regulate certain buildings. Check your state and local housing agency and your lease.
What is the rent cap in California?+
Under California’s Tenant Protection Act (AB 1482), most covered rentals can be increased by no more than 5% plus the local CPI change, with a maximum of 10% in any 12-month period. Some units are exempt and local rent control may be stricter.
How much notice is required for a rent increase?+
Notice rules are set by state and local law and your lease. Many places require 30 days’ written notice for smaller increases and longer notice, such as 60 or 90 days, for larger increases or long tenancies.
What is a typical annual rent increase?+
Increases vary with the local market. Many landlords raise rent by a few percent a year, roughly in line with inflation, but hot markets can see much larger jumps when a lease renews.
Results are general estimates and not legal advice. Laws vary by jurisdiction — consult a qualified attorney.