How Do I Qualify as a Small Property Landlord in LA County? | RSTPO Guide

How Do I Qualify as a Small Property Landlord in LA County?

To qualify as a Small Property Landlord in LA County, you must own or control no more than 10 total rental units across all properties, including units outside LA County. This designation allows you to add an extra 1% to the standard RSTPO rent increase, bringing your maximum to 2.93% for July 2025-June 2026. You must submit a Self-Certification form to DCBA annually to claim this benefit.

💰 The Small Property Landlord Advantage

Qualifying as a Small Property Landlord gives you an extra 1% annual rent increase above standard limits:

Standard Rate
1.93%
Small Property Rate
2.93%

⚠️ LA County vs LA City: Know the Difference

Jurisdiction Small Property Rate Standard Rate
LA County RSTPO 2.93% 1.93%
LA City RSO N/A (no small property bonus) 3% + 2% utilities = 5%

The Small Property Landlord bonus is unique to LA County. LA City RSO does not offer an additional increase for smaller landlords. Marina del Rey, Altadena, East LA = County. Venice, Silver Lake, Hollywood = City.

Not sure if your property is in LA County or LA City? (213) 444-2225

Small Property Landlord Requirements

LA County's RSTPO defines Small Property Landlords based on total units controlled. You must meet ONE of these criteria:

1 Homeowner Exemption Path

You qualify for AND receive a Homeowners' Property Tax Exemption for the property on which the rental unit is located, AND you control no more than 10 total rental units.

2 Single Property Path

You have an ownership interest or beneficial interest in, or control, only ONE rental property with no more than 10 rental units total.

3 Multiple Properties Path

You have an ownership interest or beneficial interest in, or control, no more than THREE rental properties with a combined total of no more than 10 rental units, including any rental properties outside of LA County.

⚠️ Important: Outside Properties Count

The 10-unit limit includes ALL rental units you own or control, regardless of location. Properties in other California cities, other states, or even other countries count toward your total.

Do You Qualify? Quick Checklist

You QUALIFY if:

You own 10 or fewer total rental units across all properties
You own no more than 3 separate rental properties
You've submitted the Self-Certification form to DCBA

You DO NOT QUALIFY if:

You own more than 10 total rental units (anywhere)
You own more than 3 separate rental properties
You own units through entities that push your total over 10

Not sure how to count your units? Complex ownership structures need careful analysis.

📞 (213) 444-2225

Real-World Examples

Example 1: Single Fourplex Owner

Maria owns one fourplex in East LA (unincorporated LA County). She has 4 total units.

✓ QUALIFIES - 4 units is under the 10-unit limit

Example 2: Multiple Small Properties

David owns a triplex in Altadena (3 units), a duplex in Marina del Rey (2 units), and a fourplex in Hacienda Heights (4 units). Total: 9 units across 3 properties.

✓ QUALIFIES - 9 units, 3 properties, both under limits

Example 3: Out-of-State Holdings

Jennifer owns a sixplex in LA County (6 units) and a fiveplex in Phoenix, Arizona (5 units). Total: 11 units.

✗ DOES NOT QUALIFY - 11 total units exceeds 10-unit limit

Example 4: LLC Ownership

Michael personally owns a duplex (2 units) and his LLC owns an 8-unit building. He controls 10 total units.

✓ QUALIFIES - Units owned through LLC count, but total is exactly 10

How to Certify as a Small Property Landlord

1

Download the Self-Certification Form

Get the Small Property Landlord Self-Certification form from DCBA's website at dcba.lacounty.gov/rentstabilizationprogram/

2

Complete the Form Accurately

List all rental properties you own or control, including those outside LA County. Calculate your total units. Sign the certification under penalty of perjury.

3

Submit to DCBA

File the completed form with the Department of Consumer and Business Affairs. Keep a copy for your records with proof of submission date.

4

Renew Annually

Re-certify each year to maintain your Small Property Landlord status. DCBA recommends submitting with your annual registration renewal.

How Much Does the Extra 1% Really Matter?

📊 Annual Difference on $2,000/Month Rent

Standard (1.93%): $2,000 × 1.93% = $38.60/month increase
Small Property (2.93%): $2,000 × 2.93% = $58.60/month increase
Difference: $20/month = $240/year per unit

For a landlord with 8 units, that's an extra $1,920/year in allowable rent increases.

What Counts as "Beneficial Interest or Control"?

The RSTPO looks beyond just whose name is on the deed. You're considered to have an interest in a property if:

  • You own units personally in your name
  • You own units through an LLC where you're a member
  • You own units through a trust where you're a beneficiary
  • You have a partnership interest in rental properties
  • You control an entity that owns rental properties
⚠️ False Certification Consequences

Falsely certifying as a Small Property Landlord can result in: rent rollbacks, refunds of all excess rent collected, DCBA penalties, and potential legal liability. The County may audit certifications against property records.

When to Submit Your Certification

  • Before implementing your first rent increase that includes the additional 1%
  • Annually - re-certify each year to maintain status
  • Recommended timing: Submit with your annual registration renewal
  • Keep records: Maintain copies of all certifications with proof of submission

Thinking about expanding your portfolio? Adding units could affect your Small Property status.

🏠 (213) 444-2225

Frequently Asked Questions

Do I qualify as a Small Property Landlord in LA County?

You qualify as a Small Property Landlord if you control no more than 10 total rental units across all properties (including properties outside LA County). This designation allows an additional 1% rent increase above the standard RSTPO limit, bringing your maximum to 2.93% for July 2025-June 2026.

How do I certify as a Small Property Landlord?

Download the Small Property Landlord Self-Certification form from DCBA's website, complete it accurately, and submit it to the Department of Consumer and Business Affairs. You must re-certify annually to maintain the designation and qualify for the additional 1% rent increase.

Do properties outside LA County count toward the 10-unit limit?

Yes. The 10-unit limit includes ALL rental units you own or control, regardless of location. If you own 6 units in unincorporated LA County and 5 units in Nevada, you have 11 total units and do NOT qualify as a Small Property Landlord.

What if I own units through an LLC or trust?

Units owned through an LLC, trust, or other entity where you have beneficial interest or control count toward your total. The RSTPO looks at the total units controlled by the individual, not just units held in their personal name.

How much extra can I charge as a Small Property Landlord?

As a Small Property Landlord, you can add 1% to the standard rent increase. For July 2025-June 2026, this means you can raise rent up to 2.93% instead of 1.93%. This adds up over time: on a $2,000/month rent, that's an extra $240 per year.

When do I need to submit the self-certification?

Submit your Small Property Landlord Self-Certification before implementing a rent increase that includes the additional 1%. DCBA recommends filing annually with your registration renewal. Keep copies of all submitted certifications for your records.

What happens if I falsely certify as a Small Property Landlord?

False certification can result in rent rollbacks, required refunds of excess rent collected, penalties from DCBA, and potential legal liability. The County may audit certifications and compare against property records.

Can I qualify if I receive Homeowners' Property Tax Exemption?

The Small Property Landlord designation has a separate ownership structure requirement. You must qualify for and receive a Homeowners' Property Tax Exemption for the property OR meet specific ownership criteria involving total units controlled across no more than three rental properties.

JB

Justin Borges

DRE# 01940318 | The Borges Real Estate Team

680 E Colorado Blvd, Suite 180, Pasadena, CA 91101

(213) 444-2225

Disclaimer: This article provides general information about LA County's Small Property Landlord designation and should not be construed as legal advice. Rent control laws are complex and subject to change. Contact DCBA at 800-593-8222 for official guidance, or consult with a qualified attorney for advice specific to your circumstances. Last verified February 2026.