By Mark Zinman | Zona Law
Question: I have a resident whose lease ended in 10/2023 and has been on month-to-month (MTM) since at the rate of $2,200. We recently made an increase and provided over a 60-day notice of the increase in MTM charge to $2,600. He is now fighting me on the increase. We have offered multiple times to him to renew his lease with different options, but he continues to choose to stay at MTM. Is there a cap on what we can charge for MTM rates?
Answer: There is no legal cap on what you can charge MTM – the only requirement is that you serve a valid notice of the rent increase. If he doesn’t want to pay, his remedy is to just non-renew. The whole purpose of the MTM charge is to get him to sign a long-term lease. Don’t forget, you can non-renew him at any time as well provided you don’t want him there. Note that this is the legal answer and does not account for PR or operational concerns.