Two new landlord-tenant laws have come into effect on April 1, 2025. Here’s a quick summary of the new laws:

Landlord Must Offer Credit Reporting of Positive Rental Payments (AB 2747): Starting April 1, 2025, a residential landlord must generally offer their tenants the opportunity to have their timely-paid rental payments reported to at least one nationwide consumer reporting agency (such as Experian or Equifax). The purpose of this new law is to help tenants build their credit. 

For a new lease starting on or after April 1, 2025, the landlord must make the offer to report when entering into a lease, and annually thereafter. For leases outstanding as of January 1, 2025, the offer to report must be made by April 1, 2025, and annually thereafter.

C.A.R. has a new standard-form Offer of Tenant Positive Rental Payment Reporting (Form TRPR) to help landlords comply with the new law. The TRPR sets forth additional details of the new law, including how a tenant can opt-in or opt-out, and the landlord’s ability to charge a $10 monthly service fee.

Additionally, the C.A.R. Residential Lease or Month-to-Month Rental Agreement (RLMM) has been revised to include a prechecked checkbox for attaching the TRPR as an addendum (see RLMM paragraph 46). The TRPR is also auto-bundled with the RLMM in zipForms.

A landlord is exempt from the new credit reporting law if the landlord meets all 3 of the following requirements: (1) Property is 15 units or less; (2) Landlord owns no more than one residential rental building; and (3) Landlord is not a corporation, LLC with a corporate member, or REIT. An exempt landlord should check the box in paragraph 1C of the TRPR to indicate that the exemption applies.

Photo Requirements For Security Deposit Deductions (AB 2801): Starting April 1, 2025, a residential landlord must generally take the following photographs: (1) Move-Out Photos within a reasonable time after the landlord regains possession of the unit; and (2) Post-Repair Photos within a reasonable time after any repairs or cleanings are completed. Furthermore, starting July 1, 2025, the landlord must also start taking Move-In Photos when the tenancy begins.

The purpose of these photos is to document certain deductions from the security deposit after the tenant vacates the premises. A landlord who takes a deduction of $125 or more for repairs and cleanings must give the tenant the photos, along with a written explanation of the cost of the allowable repairs or cleanings.

C.A.R. has revised its standard-form Move Out Inspection (Form MOI) to inform landlords of the Move-Out and Post-Repair photo requirements. C.A.R. also intends to revise its standard-form Move In Inspection (Form MII) by June 2025 to inform landlords of the new Move-In photo requirement (that takes effect on July 1, 2025).

Source: The full text of these new laws is available at the California Legislative Information website.

Copyright© 2025 Shared Success Center, LLC (serving HomeServices of America companies). All rights reserved. Any unauthorized reproduction or use of this material is strictly prohibited. This information is believed to be accurate as of April 7, 2025. It is not intended as a substitute for legal advice in individual situations, and is not intended to nor does it create a standard of care for real estate professionals. Written by Stella Ling, Esq.