Costa Mesa Rent Control Guide: Just Cause Eviction, Relocation Pay and Selling a Rental

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Costa Mesa has no local rent cap, but it requires just cause and relocation pay

Costa Mesa follows the state rent cap and added its own Tenant Protections Ordinance in 2023. Here is who it covers, what a no-fault eviction costs an owner, and what it means if you plan to sell.

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Last updated November 13, 2026. Reviewed by the Cash Home Buyers CA team.

Costa Mesa rent rules at a glance

Local law	Just Cause Residential Tenant Protections Ordinance (TPO), Costa Mesa Municipal Code Title 9, Chapter II, Article 24; adopted as an urgency ordinance on November 7, 2023
Local rent cap	None found. The city’s tenant-protection page describes eviction rules, not a cap, and the Attorney General’s local-cap chart does not list Costa Mesa
State rent cap	5% plus CPI, up to 10%; the Attorney General lists 8.7% for Orange County for increases starting August 1, 2026 through July 31, 2027
Applies to	Tenants who have lived in the unit 12 months or more, or where at least one tenant has lived there 24 months
No-fault relocation	One month of HUD Fair Market Rent, or waiver of the final month of rent plus any shortfall, paid within 15 days of the notice
Where to file	Copy of every termination notice to evictions@costamesaca.gov or through the city’s TESSA portal
Free legal help	Community Legal Aid SoCal, 1-800-834-5001

Costa Mesa has no local rent cap, but it has its own just cause law

Costa Mesa does not run a rent stabilization program that sets its own annual cap. What the city adopted on November 7, 2023 is a Just Cause Residential Tenant Protections Urgency Ordinance, usually called the TPO, which took effect immediately.

The ordinance was written to be more protective than the state’s Tenant Protection Act in specific ways: it requires added documentation from the owner, and it sets relocation assistance above the state minimum.

Because the city has no cap of its own, the state limit under Civil Code 1947.12 governs rent increases on covered units. For Orange County, the Attorney General’s chart shows 8.7 percent for increases that take effect from August 1, 2026 through July 31, 2027. Check the date your notice takes effect, because the cap changes each year.

Which tenancies and homes the TPO covers

The city says the ordinance applies only once a tenant has lived in the unit for 12 months, or when at least one tenant has lived there for 24 months. It exempts several kinds of housing:

Transient and tourist hotels, nonprofit hospitals, religious facilities, extended care facilities and licensed residential care facilities.
Dormitories owned and run by a college or a K-12 school.
Housing where the tenant shares a bathroom or kitchen with an owner who lives there as a principal residence.
Single-family owner-occupied residences, and a two-unit property where the owner lives in one unit as a principal residence from the start of the tenancy.
Housing issued a certificate of occupancy within the previous 15 years.
A condominium, townhome or single-family home that can be sold separately, if the owner is not a real estate investment trust, a corporation, an LLC with a corporate member or a mobile home park management.

That last exemption is the one most small owners ask about. A person who owns one rented house in their own name is usually outside the TPO, but the exemption depends on how the title is held, so confirm it before you rely on it. If the property is held in an LLC with a corporate member, the exemption does not apply.

At-fault and no-fault terminations

Under the ordinance a landlord may not end a covered tenancy unless the notice states one of the allowed just causes.

At-fault reasons include nonpayment of rent, breach of a material lease term, nuisance, waste, unlawful or criminal activity, refusing to sign a similar lease renewal, subletting without permission and refusing the owner access for authorized purposes.

No-fault reasons, which trigger relocation payments, include the owner or an owner’s relative moving in, withdrawing the property from the rental market, complying with a government order that requires the unit to be vacated, and an intent to demolish or substantially remodel.

A substantial remodel is narrowly defined. The city’s fact sheet describes work on structural, electrical, plumbing or mechanical systems that needs a permit, or abatement of hazardous material, that cannot be done safely with the tenant in place and that requires the tenant to leave for at least 30 days.

Painting, decorating and minor repairs do not qualify. An owner who relies on this reason must give the tenant a written description of the work, the expected duration and a copy of the building permits, or the contract if no permit is needed.

Relocation assistance and timing

For a no-fault termination, the owner must pay relocation assistance equal to one month of HUD Fair Market Rent, or waive the tenant’s final month of rent and pay the difference if the Fair Market Rent is higher than the current rent.

The city’s page shows sample figures for two Costa Mesa ZIP codes, for example a two-bedroom at $3,140 in 92626 and $2,680 in 92627; those numbers change each year, so check the city’s current table.

The payment is due within 15 days of the termination notice, and the notice must say which option the owner is using. A notice that does not say so is void. Tenants evicted for at-fault reasons do not receive relocation help.

The state rules that apply in Costa Mesa

State law sets the floor everywhere in California. Under Civil Code 1947.12, a covered owner may not raise rent more than 5 percent plus the local change in the cost of living, or 10 percent, whichever is lower, in any 12-month period.

The Attorney General’s chart lists that cap as 8.7% for Orange County for increases that start between August 1, 2026 and July 31, 2027, and the same office notes that the section applies to most rental housing more than 15 years old.

Owners of a single-family home or condominium are exempt only if the owner is not a real estate investment trust, a corporation or an LLC with a corporate member, and the tenant received the written exemption notice the statute requires.

Newer buildings with a certificate of occupancy issued in the last 15 years are also outside the cap.

The same statute family requires just cause to end a tenancy once a tenant has lived in a covered unit for 12 months (or 24 months if another adult was added).

Under Civil Code 1946.2, no-fault reasons such as an owner move-in or a substantial remodel require the owner to pay relocation help equal to one month of rent or waive the final month. Senate Bill 567 tightened the owner move-in and remodel rules in 2024. Read the statute itself, or ask a landlord-tenant attorney, before serving any termination notice.

Selling a rented Costa Mesa house

A sale does not end a tenancy. The buyer takes the property subject to the lease and to any protection the tenant has earned, so a buyer who wants vacant possession will price in the no-fault rules above, the relocation payment and the time it takes.

A buyer who plans to keep the tenant usually cares most about a clean rent history. Selling the house is not on the city’s list of just causes, and an owner-occupancy reason carries its own documentation.

Our statewide tenant-occupied home sale guide and our Costa Mesa tenant-occupied page explain how a cash sale works when the house is rented.

If you hold a rented Costa Mesa property you inherited, or you are tired of managing it, a cash sale can close with the tenant in place, so you do not have to serve a no-fault notice at all. A cash buyer who keeps the tenant steps into the existing lease and the same notice obligations.

Documents to gather before you talk to a buyer

The signed lease or month-to-month agreement, plus addenda and each tenant’s move-in date.
A rent ledger showing the amount and effective date of every increase.
Copies of every notice you served: rent increases, entry notices, cure or termination notices.
Any notices, registrations or disclosure forms the city requires, with proof of delivery.
The security deposit amount and where it is held.
Open repair requests, code complaints or inspection reports on the property.

How to sell a house in Costa Mesa

Check whether your property is covered or exempt under the Tenant Protections Ordinance.
Gather the lease, rent ledger and every notice you served.
Request a no-obligation cash offer for the house as-is.
Decide whether the buyer keeps the tenant or you follow the just cause and relocation rules for a vacant sale.
Close on your timeline with no repairs or commissions.

More local pages: We Buy Houses in Costa Mesa, Orange County hub, and our California guides.

Own a rented Costa Mesa house? Get a cash offer and sell with the tenant in place or on your timeline.

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Frequently asked questions

Does Costa Mesa have rent control?

Not a local rent cap, as far as the city’s tenant-protection page and the Attorney General’s local-cap chart show. The state cap of 5 percent plus CPI, up to 10 percent, applies to covered units, and the city adopted its own just cause ordinance in November 2023.

What is the Costa Mesa Tenant Protections Ordinance?

It is a just cause eviction ordinance. After a tenant has lived in a covered unit for 12 months, the owner may end the tenancy only for a reason the ordinance allows and must state it in the notice.

How much relocation assistance does Costa Mesa require?

For a no-fault termination, one month of HUD Fair Market Rent, or a waiver of the final month’s rent plus any difference. It must be paid within 15 days of the notice, and the notice must say which option is used.

Does the ordinance apply to a single rented house?

It exempts a single-family home that can be sold separately if the owner is not a real estate investment trust, a corporation or an LLC with a corporate member. Confirm how your title is held before relying on that.

Can I evict a tenant to sell the house?

Selling is not a listed just cause. You can sell with the tenant in place, or use a no-fault reason such as an owner move-in, which brings notice, documentation and relocation duties.

Who do I contact with questions?

The city’s email for the ordinance is evictions@costamesaca.gov. Free legal advice is available through Community Legal Aid SoCal at 1-800-834-5001.

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Sources

This guide is general information from public sources, not legal advice. Confirm current rules, fees and hours with the city.