Washingtons new cap on rent hikes set at 10 through end of 2025

Washington's new rent control law, House Bill 1217, caps rent increases at 10% through the end of 2025 after Gov. Bob Ferguson's signature. The law permits annual hikes of 7% plus inflation, but with inflation calculated at 10. 8%, the cap is set at 10%. Landlords are now required to give tenants 90 days' notice before any rent increase, an extension from the previous 60 days.

The legislation aims to provide stability for tenants amid rising living costs, with Democrats emphasizing tenant protection. However, Republicans criticize the bill as "rent control," claiming it could deter development and disadvantage small landlords. The Rental Housing Association of Washington is exploring legal options to challenge the law, highlighting the contentious nature of the legislation. Additionally, new constructions are exempt from the cap for the first 12 years, and rent increases are not allowed during the first year of a tenancy. The maximum allowable increase for 2026 will be published in July, based on updated inflation data.