California’s rental landscape is shifting again in 2026 with several key legislative changes that all property owners, property managers, and real estate professionals should understand.

1. Appliance Mandate: Working Fridge & Stove Required (AB 628)

Effective January 1, 2026, landlords will be required to provide and keep a working refrigerator and stove in rental units covered by new or renewed leases. These appliances are now considered essential to habitability.

Key points:
• Appliances must be operational at lease start and promptly repaired or replaced if they fail or are recalled. 
• Tenants may choose to use their own appliances with mutual written consent. 
• Exceptions apply for units with shared kitchens or certain subsidized housing types.

2. Security Deposit Reform (AB 414)

The security deposit process has been updated to reflect current payment methods:
• If a deposit was collected electronically, landlords must refund it electronically unless both parties agree otherwise.
• Non-standard deposit returns, such as applying the deposit to last month’s rent, are permitted with mutual consent.
• In multi-tenant situations, refunds must be issued individually to each renter separately.

3. Natural Disaster Duties Expanded (SB 610)

SB 610 establishes new landlord responsibilities when units become uninhabitable due to disasters like wildfires, earthquakes, or storms.

New obligations include: 
• Removing debris and making properties safe and livable. 
• Pausing rent and other charges during mandatory evacuations or periods when units are uninhabitable. 
• Returning prepaid rent and security deposits if units remain uninhabitable. 
• Allowing displaced tenants to return once repairs are completed.

4. Disclosing altered real estate images

Assembly Bill 723, authored by San Jose Assemblymember Gail Pellerin, requires real estate agents to disclose when listing photos have been digitally altered and to provide the original, unedited images alongside them. The measure is designed to protect consumers from deceptive or misleading advertising. The law takes effect on January 1. What this means for your portfolio.

What This Means for Your Portfolio

• Audit units now for appliance compliance.
• Update lease templates and deposit procedures.
• Budget for appliance replacement, disaster contingencies, and compliance costs.