California
AB 2747 What Property Managers Need to Know to be Compliant
California properties with 16+ units must offer residents the option to report positive rent payments. Here’s what Multifamily Operators need to know and how to meet the requirement without adding more work for their teams.
What the Bill Requires
California's AB 2747 is the new rent reporting law signed into law and effective April 1, 2025. It expands rent reporting requirements across the state and builds on the framework of SB 1157, which provided rent reporting options for subsidized housing. AB 2747 requires landlords with 16 ore more units to offer tenants the option to report their positive rent payments to credit bureaus at the time of lease agreement and at least once annually thereafter.
What
Give Residents the Option
Every resident obligated on the lease, on your property, must be given the option to have their positive rental payment information reported to at least one nationwide consumer reporting agency.
Who
16+ Units, Plus Corporate Owners
Properties with 16+ units on a single parcel, plus properties with 15 or fewer units if the owner is a REIT, corporation, LLC with a corporate member, or owns more than one residential rental property.
When
At Signing, Then Every Year
Starting April 1, 2025, all new leases and renewals must include the option to report positive rent payments. The option must also be offered to every resident at least once a year.
Cost
Capped at $10 per Month, per Resident
If a resident opts in, properties can charge a monthly fee of up to $10 or the actual cost to report, whichever is lower. Many operators absorb the fee and offer reporting as a free resident benefit.
Scope
Positive Payment History Only
AB 2724 only requires positive rent payment to be reported. Late and incomplete payments are excluded. Residents can stop reporting at any time in writing.
AB 2747 (2024), codified at California Civil Code § 1954.07. Builds on SB 1157 (2020), codified at Civil Code § 1954.06, which applied to assisted housing developments beginning July 1, 2021.
Rent reporting legislation changes frequently. This page is general information, not legal advice. Confirm your obligations with counsel.
How IDIQ Helps Your Team
IDIQ turns your required rent reporting into a recurring operational process. We deliver the offer, capture a written election, track the annual re-offer, handle stop requests, and keep proof for residents who decline. We run the resident-facing program so your property teams aren't building that workflow from scratch.
Offer Delivery
IDIQ handles the offer delivery. We send the opt-in offer to residents by mail or email, so your leasing team doesn't have to manage it.
Elections and Declines on Record
IDIQ maintains record of all resident participants and their select to enroll or decline.
Annual Re-Offers, Tracked per Resident
Automated annual reminders and re-offer tracking keep your properties compliant with AB 2747.
Positive Rent Payment Reporting
Once a resident opts in, IDIQ reports positive rental payment history to the 3 major credit bureaus. Late and missed payments are excluded.
Resident Support
IDIQ handles resident questions and enrollment support, reducing administrative burden on your leasing staff.
Opt-Outs and Refresh Dates
Residents can stop reporting at any time. IDIQ tracks the stop request and the six-month wait before re-enrollment offers.
Compliance Residents Actually Notice
Leasing
TransUnion's 2025 rent payment reporting study found renters are significantly more likely to choose a property that reports rent. Compliance becomes a leasing talking point rather than a disclosure.
Positive Payments
Residents who are building credit have their own reason to pay on time. Research links rent reporting to stronger positive payment, which can mean fewer late notices, less collections work, and steadier cash flow.
Retention
Residents building credit with you have one more reason to stay and renew for another year or longer. Fewer move-outs mean less vacancy, fewer make-readies, and lower leasing costs.
Build Your Compliance Process In-House, or Run It With a Partner?
AB 2747 compliance is achievable either way. The question is where the recurring work sits. Is it with your property teams, or with a partner.
Here's an honest look at both.
In-house
You Build In-House
Building in-house means your team owns California's rent reporting compliance requirements under AB 2747.
- You manage annual re-offer obligations, providing written election notices at lease signing and at least once every 12 months.
- You obtain and maintain written election records from residents who opt into reporting, ensuring documentation meets California requirements and is retained for audit and verification.
- You track opt-out requests and enforce the six-month re-enrollment restriction. Residents who stop reporting cannot re-elect for at least six months, requiring system controls to prevent duplicate reporting.
- Your team manages the applicable reporting workflow to Equifax, Experian, and TransUnion based on tenant elections, handling enrollment, updates, and compliance with bureau submission requirements.
IDIQ
You Partner with IDIQ
Your team stays focused on operations while we handle rent reporting compliance under AB 2747.
- IDIQ manages all annual re-offer obligations, sending written election notices at lease signing and at least once every 12 months to maintain compliance with California requirements.
- We obtain, maintain, and securely retain all written election records from each resident, ensuring documentation is ready for audit or verification.
- IDIQ tracks opt-out requests and automatically enforces the six-month re-enrollment restriction, preventing duplicate reporting and ensuring residents can only re-elect after the waiting period expires.
- IDIQ has direct relationships with Equifax, Experian, and TransUnion. We then manage the complete applicable reporting workflows based on resident elections. We handle all enrollment, any updates, and ongoing bureau compliance on your behalf.
Empower Your Residents. Grow Your NOI.
Tell us about your portfolio, or book a 20-minute walkthrough with our multi-family team. Partnering with IDIQ® comes at no cost to get started.
FAQs
AB 2747 applies only to properties with 16 or more units. Smaller properties are not required to comply with this law. However, landlords of any size may voluntarily offer rent reporting to tenants as an added amenity.
For new leases entered into on or after April 1, 2025, landlords must offer positive rental payment information reporting at the time of the lease agreement and at least once annually thereafter. For leases outstanding as of January 1, 2025, the offer must be made no later than April 1, 2025, and at least once annually thereafter.
Landlords may charge a tenant that elects to have positive rental payment information reported the lesser of $10 per month or the actual cost to the landlord to provide the service, unless the landlord does not incur any actual cost to provide positive rental payment reporting. The fee cannot be counted as rent or deducted from rent payments.
Yes. A tenant who elects to have positive rental payment information reported may subsequently file a written request to stop that reporting, and the landlord is required to comply with that request. Tenants can request copies of the written election form at any time and can opt out without penalty.
A tenant who stops positive rental payment information reporting is prohibited from electing reporting again for at least 6 months. After the six-month period expires, residents can request to resume reporting.
California has two separate rent reporting laws. SB 1157 requires operators of subsidized multifamily units in California to provide tenants the option to have their rent payments reported to a major credit bureau. SB 1157 came into effect on July 1, 2021, and is scheduled to sunset on July 1, 2025. AB 2747 is the newer law that applies more broadly to all properties with 15+ units, regardless of whether units are subsidized. Properties with subsidized units should verify which law applies to their situation.