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Merced · Renting & eviction

Renting in Merced: the rules that apply

Merced's just-cause rules cover any lawful residential tenancy, however long the tenant has lived there, and the city freezes rent after a tenant returns from a remodel or repair displacement. Relocation pay, notices and deposits follow state law.

Key points

  • Just cause: City law: just-cause rules apply to any lawful residential tenancy, regardless of how long the tenant has lived there.
  • No-fault reasons: City law allows no-fault eviction for a government order, an owner or immediate family move-in, leaving the rental market, or demolition, remodel or repairs.
  • Rent freeze: City law: no rent increase for 6 months after a tenant returns from a demolish, remodel or repair displacement, with listed exceptions.
  • State rent cap: State law: covered units may rise at most 8.6% for increases from August 1, 2026 through July 31, 2027.
  • Relocation pay: Merced has no relocation rule of its own; state law requires 1 month's rent for no-fault evictions of covered units.
  • Notice to end: Merced has no notice rule of its own; state law requires 60 days' notice to end a tenancy, 30 if under 1 year.

Each rule below is marked Merced code or CA state law and links to the section it comes from (checked October 2026). General information, not legal advice.

Rent increases

Merced code City law: no rent increase for 6 months after a tenant returns from a demolish, remodel or repair displacement, with listed exceptions. State law: covered units may rise at most 8.6% for increases from August 1, 2026 through July 31, 2027.

All 4 Merced rules on rent increases, with the code text and the state law underneath →

Eviction and just cause

Merced code City law: just-cause rules apply to any lawful residential tenancy, regardless of how long the tenant has lived there. City law allows no-fault eviction for a government order, an owner or immediate family move-in, leaving the rental market, or demolition, remodel or repairs.

All 6 Merced rules on eviction and just cause, with the code text and the state law underneath →

Relocation payments

CA state law Merced has no rule of its own on this, so California law applies. No-fault eviction relocation assistance: One month's rent (as relocation payment or rent waiver), paid within 15 calendar days of the notice (Civ. Code § 1946.2(d)(3)(A)). Relocation under California's just-cause law — the full state rule →

Notices

We found no Merced rule on this in the Merced Municipal Code (checked October 2026). The state rule below applies.

CA state law California law
Notice of a rent increase
At least 30 days' notice for an increase of 10% or less; at least 90 days for an increase of more than 10%
Applies: The 10% is measured against the rent charged at any time in the 12 months before the increase, counting all increases in that period together.
Notice to end a month-to-month tenancy (landlord)
60 days' notice; 30 days if the tenant has lived there less than one year
Applies: Where the unit is covered by just cause (Civ. Code § 1946.2) or a local ordinance, the notice must also state a qualifying cause.
Notice to end a month-to-month tenancy (tenant)
At least as long as the rental period (one month for a month-to-month tenancy)
30-day notice when the unit is sold to an owner-occupant
30 days' notice when a separately sellable unit is in escrow to a natural person who will live there for at least a year
Applies: Notice within 120 days of opening escrow, given once, and all § 1946.1(d) conditions met.
Notice to pay rent or quit
3 days, not counting Saturdays, Sundays and judicial holidays, stating the amount due and how to pay
Applies: May be served any time within one year after the rent became due.
Notice to cure a lease violation or quit
3 days, not counting Saturdays, Sundays and judicial holidays, to perform the broken lease term or leave
No fee for serving notices
A landlord may not charge the tenant a fee for serving or posting a notice

Security deposits

CA state law Merced has no rule of its own on this, so California law applies. Security deposit cap: One month's rent, on top of the first month's rent (Civ. Code § 1950.5(c)(1), (c)(6)). Deposit return deadline: 21 calendar days after the tenant moves out, with an itemized statement of any deductions (Civ. Code § 1950.5(h)(1)). California security deposit law — the full state rule →

Retaliation

CA state law Merced has no rule of its own on this, so California law applies. Retaliation protection period: For 180 days after a tenant complains about habitability (to the landlord or an agency), the landlord may not evict, raise rent or cut services in retaliation (Civ. Code § 1942.5(a), (b)). Retaliatory eviction in California — the full state rule →

Harassment and lockouts

CA state law Merced has no rule of its own on this, so California law applies. Lockouts and self-help eviction banned: A landlord may not change locks, remove doors or windows, or remove the tenant's belongings to force a tenant out (Civ. Code § 789.3(b)). Utility shutoffs banned: A landlord may not cut off water, heat, electricity, gas or other utilities to force a tenant out (Civ. Code § 789.3(a)). Tenant harassment and lockouts in California — the full state rule →

Repairs and habitability

CA state law Merced has no rule of its own on this, so California law applies. Duty to keep the unit habitable: The landlord must deliver a unit fit to live in and repair conditions that make it untenantable (Civ. Code § 1941). Repair and deduct: A tenant may make a repair the landlord neglects and deduct the cost from rent, up to one month's rent, no more than twice in any 12 months (Civ. Code § 1942(a)). Habitability and repair-and-deduct — the full state rule →

Landlord entry

CA state law Merced has no rule of its own on this, so California law applies. Landlord entry notice: Reasonable written notice, presumed to be 24 hours, and entry only during normal business hours (Civ. Code § 1954(d)(1), (e)). Landlord entry notice in California — the full state rule →

Hotel and short-term rental tax

Merced code What Merced's code adds
Who collects it
  • Each operator collects the tax from every guest at the same time as the rent.
    § 3.08.040 · code text
    Each operator shall collect the tax imposed by this chapter to the same extent and at the same time as the rent is collected from every transient.

Who this affects

TenantsLandlordsProperty managers

Frequently asked questions

Does a Merced landlord have to pay relocation?

Merced has no relocation rule of its own; state law requires 1 month's rent for no-fault evictions of covered units.

How much notice does a Merced landlord have to give?

Merced has no notice rule of its own; state law requires 60 days' notice to end a tenancy, 30 if under 1 year.

How much can a Merced landlord charge for a security deposit?

Merced has no local rule on this that we found (checked October 2026); state law applies: One month's rent, on top of the first month's rent (Civ. Code § 1950.5(c)(1), (c)(6)).

What is the hotel tax on short-term rentals in Merced?

Merced's code: Each operator collects the tax from every guest at the same time as the rent. (§ 3.08.040).

General information, not legal advice.

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