In your first year as a Coronado landlord, the work is front-loaded. Before you move out, switch your insurance, notify your HOA, bring the home up to California's rental standards and sign a lease with the required disclosures. At move-in, collect a lawful deposit and take photos. During the year, keep records, give proper entry notice and end your homeowners' exemption. Before month 12, decide on renewal and any rent increase, because California's just cause rules start applying once a tenant has been there 12 months.

This is general information, not legal or tax advice. Confirm the details for your situation with a California attorney or tax professional. Rules are as of October 2026.

Key takeaways

  • California caps most security deposits at one month's rent, furnished or not.
  • Move-in photos are required for tenancies beginning on or after July 1, 2025, and move-out photos are required before and after repairs.
  • Renting does not trigger a Prop 13 reassessment by itself, but you must end the homeowners' exemption yourself.
  • Plan renewals before month 12, when just cause protections start for covered homes.

Before you move out

Insurance. A rented home is usually insured under a landlord or dwelling policy rather than a homeowners policy; it can cover lost rent if the home becomes uninhabitable, but not the tenant's belongings. Many landlords require tenants to carry renters insurance with liability coverage. See landlord insurance for Coronado rentals.

HOA. Before renting, give the association proof of the date you acquired title and the tenant's name and contact information (Civil Code § 4740(c)). Get the leasing rules, move-in rules and amenity rules for tenants.

City rules. Coronado prohibits rentals of 25 consecutive days or less in residential zones (CMC § 86.78). If you rent out one or two homes, you do not need a city business certificate (CMC § 13.10.030).

Rental standards. Before the tenancy starts:

  • Smoke alarms working (Health & Safety Code § 13113.7).
  • Carbon monoxide devices if the home has a fuel-burning appliance, fireplace or attached garage (H&S § 17926).
  • For leases entered into, amended or extended on or after January 1, 2026, a working stove and refrigerator (Civil Code § 1941.1). The tenant may opt to supply their own refrigerator only through the statutory checkbox statement in the lease; there is no opt-out for the stove.

Our rent-ready guide covers repairs and cleaning.

Screening. Use written criteria and apply them the same way to every applicant. California protects source of income, including housing vouchers, and military or veteran status (Gov. Code § 12955). A screening fee cannot exceed actual costs and is capped at $30 per applicant, adjustable for inflation since 1998 (Civil Code § 1950.6). If you charge a screening fee, you must either consider applications first come, first qualified, or refund every applicant not selected.

The lease. For a typical Coronado house or condo, check that it includes:

  • Either the rent cap and just cause notice, or, for a qualifying single-family home or condo, the exact statutory exemption statement (Civil Code §§ 1946.2, 1947.12).
  • The flood hazard disclosure with the state's MyHazards website (Gov. Code § 8589.45).
  • The bed bug notice (Civil Code § 1954.603).
  • The Megan's Law database notice for single-family homes (Civil Code § 2079.10a).
  • The federal lead-based paint disclosure and pamphlet if the home was built before 1978.
  • Written notice before signing if you actually know of a former military ordnance location within one mile (Civil Code § 1940.7).
  • The no-smoking areas, if you restrict smoking (Civil Code § 1947.5).
  • An owner move-in clause if you may return, because for leases since July 1, 2020, owner move-in requires one or the tenant's written agreement.

Payments: you must accept at least one form of payment that is neither cash nor electronic transfer, and you may not charge a fee for paying by check (Civil Code § 1947.3).

Move-in week

  • Deposit. The cap is one month's rent in addition to the first month's rent, furnished or not (Civil Code § 1950.5). A small landlord who is a natural person, or an LLC of natural persons, with no more than two rental properties and four units may collect up to two months, but not from a service member. Pet deposits and cleaning fees count toward the cap, and no part can be called nonrefundable.
  • Photos. For tenancies beginning on or after July 1, 2025, photograph the home immediately before or at the start of the tenancy (Civil Code § 1950.5(g)). Date and store them where you can find them at move-out.
  • Hand-off. Give the tenant keys, payment and repair-request instructions, and an emergency contact.

Months 1 to 6

  • Rent and records. Log every payment received, and keep every invoice and receipt. You will need them for Schedule E.
  • Repairs and entry. For non-emergency entry, give reasonable written notice stating the date, approximate time and purpose. 24 hours is presumed reasonable, and entry must be during normal business hours unless the tenant consents at the time (Civil Code § 1954).
  • Recalls. A recalled stove or refrigerator must be repaired or replaced within 30 days of notice of the recall.
  • Homeowners' exemption. It requires the home be your principal residence on January 1. You are responsible for ending it when you no longer qualify, and December 10 is the last day to do so without penalty. Renting does not by itself trigger a Prop 13 reassessment.
  • Withholding. If you live outside California, a property manager generally must withhold 7% of the rent paid to you (FTB Pub 1017, rev. 02/2026).

Months 6 to 11: plan the renewal

  • Rent increases. If the home is covered by the state rent cap, increases in San Diego County effective August 1, 2026 through July 31, 2027 are limited to 8.2% over 12 months, in no more than two steps (Civil Code § 1947.12).
  • Notice. A month-to-month increase of 10% or less needs at least 30 days' written notice; above 10% needs 90 days (Civil Code § 827).
  • Ending a tenancy. For a month-to-month tenancy, the owner's notice is 30 days if the tenant has been there less than a year, and 60 days after that (Civil Code § 1946.1). Once a tenant reaches 12 months, a covered tenancy can only be ended for a just cause stated in the notice, and no-fault endings require relocation assistance of one month's rent (Civil Code § 1946.2).

The California landlord laws guide covers each rule in more detail.

Year end: tax records

  • Rental income and expenses go on Schedule E (Form 1040).
  • Record the date the home became a rental. Depreciation of a converted home starts from the lower of your adjusted basis or its fair market value on that date, building only, over 27.5 years.
  • Keep the lead-based paint disclosure records for at least three years from the start of the lease, if they apply.

Our Coronado rental taxes guide explains the rest. For seasonal upkeep, see the fall and winter owner checklist.

Coming in 2027

  • January 1, 2027: rental ads that use digitally altered or AI images must disclose it and show or link to the original image (AB 2025).
  • April 1, 2027: every landlord must have a written pet policy, linked in listings and given with every application (SB 1296). It does not require allowing pets.

Print the move-in and move-out inspection checklist to document condition and photos, and use the deposit return deadline calculator at move-out.

Step-by-step guides

The statewide California Rental Handbook walks through each stage in detail:

Frequently asked questions

What disclosures does a Coronado lease need?

For a typical house or condo: the rent cap and just cause notice or the exact exemption statement, the flood hazard disclosure, the bed bug notice, the Megan's Law notice for single-family homes, and the lead-based paint disclosure for homes built before 1978. Some notices, such as the military ordnance notice, apply only in specific situations.

How much security deposit can I collect in Coronado?

As of October 2026, generally one month's rent in addition to the first month's rent, whether or not the home is furnished (Civil Code § 1950.5). Some small landlords may collect up to two months, but not from a service member, and pet deposits count toward the cap.

When do I have to take photos of my rental?

At or just before move-in for tenancies beginning on or after July 1, 2025, and at move-out both before and after any repairs or cleaning. Those photos must accompany the itemized deposit statement, which is due within 21 days after the tenant leaves.

How much notice do I need to raise the rent?

At least 30 days' written notice for a month-to-month increase of 10% or less, and 90 days for more than 10% (Civil Code § 827). If the home is covered by the rent cap, the increase itself is limited to 8.2% over 12 months for San Diego County increases effective August 1, 2026 through July 31, 2027.

Do I need to tell my HOA I am renting my home?

Yes. Before renting, California law requires you to give the association verification of the date you acquired title and the tenant's name and contact information (Civil Code § 4740(c)). Ask for the leasing rules at the same time.

Next step: start with the right rent

The first decision on this checklist is the rent itself. McKee Properties has managed rentals from its Coronado office since 1989 and offers a free, no-obligation rental analysis. Request your Coronado rental analysis, or browse the full Coronado Rental Guide.

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