ARTICLE
29 May 2025

2025 California Real Estate Law Highlights

ML
Madison Law

Contributor

Madison Law, APC is a full-service law firm deeply committed to addressing the diverse legal needs that emerge in today’s fast-paced and complex environment. With a broad scope of disciplines, we bring the depth of experience, resources, and legal acumen necessary to handle national and international matters. As one of California’s fastest-growing law firms, we proudly represent clients in a full spectrum of business and commercial transactions while catering to personal and private legal needs. Founded by businesspeople, Madison Law is uniquely sensitive to the challenges organizations face in today’s competitive landscape. This business-focused approach sets us apart, providing our clients with preventative advice and strategic solutions that enable them to navigate potential challenges before they arise.

California passes new laws and amends old ones regularly. Real estate laws, in particular, are changed and added to every year.
United States California Real Estate and Construction

California passes new laws and amends old ones regularly. Real estate laws, in particular, are changed and added to every year.

Everyone should familiarize themselves with the laws that apply to their property. However, not every legal update is equally relevant to every property owner. Some are technical or apply in very narrow contexts—for example, rules controlling access to court records in eviction cases can differ depending on whether the residence is a mobile home or another type of dwelling. As of 2025, the rules are now the same for mobile homes, but this is not something that will impact most people on a daily basis. Some changes, however, are more universal.

Security Deposit Deductions Now Require Photos

Security deposit disputes are among California's most common landlord/tenant issues, particularly over whether a landlord can apply the deposit toward repairs when a tenancy ends.

As of April 1, 2025, landlords are now required to take photographs of the unit before a repair is performed and after it's completed if they intend to apply the security deposit to the cost of that repair (Cal. Civil Code § 1950.5).

This rule is aimed at improving transparency and reducing disputes over post-tenancy deductions. If you're a landlord or property manager, this documentation step is now mandatory.

Tenants Now Have More Time to Respond to Eviction Lawsuits

As of 2025, tenants have more time to respond to unlawful detainer (eviction) lawsuits.

Previously, tenants had just five business days to respond. Effective this year, that window has been extended to ten business days to file a response (Cal. Code Civ. Proc. § 1167).

While demurrer timelines in eviction cases have been shortened slightly, the overall effect is that eviction proceedings now require marginally more time than before.

New HOA Maintenance and Voting Requirements in Effect

Several changes affecting Homeowners' Associations (HOAs) are now in effect as of 2025. Notably, updates to Cal. Civil Code §§ 4775 and 5550 clarify that:

  • HOAs are responsible for necessary maintenance in common areas—unless the HOA's governing documents state otherwise.
  • Specific timelines for completing repairs are now required from HOAs, as well as options to address financing for those repairs.
  • Voting procedures for members have also been updated, including:
    • Stricter notice requirements;
    • Allowance of electronic voting in designated situations.

If you're part of an HOA board or a homeowner in a common interest development, these updates may affect both how your HOA operates and how quickly needed repairs must be addressed.

Want to Explore More 2025 Real Estate Law Changes?

If you're interested in a full breakdown of new California real estate laws for 2025, the California Association of Realtors provides a carefully curated summary each year. You can view their 2025 chart here: CAR 2025 New Laws Summary.

These summaries are reader-friendly and highlight only the changes for the current year, making them a valuable reference for real estate professionals, property owners, and the general public.

Need Help Applying These New Laws?

If you're facing a legal dispute, reviewing your lease or HOA obligations, or unsure how new 2025 laws impact your rights, it's smart to consult with legal counsel.

Madison Law handles a variety of real estate disputes, including matters related to real property purchase and sale agreements (including non-disclosure claims), residential and commercial landlord/tenant conflicts, and many other issues.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

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