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California AB 2747: What multifamily operators need to know about the new deposit law

California’s new rent reporting law—Assembly Bill 2747 (AB 2747)—goes into effect on July 1, 2025, and it's reshaping how multifamily housing operators serve renters in the state. The law requires certain landlords to offer residents the opportunity to report their on-time rent payments to credit bureaus—a move aimed at expanding access to credit-building tools for renters.

In this guide, we’ll break down the law, what it means for your operations, and how Roost’s rent reporting platform helps you stay compliant while delivering added value to residents.

What is AB 2747?

AB 2747 mandates that California landlords who own or manage 15 or more residential rental units must give tenants the option to participate in rent reporting. That means reporting on-time rent payments to major consumer credit bureaus like Experian, Equifax, or TransUnion.

Landlords must:

  • Provide written notice about the right to opt in
  • Clearly state that participation is optional
  • Disclose any associated fees (if applicable)
  • Specify which credit bureaus data will be shared with
  • Allow tenants to opt out at any time

Failure to comply may result in civil penalties, so preparation ahead of the July 2025 deadline is essential.

Why rent reporting is valuable to residents

Rent reporting turns one of a resident’s biggest monthly expenses—rent—into a credit-building tool. Historically, rent hasn’t helped renters build credit, unlike mortgage payments. But that’s changing.

Research from the Credit Builders Alliance shows:

  • Rent reporting can increase credit scores by 30–50 points
  • Residents with thin or no credit files benefit most
  • On-time reporting opens doors to credit cards, loans, and future rentals

This is especially important for lower-income renters, younger residents, and immigrants who are underserved by traditional credit systems. By enabling rent reporting, landlords can play a direct role in advancing financial inclusion.

How rent reporting works with Roost

Roost’s rent reporting solution helps multifamily operators comply with AB 2747 and deliver a seamless experience to residents.

The process:

  1. Residents receive a notification with opt-in details
  2. They activate reporting through their Roost dashboard and e-sign acceptance
  3. Roost verifies rent payments automatically through the property management system and submits reports monthly
  4. Residents can cancel at any time and even re-register after the mandated rest period

Roost also provides email and in-app support, FAQs, and educational content—making compliance easy for properties and stress-free for renters.

What landlords must do under AB 2747

If you own or manage California multifamily properties with 15+ units, here’s what AB 2747 requires:

  • Provide clear, written notice of rent reporting option
  • Disclose if any fee is charged and which bureaus are used
  • Offer tenants the ability to opt in or opt out at any time
  • Do not penalize or pressure tenants to participate

Note: Landlords are not required to furnish data directly to credit bureaus—they can use third-party services like Roost.

Choosing a rent reporting service

To comply and deliver value, your rent reporting partner should meet several criteria:

  • Complies with AB 2747 disclosure requirements
  • Supports automated data collection from your PMS
  • Offers flexible plans: property-paid or resident-paid
  • Provides transparent pricing and opt-out support
  • Reports to all three major credit bureaus
  • Delivers resident support and education
  • Enables property-level tracking and analytics

Roost meets all of these and is trusted by multifamily operators nationwide.

Is rent reporting an amenity—or a revenue opportunity?

AB 2747 allows landlords to charge a reasonable fee for rent reporting, provided the fee:

  • Is voluntary (resident must opt in)
  • Does not exceed the actual cost of the service
  • Is clearly disclosed upfront
  • The service is voluntary (residents must opt in)
  • The fee does not exceed the actual cost of the service
  • The cost is clearly disclosed upfront

Some properties offer rent reporting as a free resident amenity to boost loyalty and encourage lease renewals, while others may pass on the fee. 

Roost Tip: Treat it like any other financial wellness feature—offering it for free may yield greater long-term value through improved retention, compared to a modest monthly charge.

Exemptions and applicability

AB 2747 does not apply to:

  • Single-family homes or duplexes
  • Landlords who are natural persons (i.e., individuals vs. corporations)
  • Properties with fewer than 15 units

Still, offering rent reporting voluntarily can increase resident satisfaction and differentiate your brand—whether required or not.

Why this matters for your portfolio

Adding rent reporting to your resident experience strategy helps you:

  • Deliver meaningful financial value to renters
  • Support credit building and inclusion
  • Reduce delinquencies and move-outs
  • Differentiate your property in a competitive market
  • Stay compliant with California housing law

Roost supports the full compliance workflow—from disclosure to reporting—and integrates easily with your existing move-out and refund processes.

Comply with AB 2747 and help residents build credit

California’s AB 2747 rent reporting law isn’t just about checking a compliance box—it’s an opportunity to add meaningful financial value for residents while streamlining operations across your portfolio.

By offering rent reporting, you’re helping renters build credit with on-time payments, improve access to loans, and reduce financial stress. It’s a simple way to increase resident satisfaction, stand out in a competitive market, and stay ahead of state requirements.

Roost makes compliance effortless. From automated opt-in notices to rent payment reporting and resident support, we handle the heavy lifting. Whether you're getting ready for the July 1, 2025 deadline or looking to add rent reporting as a long-term resident benefit, Roost helps you deliver more—faster, smarter, and fully compliant.

Get ready for AB 2747.
Request a demo or talk to your Roost account manager today about activating rent reporting for your California properties.