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A man speaks in front of a crowd of people.
Sen. Gary Winfield, D-New Haven, speaks at a Tuesday morning press conference in 2023 in support of a bill to cap rent increases in Connecticut. Credit: Ginny Monk / ctmirror.org

Connecticut officials have looked for ways to limit the impact of rising housing costs on Connecticut tenants over the last few years. 

One idea housing advocates have pushed for in the past is a rent cap, although the proposal has not gained enough traction to get far in the legislative process. 

That could change this year.

House Bill 5092, which Gov. Ned Lamont proposed in February, would allow municipal fair rent commissions to cap rent increases at 5% if a landlord has purchased the residential property within the last year. There are exceptions for properties that have undergone substantial renovations, costing more than $50,000 per unit. 

The bill adds to the circumstances under which a fair rent commission can deem a proposed rent increase to be harsh or unconscionable, creating a limited rent cap. 

Here’s what to know about the governor’s proposal and where it stands. 

What is a limited rent cap? 

A limited rent cap is a policy that prohibits landlords from increasing rent on residential properties under certain circumstances. States like California, Oregon, New York and New Jersey already enforce statewide rent control laws that cap rent increases at 5%.  

Connecticut requires municipalities with populations over 25,000 to establish fair rent commissions. These entities have the power to limit or reverse rent increases on a case-by-case basis after reviewing complaints by tenants. Landlords can appeal the decisions in court. 

If H.B. 5092 passes, new landlords who want to increase rent by more than 5% will have to justify their decisions to the fair rent commission. While it empowers fair rent commissions to protect tenants from rent increases, the onus is on tenants to bring their complaints to the commission. 

How will this bill affect landlords and tenants?

Landlords say that rent cap proposals will deter them from renovating and improving their property while earning the profit they want. Tenants argue that rent increases can unfairly price them out of their housing. 

John Souza, president of the Connecticut Coalition of Property Owners, wrote in a 2024 public testimony that capping rent increases discourages builders from creating new houses and exacerbates housing crises. 

Research shows that rent control may decrease rental housing stock and discourage landlords from investing in maintenance in the long run, even if it protects tenants from displacement. 

The bill would make it harder for landlords to increase rent in their first year of ownership, which ensures renters that new owners won’t jack up prices. 

Luke Melonakos, vice president of the Connecticut Tenants Union, said proposals for rent stabilization feel like “a light going on in a dark room.” Too many Connecticut residents are spending more than they can sustainably afford in rent, he said.

In January 2025, the Connecticut Fair Share Housing Study estimated Connecticut is short at least 119,600 housing units to meet the state’s needs. 

Where does the bill stand now? 

The legislature’s Housing Committee advanced the governor’s bill on March 10. If it passes both the House and the Senate, it will land on Lamont’s desk for final approval. 

It’s too soon to know whether the bill will become law. Other bills that have intended to restrict rent increases have seen little success. In 2023, the Housing Committee decided not to vote on a bill that would have capped annual rent increases at 4% plus the consumer price index. 

Last year, the state Department of Housing pushed for a bill that would have required local fair rent commissioners to consider rent increases greater than 10% unfair if the apartment had been sold recently and undergone no major renovations. That bill also failed to get a vote.  

But the most recent rental cap proposal is spearheaded by the governor, who is campaigning for his third term. That could add more political momentum to the bill.  

This year’s legislative session is scheduled to adjourn on May 6.  

Jane Park is a current senior at Yale University studying Comparative Literature and will graduate in December 2026. Previously, she has reported for the Milwaukee Journal Sentinel and has written for the Yale Daily News, where she served as the Arts desk editor. Following graduation, Jane hopes to continue reporting and serve readers with vital, accessible information. Jane is from Long Island, New York.