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Difference between revisions of "Rent Increase in Residential Tenancies (19:VI)"
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Rent Increase in Residential Tenancies (19:VI) (view source)
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=== 2. Non-Payment of Rent=== | === 2. Non-Payment of Rent=== | ||
Whether or not a tenant pays rent in accordance with the tenancy agreement, a landlord must not seize any personal property of the tenant or prevent or interfere with the tenant’s access to the tenant’s personal property (''RTA'', s 26(3)). The only exceptions are if the landlord has a court order authorizing the action, or if the tenant has abandoned the rental unit and the landlord complies with the regulations: see RTA s 26 (4)(a) and (b). | Whether or not a tenant pays rent in accordance with the tenancy agreement, a landlord must not seize any personal property of the tenant or prevent or interfere with the tenant’s access to the tenant’s personal property (''RTA'', s 26(3)). The only exceptions are if the landlord has a court order authorizing the action, or if the tenant has abandoned the rental unit and the landlord complies with the regulations: see ''RTA'' s 26 (4)(a) and (b). | ||
== '''B. Rent Increases and Notice''' == | == '''B. Rent Increases and Notice''' == | ||
Landlords can raise rents by a set amount each year and can apply for rent increases above that amount (RTA, s 43(1)). A tenant may also agree to pay a greater increase than the percentage permitted; this agreement must be in writing. If the tenant does not agree, the landlord may apply for an additional rent increase (RTA s 43 (3)). The percentage for allowable rent increases is usually the inflation rate (Consumer Price Index, or “CPI”), but it is limited to only 2% for 2023. '''The maximum allowable increase changes each year on January 1st''' and is posted on the Rent Increase webpage (http://bit.ly/1cWKrDB). A landlord can only impose a rent increase 12 months after the date on which the tenant's rent was first payable for the rental unit or the effective date of the last rent increase (s 42(1)). A tenant may not apply for dispute resolution to dispute a rent increase that complies with s 43(1). If a landlord collects a rent increase that does not comply with the RTA, the tenant may deduct the entire increase from the rent. The tenant should communicate the reason for the deduction to the landlord before taking this form of action. | Landlords can raise rents by a set amount each year and can apply for rent increases above that amount (''RTA'', s 43(1)). A tenant may also agree to pay a greater increase than the percentage permitted; this agreement must be in writing. If the tenant does not agree, the landlord may apply for an additional rent increase (''RTA'' s 43 (3)). The percentage for allowable rent increases is usually the inflation rate (Consumer Price Index, or “CPI”), but it is limited to only 2% for 2023. '''The maximum allowable increase changes each year on January 1st''' and is posted on the Rent Increase webpage (http://bit.ly/1cWKrDB). A landlord can only impose a rent increase 12 months after the date on which the tenant's rent was first payable for the rental unit or the effective date of the last rent increase (s 42(1)). A tenant may not apply for dispute resolution to dispute a rent increase that complies with s 43(1). If a landlord collects a rent increase that does not comply with the RTA, the tenant may deduct the entire increase from the rent. The tenant should communicate the reason for the deduction to the landlord before taking this form of action. | ||
The landlord must give written notice of a rent increase at least three full months before the increase becomes effective (s 42(2)). If the notice of rent increase is not written in the approved form, it is invalid and of no effect. If the landlord gives notice of less than three months, or if the increase is to take effect less than 12 months from when the tenant moved in, or from when the tenant’s rent was last increased, the original notice will self-correct and will take effect on the earliest lawful date, provided it is otherwise correct. The tenant should notify the landlord about any self-correcting dates. | The landlord must give written notice of a rent increase at least three full months before the increase becomes effective (s 42(2)). If the notice of rent increase is not written in the approved form, it is invalid and of no effect. If the landlord gives notice of less than three months, or if the increase is to take effect less than 12 months from when the tenant moved in, or from when the tenant’s rent was last increased, the original notice will self-correct and will take effect on the earliest lawful date, provided it is otherwise correct. The tenant should notify the landlord about any self-correcting dates. | ||
Section 43(3) of the RTA permits landlords to apply for an order allowing a rent increase greater than otherwise allowed under s 43(1). The circumstances under which these applications may be made are set out in ss 23-23.4 of the Regulations, and include: | Section 43(3) of the ''RTA'' permits landlords to apply for an order allowing a rent increase greater than otherwise allowed under s 43(1). The circumstances under which these applications may be made are set out in ss 23-23.4 of the Regulations, and include: | ||
*the landlord, acting reasonably, has incurred a financial loss for the financing costs of purchasing the residential property if the financing costs could not have been foreseen under reasonable circumstances; | *the landlord, acting reasonably, has incurred a financial loss for the financing costs of purchasing the residential property if the financing costs could not have been foreseen under reasonable circumstances; | ||
