Rent Increase Freeze – BC
Here’s what do you need to know about the residential rent increase in British Columbia and what properties are included.
British Columbia implements a rent increase freeze and here’s what you need to know.
Landlords can only increase the rent once in a year by a sum allowed by law or an additional amount approved ahead of time by an arbitrator – they need to use the right form and give the occupant three entire months’ notification of the rent increase.
A rent increase for a tenant with a fixed-term agreement, who is staying in a rental unit, is restricted to the maximum annual allowably amount and must be increased once only at 12 months. The rent cannot be increased by more than the amount between leases with the same tenant.
Property managers/Landlords are not allowed to apply to increase their rent if it is already significantly lower than other similar rental units in the same geographic area.
Most Allowable Rent Increase
The landlord may only increase their rent 12 months after the date that the current rent was established with the current tenant(s) or a year after the date of the last legal rent increase, regardless of whether there is another property manager/landlord or new tenant by way of assignment.
The maximum allowable rent increase is defined as the average annual percentage change in the consumer price index of all items for British Columbia ends in July, the last available for the calendar year in which there was a rent increase.
For instance, if a rent increase takes effect in 2022, the maximum permissible rent increase is a 12-month average percent change in the all-items CPI for British Columbia ending in July 2021.
BC Stats publishes the 12-month All-items CPI Percentage Change for British Columbia ended in July 2021.
The limited for residential and manufactured home park tenancies are different
- For residential tenancies, the acceptable standard rent increase in 2022 will be 1.5%.
- For residential tenancies, they need to use RTB-7
- For manufactured home park tenancies, the standard allowable rent increase for 2022 will be 1.5%, in addition to a proportional amount for the change in local government levies and regulated utility fees
- For manufactured home park tenancies rent increases occurring in 2022 use the form RTB-11a
Note: Subsidized housing, where rent is matched with the tenants income, isn’t liable to rent increase laws. In these cases, the Residential Tenancy Branch does not have the authority to decide on options for rent increases. Residents with questions about rent increases for subsidized housing should contact their housing provider.
The rent increase cannot be greater than the amount determined using the permitted percentage increase.
What do you think about the rent increase freeze in BC?