Landlord rent review in regards to long term fixed lease.

socialize

I am currently 1 year into a 6 year fixed lease
My landlord now has advised me that he wishes to do a rent reveiw and is looking to increase the rent by 50%

My question is, does the landlord have the right to increase the rent by 50% after me signing up to a 6 year fixed lease?

The landlord is saying that he has the right to review the rent yearly and increase or decrease based on the market value...

I am not looking for legal advise, only looking for knowledge and to know if he can increase the rent...
Is there a law that lets a landlord increase the rent by 50% 1 year into a fixed contract. (lease)
It does not state on the lease that the rent will be subject to reveiw yearly.

Spiritofthekop

socialize wrote: »

I am currently 1 year into a 6 year fixed lease
My landlord now has advised me that he wishes to do a rent reveiw and is looking to increase the rent by 50%

My question is, does the landlord have the right to increase the rent by 50% after me signing up to a 6 year fixed lease?

The landlord is saying that he has the right to review the rent yearly and increase or decrease based on the market value...

I am not looking for legal advise, only looking for knowledge and to know if he can increase the rent...
Is there a law that lets a landlord increase the rent by 50% 1 year into a fixed contract. (lease)
It does not state on the lease that the rent will be subject to reveiw yearly.

50% increase???

Just to let you know my rent came down this month & I live in a "desirable" area of Dublin.

Sounds like he could be trying to push you out of the place.

Giblet

He can do this yearly and this right supercedes any lease, but you don't have to agree and he has make sure it's on par with market rates.

snubbleste

Is it a commercial property?

gizmo555

socialize wrote: »

My question is, does the landlord have the right to increase the rent by 50% after me signing up to a 6 year fixed lease?

The landlord is saying that he has the right to review the rent yearly and increase or decrease based on the market value...

What does the lease say?

In general, landlords may only increase the rent annually and not to more than the open market rate, i.e., whatever rent the property would be likely to achieve if it was being let now to a new tenant. If there's a dispute about the increase (and 50% sounds mad, unless the rent was set very low in the first place) you have the right to request the PRTB to resolve it.

My understanding is, but don't take it as gospel, that pending the determination by the PRTB of what the market rent is, you don't have to pay any increase, but if they decide an increase is justified, it may be back dated.

Best bet is to contact Threshold - the PRTB are badly underresourced and very slow to respond to queries.

snubbleste wrote: »

Is it a commercial property?

That, of course, is a very good question! If it is, the only part of the above which applies is "what does the lease say?"

socialize

Giblet wrote: »

He can do this yearly and this right supercedes any lease, but you don't have to agree and he has make sure it's on par with market rates.

So if i do not agree, they cannot kick me out or enforce an increase?
The market value in my area would be about 20% more than what i am paying.
The reason i got the rent cheaper was because the property was in a mess and i agreed to a 6 year lease.
Residential Property

socialize

gizmo555 wrote: »

What does the lease say?

In general, landlords may only increase the rent annually and not to more than the open market rate, i.e., whatever rent the property would be likely to achieve if it was being let now to a new tenant. If there's a dispute about the increase (and 50% sounds mad, unless the rent was set very low in the first place) you have the right to request the PRTB to resolve it.

My understanding is, but don't take it as gospel, that pending the determination by the PRTB of what the market rent is, you don't have to pay any increase, but if they decide an increase is justified, it may be back dated.

Best bet is to contact Threshold - the PRTB are badly underresourced and very slow to respond to queries.
"

The market value in my area would be about 20% more than what i am paying.
I got the rent cheaper because the property was in a mess (required maintenance and chairs+table etc...) and i agreed to a long term 6 year lease.

Residential Property

antoinolachtnai

Does your lease include the word 'fixed' or say anything about there not being rent reviews? Does the lease mention that the property is in poor repair? If not, you might be in a tough position here. You might have to accept an increase to bring the rent in line with market rates. It is certainly legally uncertain.

Cuddlesworth

If the asking on other properties is 20% higher, then your probably bang on the money for the rent charged.

socialize

antoinolachtnai wrote: »

Does your lease include the word 'fixed' or say anything about there not being rent reviews? Does the lease mention that the property is in poor repair? If not, you might be in a tough position here. You might have to accept an increase to bring the rent in line with market rates. It is certainly legally uncertain.

It doesn't say the word fixed and doesn't mention rent reviews at all...

It says under Letting: "The landlord lets and the tenant takes the property for the term at the rate payable as above"

It says under Landlord agrees with the tenant: So long as the agreement continues and the tenant complies with its terms to allow the tenant to occupy the property without interference by the landlord.

gizmo555

antoinolachtnai wrote: »

You might have to accept an increase to bring the rent in line with market rates.

In the event of a dispute, the final arbiter is the PRTB. It is definitely not a case of the landlord being able to decide unilaterally what the market rent for his or her property is.

gizmo555

socialize wrote: »

It doesn't say the word fixed and doesn't mention rent reviews at all...

It says under Letting: "The landlord lets and the tenant takes the property for the term at the rate payable as above"

It says under Landlord agrees with the tenant: So long as the agreement continues and the tenant complies with its terms to allow the tenant to occupy the property without interference by the landlord.

That sounds on the face of it as though the landlord may have no grounds to seek an increase for the entire lease term. But, like I say, get proper independent advice - start with Threshold.

socialize

gizmo555 wrote: »

That sounds on the face of it as though the landlord may have no grounds to seek an increase for the entire lease term. But, like I say, get proper independent advice - start with Threshold.

I hope so, cause 50% increase is a joke in this climate.

Will engage Threshold for assistance.

Thanks All

spockety

He's got six years of guaranteed unbroken rent and he is pulling this? My word.