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rental increase after contract expire?

Last activity 17 May 2023 by bizwizard

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frankanderson

I'm kind of use to this in HK, but was wondering what is the norm here in PH ?


I moved from a condo a while back, think I went thru 4 contracts there and not once did they ever increase my rent.


new place - 2 year contract, landlord raised it 1500 only, which isn't much but I just find it hilarious him citing reason "inflation". We actually have 2 contracts, 1 real and 1 fake. The fake one he used to register at cityhall which I can also assume he is probably using it for tax evasion also.


what is your $0.02


Cheers 1f600.svg

danfinn

@frankanderson "new place - 2 year contract, landlord raised it 1500 only, which isn't much but I just find it hilarious him citing reason "inflation". "


As a homeowner, we cannot assume our housing costs remain fixed every year because we too must deal with inflation as taxes increase due to inflation. Your $30 per month might help pay for the landlord's increased tax bill. Also, post pandemic, many LGUs decided to increase tax rates after leaving rates flat for the previous 3 years. If I were renting the house I own, I might very well increase the monthly rate by $30 to cover increased property taxes. Somebody has to pay for it and still make some profit.   

frankanderson

@danfinn  True, I understand what you are saying.


I just found it funny that he's already cheating on the tax bracket by claiming the fake contract is over 1/3 less rent then the actual contract, but he's going to raise my rent citing "inflation".


He actually asked me to sign the fake contract for him as a favor, In case someone does show up ?  I didn't think twice. I just figured I'd scratch your back, you scratch mine.


I guess you gotta make your money and try to keep your money where you can. /shrugs

danfinn
@danfinn True, I understand what you are saying.
I just found it funny that he's already cheating on the tax bracket by claiming the fake contract is over 1/3 less rent then the actual contract, but he's going to raise my rent citing "inflation".

He actually asked me to sign the fake contract for him as a favor, In case someone does show up ? I didn't think twice. I just figured I'd scratch your back, you scratch mine.

I guess you gotta make your money and try to keep your money where you can. /shrugs
-@frankanderson

It is also customary for lawyers here to create and notarize 2 deeds of sale when selling property to lower the capital gains tax. It should technically be illegal but as I said, it is customary. I have seen that BIR rejects deeds of sale that they consider too low and increase the tax to some value they think is fair. They do not seem to prosecute this as tax evasion buy they know what is going on...and attorneys are not afraid of it. I suspect the case of rental contracts may be the same.

Enzyte Bob

Quid Pro Quo . . .One Hunchback said to another "I'll scratch your back if you'll scratch mine."

frankanderson

@Enzyte Bob Ah Hey Bob, long time no see buddy.

talamban

I have been in the same Condo with the same Lease Payment now for four years.

When I renew by email, I always include the following clause:

Renewal Options: Two One Year Options to Renew at the same Terms and Conditions.

The Options are at my discretion - NOT the Landlords.

So, I can stay at the same rate, or move without consequences.

danfinn
I have been in the same Condo with the same Lease Payment now for four years.
When I renew by email, I always include the following clause:
Renewal Options: Two One Year Options to Renew at the same Terms and Conditions.
The Options are at my discretion - NOT the Landlords.
So, I can stay at the same rate, or move without consequences.
-@talamban

I would doubt that adding a clause by email carries much legal weight. The landlord would have had to physically add that to your contract, signed it and provided you a new copy. Did he do that? If not, you have not right to stay. He might have shown that email to his lawyer who problably had a good chuckle.

bizwizard

I sure hope it's not too easy to raise the rent; I've been very happy with my stable rent for three years. But the electric company increased their prices quite a bit.

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