How Much Can Alberta Landlords Raise the Rent in 2014?
It’s that time of year when Alberta landlords begin to look forward to the future and that includes increasing the rent in 2014.
With low vacancy rates across the province, most landlords have existing renters.
We’ve received a number of emails in from mostly new landlords asking about rent increases.
So How Much Can I Raise The Rent
A common quest regarding raising the rent comes from Chen in Calgary.
He’s a new Calgary landlord who decided to make our province his home upon coming to Canada.
He bought in Calgary and is now renting out to some tenants since early last year.
He asked if there are any rules for how much he can raise the rent and by how much.
Another email we recently received is from a long term resident of Edmonton.
She knows some friends who rent out their basements and decided to become an Edmonton landlord a couple of years ago.
She hasn’t raised the rent at all since her tenants moved in and wants to try to keep up with her growing expenses and raise the rent in 2014.
No Rent Control In Alberta
Unlike the other provinces in Canada, Alberta doesn’t have rent control.
Rent control is when the government interferes with the free market and dictates to private landlords how much they can raise the rent.
For example, in Ontario landlords can only raise the rent by 0.8% in 2014.
Yes, it’s that low. It’s their second lowest rent controlled increase since the mid-1970’s and it has a lot of landlords in Ontario very unhappy.
Our neighbors to the west also have rent control.
BC landlords at least get a little fairer formula with the how the government comes up with the increase.
They use the inflation rate and add 2% to it knowing the extra costs landlords face to maintain their rental homes and keep them in good shape.
The Rules For Alberta Landlords
There has been some discussion of rent control coming to Alberta in the future.
Fortunately for both landlords and tenants this is only chatter at the moment.
Alberta landlords can raise the rent as much as they want but must follow these rules:
1. When Can I Raise the Rent?
You can only raise the rent if you haven’t given your tenants a rent increase in the past year or at least since the start of the tenancy.
2. How Much Notice Do I Need To Give To My Renters?
Landlords need to give your tenants written notice of the increase.
If it’s a weekly tenancy you need to give at least three months notice.
If it’s a monthly tenancy (like most of us have) it’s three months.
If it’s what is called a periodic tenancy you need to give ninety days notice.
Alberta Landlords And Increasing the Rent in 2014
You can raise the rent whatever you like as long as you give notice.
The real questions for Alberta landlords is are:
(a) Are you going to raise the rent in 2014? If not, why not?
(b) If you are going to raise the rent, how much will you raise it? Why did you choose this amount for the increase?
These are a couple of questions we will discuss and if you have an opinion email us and we will publish it to help Alberta Landlords network and learn from each other for mutual success.