Bear in mind that the rent increase cap only applies to existing tenants. If landlords were to rent a unit out to new tenants, they are free to charge whatever they want.
That said, if you are a landlord with an existing tenant, you're fxxked if you are stuck in a situation where you are unable to recover your cost. Your only option in that case is to sell your rental unit, but the unit will be less appealing to potential buyers because only those moving into the unit themselves would be interested.
As a right-leaning person, I obviously do not agree with this policy because it would only exacerbate the rental supply shortage. If this below-inflation rent hike were to be kept, at least legislation should be amended to allow landlords to split the cost of repairs and maintenance (including strata fees) with the tenant. Currently, those are all counted as business operating costs for the landlord.
Quote:
Originally Posted by Hondaracer
https://vancouver.citynews.ca/2023/0...e-maximum-3-5/
Next years maximum allowable rent increase set at 3.5%
So they move away from the traditional model of inflation + 2%..
What’s the incentive to be a landlord when you can’t cover your costs of a rental unit?
Add in the million plus international students we will bring in next year, and good luck lol..
I’m b4 rental unit shouldn’t turn a profit communism take
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