12 responses

  1. Mike
    July 23, 2010

    That’s funny that the tenants thought you should let them stay free for a couple more days. You should have “Sure, just pay for the next months rent and you can stay up to the end of that month”.

    As for why they left – just a guess, but maybe the rent increase was just the catalyst for them giving notice. As you say, they were thinking of leaving anyway – if you hadn’t raised the rent they probably would have stayed a little longer, but still would have left.

    I don’t agree that it’s the renters problem with moving on 2 separate days. I’ve always been able to work this out by talking to the landlords/other renters and never had a problem.


  2. larry macdonald
    July 23, 2010

    A rent increase of 2.1% after 3.5 years is not much. Don’t think it was why they decided to leave. Indeed, they may find in their new place, the landlord will raise the rent by more. But perhaps it was the way the increase was handled? More emphasis on how they are valued as a tenant and how your rental income is falling behind on expenses?


  3. Mr. Cheap
    July 23, 2010

    Mike: Yeah, that’s certainly possible, but in my heart of hearts (I’m pretty sure it isn’t just wishful thinking), I think they left for their own reasons. I’m half tempted to give them a call our of the blue, ask them to be totally honest and ask if the rent increase had anything to do with the move…


  4. Mr. Cheap
    July 23, 2010

    Larry: I actually sent them something along exactly those lines (maybe I could have done a better job with it):

    “Hi XXXXX and YYYYYY,

    Congratulations again on your engagement!

    As I mentioned on the phone with XXXXX, unfortunately in the time
    you’ve been in the condo my costs have gone up. When you first moved in, the condo fees were $$$.$$ / month and have increased to $$$.$$ (and increase of over $50 per month). My insurance is going up in March to $500 (from the previous rate of $370), and the condo has been reassessed and the annual property tax has been raised.

    You’ve been wonderful tenants (and I really hope you decide to stay
    after the wedding). I feel that I’ve honoured my original commitment
    not to raise your rent at the end of your lease when you first moved
    in (and have kept the rent the same through 2 more leases).

    As of June 1st there will be a 2.1% (less than $30) increase to the rent. As per Ontario law, landlords can’t raise the rent more than once per
    year, so this is “locked in” (no further increase) until June 2011.

    You’ll receive an “official” version (with much the same information)
    in the mail shortly. Please let me know if you haven’t received it
    within a week or so.


    Mr. Cheap”


  5. Rachelle
    July 23, 2010

    I’m big believer in rent increases every year. If you want you can “trade” that right for a new lease or postdated checks. You then give them a credit in their lease for doing something for you.

    I did an evaluation on a property where one of the tenants was paying $575 per month for a one bedroom. This is the same rent he was paying when he moved in 18 years ago. Meanwhile the landlord’s costs have increased.

    There’s no way that the tenants moved because you increased their rent $30. It costs money and time and hassle to move. If they moved it’s because they were already planning to move.


  6. Financial Cents
    July 23, 2010

    You can do everything perfect sometimes and still be in a mess depending on who you are dealing with. I don’t think you did anything wrong. Out of practice, maybe. Out of line, no way. I totally agree with the last comment, finding a good tenant is scarce, not an easy task…based on my experience. If the increase wasn’t that much, I would have to assume they left for other reasons. I would be surprised if that was the main one. Emotionally and financially, moving ain’t cheap.


  7. Sam
    July 25, 2010

    Mr. Cheap, I have had experience with rent going up annually, and it’s actually something that I have expected, knowing that expenses do increase at some point. HOWEVER, I left one of the apartments I used to rent because the increase was 10%. This was too much for me, so I had to pack my bags and look for another place to stay.


  8. Mr. Cheap
    July 25, 2010

    Sam: For my unit (and many in Ontario), a 10% increase would be illegal.


  9. Sam
    July 31, 2010

    Mr. Cheap, it’s good that you a “cap” for the rental increase. I won’t mind 3-5% increase, but it should be illegal everywhere to raise 10%. 🙂


  10. QD
    August 22, 2010

    Rent increases every year shouldn’t be a problem. It’s a business and prices increase over time. Next year the increase is only 0.7% with HST coming into play, it seems almost absurd.

    I give our residents a “Residents Binder” for each property that includes a section on what they need to do to terminate the lease. That way they know what steps they need to take and we have set it up front.


  11. cecil henry
    June 8, 2012

    When tenants see a pattern of continuous rent increases year after year. They start to look around and think about leaving.

    Trust me, I’m one.

    Especially when the landlord says he doesnt increase rent every year ‘just because I can’ and then goes and does it. If the initial rent was high and at the limit of acceptability for the tenant, then raising the rent beyond that will precipitate them moving.


  12. k.dickie
    June 12, 2012

    Tenants should try to understand that if rent includes (utilities)they are getting good deal .Since all extra electricity,water usage (we know some tenants do not care ,keeping lights on all day while they are out /or leaving windows open in winter /summer heat or air condotioner running while it is wasted by going out of the window etc. Repairs,property taxes going up ,garbage /waste management separate charge by Govt ,these are a lot of expenses which tenant does not see .I understand they are paying rent but sometimes that is reason rent is allowed to go up by certain percentage by law.It is easy to blame landlord but tenant /landlords law is more favourable to tenants rights than landlord. I know I have seen horror stories while attending a session of Tenant/landlord court . Unfortunately all landlords are not filthy rich,they could be hardworking average citizen ,paying mortgages on rental property while juggling 2 jobs.If your landlord is nice/treating you well ,why move around ,pay moving cost ,?unknown scenario unless Landlord was terrible.


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