Here's How Much Your Rent Could Increase In Montreal In 2020
MTL Blog spoke to the Régie du logement to clear up some details.
- The concern about rising is constantly on the minds of locals, so MTL Blog spoke to the Régie du logement to clear up some details.
- Read what we found out below!
It's clear that Montreal is losing its reputation as a bastion of affordable living as rent is estimated to increase further in 2020. According to data from Rentals.ca, could be seeing a 3%-5% increase overall. The Régie du logement will officially release the projected percentage increase soon, but Montrealers should be aware that it's up to their landlord to establish a rent increase.
"It is important to understand that the Régie does not recommend any rent increase," says Denis Miron, Communications Director at the Régie.
"In Québec, lessors and lessees are free to agree on a rent increase that both consider acceptable. Tenants and landlords must reach an amicable agreement and negotiate a rent increase," he says.
So, while there's a chance that your rent won't increase at all, the rental market forecasts otherwise. In Montreal, vacancies are at an all-time low and the demand for apartments is high. The city, in fact, has the highest proportion of household renting in Canada.
For Montrealers who are worried about how much their rent might increase, the Régie provides us with a handy calculator that presents an example scenario to help you better understand your possible rent increase.
According to Miron, the calculation tool will help the public "facilitate agreements on rent increases."
"The Régie presents fictitious calculation scenarios based on estimated average basic increases," continues Miron. "There are several estimated average increases expressed as percentages according to the type of dwelling (heated or unheated)."
These example scenarios, however, do not take into account the specificities of each building and each dwelling. Hydro and other fees, for instance, must be calculated separately.
"It is important to point out that the online calculation tool must be used to obtain a more precise estimate of the increase," says Miron.
This calculator, therefore, will help renters figure out if they are being fairly treated by their landlords.
"In Québec, lessors and lessees are free to agree on a rent increase that both consider acceptable. The lessee also has the right to refuse a rent increase proposed by the lessor," states the Régie du logement.
According to CTV News, tenants' rights groups in Montreal are calling for the Régie to set a cap on how much landlords can increase their rents this year. Some advocates even say that landlords might be inclined to increase rents in the city by as much as 6%.
With vacancy rates estimated to dip under 1.5% in Montreal, prospective renters are pressed to find a place to live.
Still, experts believe that the market will be more stable this year and in the future.
With rents estimated to increase up to 5%, finding a cheap place to live in Montreal might be more difficult than ever before.
In some Montreal neighbourhoods, the vacancy rates have dipped to 0.5%. As the cost of becoming a landlord goes up, so will the cost of being of a renter.
The Régie du logement will soon release its rent increase estimates for 2020.
MTL Blog will bring you all the updates as this story develops.