The B.C. government has set next year’s maximum allowable rent increase at 3.5 per cent.
The rent cap for 2024 is well below the 12-month average rate of inflation of 5.6 per cent, said the government in a statement.
It applies to rent increases starting Jan. 1, 2024. Landlords can only increase rent once every 12 months, and have to provide three full months’ notice to tenants.
“Across the country, costs have been increasing — especially for housing — at a rate that’s unsustainable for many people,” said Housing Minister Ravi Kahlon in a statement.
“We know that’s the case for both landlords and renters, and that’s why we’ve found a balance to protect renters while helping to keep rental units on the market.”
Spencer Chandra Herbert, special liaison for renters to Premier David Eby and MLA for Vancouver-West End, said the government listened to renters, who faced a possible rent hike of almost six per cent. He said the rent cap also allows landlords to keep their units on the market.
“We also know people renting out homes are facing increased costs and want to make sure they continue to make places available for long-term renters.”
To combat rising inflation faced by renters, the B.C. government capped rent increases last year at two per cent — below the 5.4 per cent inflation rate.
Before 2018, landlords were allowed to hike their rents based on the inflation rate plus two per cent.
Following a recommendation by a rental housing task force, the government capped rent increases to the inflation rate.
During the pandemic, a rent freeze was put in place in 2020 and 2021.
The rent increase cap does not apply to commercial tenancies, non-profit housing tenancies, co-operative housing and some assisted-living facilities.
More to come…