2+1 rental contracts + increasing rents!

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macaroonie
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2+1 rental contracts + increasing rents!

Post by macaroonie » Mon, 10 Oct 2011 1:43 pm

My agent has told me that if i want to renew my rental they are going to increase it by more than 50% ! this is crazy! I have a 2+1 lease and i remember seeing a discussion topic on 2+1 but can't seem to find it now (maybe it got removed).

It doesn't say anywhere on the contract that it will be at the same rent, but shouldn't this be what it means? I thought the rents were going down, not going up by so much! Isn't the economy getting weaker?

If anyone has renewed their contract recently, has your rental gone up by so much?

Thanks!

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Post by JR8 » Mon, 10 Oct 2011 2:04 pm

Can you clarify what a 2+1 lease is? Also, what does the lease says about rent reviews?

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Post by nakatago » Mon, 10 Oct 2011 2:09 pm

Lease for a 2+1?

Nothing deters greed here as we've all realized.
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Re: 2+1 rental contracts + increasing rents!

Post by Saint » Mon, 10 Oct 2011 2:26 pm

macaroonie wrote:My agent has told me that if i want to renew my rental they are going to increase it by more than 50% ! this is crazy! I have a 2+1 lease and i remember seeing a discussion topic on 2+1 but can't seem to find it now (maybe it got removed).

It doesn't say anywhere on the contract that it will be at the same rent, but shouldn't this be what it means? I thought the rents were going down, not going up by so much! Isn't the economy getting weaker?

If anyone has renewed their contract recently, has your rental gone up by so much?

Thanks!
It means renewal at the current market rates which could mean one of the following

1) The LL doesn't actually want to renew the lease so has quoted a ridiculous renewal rental. I've seen this happen many times.

2) The LL is just trying his luck

3) Some idiot has just rented an appartment in same block for stupid money and your LL doesn't want to loose face.

4) Or the renewal rental is actually the current market rate for your appartment, not saying it is but you may of had a bargain for the last 2 years.

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Re: 2+1 rental contracts + increasing rents!

Post by ScoobyDoes » Mon, 10 Oct 2011 2:39 pm

Saint wrote: It means renewal at the current market rates which could mean one of the following

1) The LL doesn't actually want to renew the lease so has quoted a ridiculous renewal rental. I've seen this happen many times.

2) The LL is just trying his luck

I would say one of those two, most likely door#1.

There is no rule that says the +1 has to be at the same rate, only that it be at market rates. Mine went up on the +1 by $200 which was fine by me because for the 2-years before that I was probably paying $5-700 low.

At 50% I wouldn't even negotiate, just tell him to stuff it where the sun will never find it. You don't need to know people like that even if he then comes back to you for a deal. Suck it up my friend, looks like you need to look for a new place.
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Re: 2+1 rental contracts + increasing rents!

Post by BillyB » Mon, 10 Oct 2011 3:04 pm

macaroonie wrote:My agent has told me that if i want to renew my rental they are going to increase it by more than 50% ! this is crazy! I have a 2+1 lease and i remember seeing a discussion topic on 2+1 but can't seem to find it now (maybe it got removed).

It doesn't say anywhere on the contract that it will be at the same rent, but shouldn't this be what it means? I thought the rents were going down, not going up by so much! Isn't the economy getting weaker?

If anyone has renewed their contract recently, has your rental gone up by so much?

Thanks!
Rental should have gone up by about 10% to keep in-line with inflation + costs, but that means 30-40% to some landlords just to see if you like the place so much you'll pay a premium.

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Post by zzm9980 » Mon, 10 Oct 2011 10:20 pm

50% of how much, on what, and where?

These minor details can help us answer you better.

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Re: 2+1 rental contracts + increasing rents!

Post by x9200 » Tue, 11 Oct 2011 8:24 am

macaroonie wrote:My agent has told me that if i want to renew my rental they are going to increase it by more than 50% ! this is crazy!
Check directly with the LL. In some TAs there are clauses giving the agent an additional commission when the renewal option is executed. If not the case, then most likely something from the Saint's list. It is rather common for the LL to try to milk out the tenant on the renewal. "Because you save some money by not moving out" and all sort of similarly stupid arguments.

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Post by ScoobyDoes » Tue, 11 Oct 2011 9:52 am

zzm9980 wrote:50% of how much, on what, and where?

These minor details can help us answer you better.

Honestly, it doesn't matter...... a 50% increase in two years is out of all what and where questions.
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Post by zzm9980 » Tue, 11 Oct 2011 4:55 pm

ScoobyDoes wrote:
zzm9980 wrote:50% of how much, on what, and where?

These minor details can help us answer you better.

Honestly, it doesn't matter...... a 50% increase in two years is out of all what and where questions.
Well, I'm paying 2600 right now and am told by neighbors units were going for 1800-2000 in the same building 2-3 years ago. So while 50% might be pushing it a bit, it sounds relatively about in tune with the market (in some spots). Landlords aren't charity, i don't understand why people are getting so offended.

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Post by x9200 » Tue, 11 Oct 2011 9:27 pm

You may be paying too much and it's fine as long as you think it's fair but it may have nothing to do with the market price increase over these 2-3 years.

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Post by JR8 » Tue, 11 Oct 2011 9:34 pm

Threads like this bemuse me. The OP asks a serious and complex question in outline terms, and then just clears off, just as others attempt to make some constructive sense from the situation.

In such cases is it the OP just getting something off their chests, rather than actually looking for help and opinions?

:?

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Post by macaroonie » Wed, 12 Oct 2011 9:29 am

Thanks for all the comments. I have been investigating the situation a little further and have found information on the median rental and it does seem to be going down the last year, so the price suggested for a renewal really is not justifiable. Though i guess in the end the landlord can charge whatever they want. Don't think fair or justifiable comes into the question...?

Some others have suggested that perhaps i have got a great price, perhaps this was the case 2 years ago, it was the market price at the time anyway and i think it soared quite rapidly a few months after i signed the contract.

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Post by ScoobyDoes » Wed, 12 Oct 2011 10:36 am

zzm9980 wrote:
ScoobyDoes wrote:
zzm9980 wrote:50% of how much, on what, and where?

These minor details can help us answer you better.

Honestly, it doesn't matter...... a 50% increase in two years is out of all what and where questions.
Well, I'm paying 2600 right now and am told by neighbors units were going for 1800-2000 in the same building 2-3 years ago. So while 50% might be pushing it a bit, it sounds relatively about in tune with the market (in some spots). Landlords aren't charity, i don't understand why people are getting so offended.

That is a very wide scope of percentages..... $1800-$2000 increasing to $2600 in 2-3yrs takes the increase anywhere between 10-22% per year.

Whilst landlords are not a charity, correct, I don't see why I should be viewed as a walking Credit Card for some to abuse at will.
'When Lewis Hamilton wins a race he has to thank Vodafone whereas in my day I used to chase the crumpet. I know which era I'd rather race in.'

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Post by zzm9980 » Wed, 12 Oct 2011 12:28 pm

ScoobyDoes wrote: Whilst landlords are not a charity, correct, I don't see why I should be viewed as a walking Credit Card for some to abuse at will.
Then don't rent those units and you won't be abused. Sadly, locals won't be too sympathetic to your complaints. They mostly blame us (well, Caucasians and ABCs) for everything being so expensive:

URL CENSORED DUE TO COPYRIGHT ISSUES

One of many threads with the same theme: Blame "FT" or "Ang Mohs". Don't read too much, your brain will hurt. It is essentially a Singlish version of the South Park "Dey touk err jebz" episode.

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