Landlords seeking to increase rent by more than 7.5 per cent annually must obtain approval from the Rent Assessment Board, with any request for a higher increase supported by circumstances such as substantial property improvements or increased property taxes.
The clarification was provided by Director of Rent Services in the Ministry of Economic Growth and Infrastructure Development (MEGID), Shenese Williams-Headlam, during a recent edition of the MEGID Insider, where she addressed issues affecting the landlord-tenant relationship, including rent increases, security deposits, harassment, notices and disputes.
Mrs. Williams-Headlam explained that landlords cannot defer an annual increase and subsequently impose a larger one to recover the amounts forgone in previous years.
“So, if a landlord, for instance, decides that he hasn’t raised rent for five years and he wants to now put this lump sum on the rent, that is classified as an illegal increase, because rent is to be increased per annum by 7.5 per cent,” she said.
She noted that landlords seeking an increase above the permitted rate must provide evidence to support their application, such as receipts for qualifying renovations or documentation of increased property taxes.
“Something must have happened at the property for his expense to be more,” she explained, emphasising that landlords must seek the Board’s approval for increases above the annual 7.5 per cent.
Mrs. Williams-Headlam also encouraged landlords to have the standard rent for their properties determined by the Rent Assessment Board before applying annual increases.
“It’s very important for the landlords to come to the Rent Assessment Board, get the standard rent determined for their property, which we call registration, but the Act calls it the standard rent for their property and 12 months after that, they can get the 7.5 per cent increase,” she said.
The Director further urged landlords and tenants to seek guidance from the Rent Services Unit whenever they require clarification on their rights and responsibilities or assistance in resolving rental disputes.
“The Rent Services Unit is there to assist landlords and tenants who are in dispute and if you just need general information about your role as a landlord, your role as a tenant, do’s and don’ts of being a landlord or a tenant, you can contact the Rent Services Unit,” she advised.
The Rent Services Unit falls under MEGID’s Housing portfolio and serves as the secretariat to the Rent Assessment Board. It provides information and guidance to landlords and tenants on their respective rights and responsibilities and assists with disputes relating to rental matters.
Among the issues addressed by the Unit are rent increases, illegal rent increases, security deposits, notices and harassment. It also facilitates court proceedings relating to rental matters on Fridays.
The Unit is located on the third floor of The Towers, 25 Dominica Drive, Kingston 5. Members of the public may also access information through the Rent Assessment Board’s website at rentassessmentboardjm.com.
