Rent Increase Freeze The provincially mandated rent increase freeze is set to expire January 1st, 2022 and the Residential Tenancy Branch has announced the 2022 maximum rent increase percentage. The Residential Tenancy Act and Regulations establish the percentage of increase, timing, and notice period and a landlord must follow the correct process to ensure their increase is valid. Below is a breakdown of what landlords need to know to effectively raise rent.
Percentage The maximum percentage a landlord may increase is set by the Residential Tenancy Branch each year at the end of August to be effective the following January. The amount for 2022 has been set at 1.5%.
To determine each year’s rent increase percentage the Residential Tenancy Branch uses the formula set in Section 22 of the Residential Tenancy Regulations. Section 22 states:
Annual rent increase
22 (1) In this section, “inflation rate” means the 12-month average percent change in the all-items Consumer Price Index for British Columbia ending in July that is most recently available for the calendar year for which a rent increase takes effect.
(2) For the purposes of section 43 (1) (a) of the Act [amount of rent increase], a landlord may impose a rent increase that is no greater than the percentage amount calculated as follows:
