Latest news with #rentcap
CBC
5 days ago
- Business
- CBC
A rent cap in N.B. gets one-year extension ahead of fall review
A three per cent rent cap brought in during the winter will continue for the 2025-2026 fiscal year but will be reviewed this fall with the Residential Tenancies Act, Housing Minister David Hickey says.
CTV News
6 days ago
- Business
- CTV News
N.B. holds rent cap increase at 3 per cent amid ‘affordability issues'
David Hickey, minister responsible for the New Brunswick Housing Corporation, makes an announcement on May 20, 2025. (New Brunswick government) The government of New Brunswick will keep its rent cap increase at three per cent for the 2025-26 fiscal year. The rent control measure took effect in February after being announced in late 2024. The province said it is meant to prevent the displacement of tenants by limiting spikes in rental prices. 'While we have seen a recent increase in the number of rental units in New Brunswick, tenants are still encountering low vacancy rates and rising rent prices,' said David Hickey, the minister responsible for the New Brunswick Housing Corporation. 'We're keeping the rent cap in place for this fiscal year to help provide stability and to give us more time to address the issues driving these challenges in the market.' The cap limits the amount the price of a rental can be increased each year to three per cent. It is subject to an annual review. It is also being considered as part of the current review of the Residential Tenancies Act, said a news release from the province. Hickey said the cap provides stability for renters after a 40 per cent increase in rent over the past six years. 'This follows other supports we've introduced to help landlords and developers,' he said. The province introduced a rebate on the provincial portion of the HST for new rental builds that started after Nov. 15, 2024. It has proposed legislation that would freeze property assessments for homeowners, landlords and businesses for one year as it reforms its property tax system. The next review of the rental cap is in May 2026. For more New Brunswick news, visit our dedicated provincial page.
CBC
7 days ago
- Business
- CBC
Halifax real estate listings advertising fixed-term leases as financial asset for buyers
While the Nova Scotia government has no plans to regulate a type of lease that's been called a loophole in the province's rent cap legislation, some real estate listings are advertising fixed-term leases as a financial benefit for potential buyers. A brief search by CBC News of multi-unit residential buildings for sale in Halifax in May showed a trend: at least 11 listings mentioned tenants on fixed-term leases. Two listings stated, "Currently double digit returns with rent increases coming in September," with one also saying the property has "little maintenance, zero vacancy and increasing rents." Others mentioned leases ending soon and boasted money-making potential in statements like "for the savvy investor the finances have upside as tenants turn over." Tim Allenby, chair of the Dartmouth chapter of tenant group ACORN, said he's not surprised by this marketing tactic. "It's the incentives of the system that currently exists," Allenby told CBC News in an interview. "They have it set up in such a way that landlords benefit from primarily relying on fixed-term leases, so of course that's going to end up being an investment benefit." According to Nova Scotia's Residential Tenancies Act, a fixed-term lease is entered into for a fixed period of time, with a set end date. This means it doesn't automatically renew every year and landlords can decide whether or not to offer an existing tenant a new lease. Although the province has a temporary five per cent rent cap for existing tenants, fixed-term leases have been criticized by housing advocates as a way around this legislation, allowing landlords to force tenants out and increase prices more than five per cent for new renters. The Nova Scotia Association of Realtors declined to comment on why this type of lease is attractive for property buyers, and why it might be advertised as an asset of a property being listed for sale. It referred CBC News to Rental Housing Providers Nova Scotia, a group that has defended the use of fixed-term leases as a way to mitigate risk when renting to tenants like students, newcomers or people with bad credit or no landlord references. Kevin Russell, executive director of Rental Housing Providers Nova Scotia, said he can't comment on how Realtors market their product — "that's up to them and the owners" — but he said fixed-term leases play an important role in the rental market. "It's difficult to rent when there's no credit history and no landlord references. So they're used to [mitigate] any risk." Russell referenced research done by his organization in 2023 and 2024 that found 86.1 per cent of landlords who responded use fixed-term leases, with top reasons being risk management, limiting property damage and establishing landlord-tenant relationships. The survey found 53.9 per cent of respondents would sell units if fixed-term leases were eliminated or altered. "It will result in thousands of units being unavailable to rent as property owners sell their properties," Russell said. "And a lot of times when we're leasing on fixed-term leases, it's all done … with a partner, with one of the shelter organizations." Russell said the surveys did not ask if landlords chose to use this type of lease to increase profit, recoup costs or circumvent the rent cap. Province says marketing tactic is 'disappointing' An interview request for Jill Balser, the minister in charge of residential tenancies, was declined. "Fixed-term leases, in some situations, work for both tenants and landlords," a government spokesperson said in an emailed statement attributed to Balser. "It is disappointing to see them being used as a marketing tactic." The statement said Balser "strongly suggests" tenants become informed about fixed-term leases before committing to sign one. "I also want to remind tenants there are choices. Periodic leases are another option available," the statement said, before emphasizing the government is focusing on creating more housing to give tenants greater choice in where to live. In mid-May, a provincial official acknowledged that some Nova Scotia landlords are abusing fixed-term leases, but Balser confirmed the following week there are no plans to do anything to help prevent the abuse. "They're aware of the problem," Allenby said. "They have it as a result of a loophole that they created, and now they're telling the whole world they're not going to do anything about it. There is no incentive for a landlord to play by the rules." The provincial government has said there is no data on the use of fixed-term leases. Tenant and landlord groups have been calling for the province to do its own research. "If the Nova Scotia government wanted impartial data on how prevalent this problem is, they have the resources to go out and get it," Allenby said.
CBC
03-06-2025
- Health
- CBC
Free legal advice for tenants available at summer clinics across N.B.
Social Sharing As director of the University of New Brunswick's legal clinic, Jeannette Savoie says some of the most common legal questions she's asked are about how the province's rent cap works. Among the questions: Is the cap mandatory? What if a landlord raises rent more than three per cent? "A lot of time, when we answer questions for people, it's like, 'Huh, I didn't know I could do that.'" Savoie said she has seen even the most experienced renters taken advantage of by landlords, or paying unnecessary fees because of a lack of understanding of how rental laws work. For instance, she said, many people don't know there are costly consequences for improperly notifying a landlord of a lease termination. "I've seen people leave their tenancy without giving notice and then end up getting charged a fee or three months rent." She said a lack of knowledge about legal evictions is also common. "Tenants will come to us and ask questions, 'My landlord slid a note under the door saying I am evicted a certain day. Is that legal?' Well, no, it isn't." It's why she and several UNB law students have partnered with Public Legal Education and Information Service of New Brunswick on a tour of the province, answering questions about issues such as evictions, unit repairs, having pets in apartments and other common concerns. "It makes a huge difference," said Amber Chisholm, associate director of the legal education service said. "Being well-informed in a situation of crisis or stress can really help somebody make strategic decisions about their situation and also make decisions that are actually going to be effective for them." The clinics offer free, 30-minute sessions with a law student, who provides summary legal advice, and are supervised by a practising lawyer. The clinics are now underway in northern areas of the province and are scheduled to make stops in the south, ending in Saint John on July 21. Chisholm said the clinics can enable tenants to get legal advice early on during a tenancy to help them gain negotiating power with landlords and to avoid conflict before it escalates further. "Especially with tenants, there is often a sense of a power imbalance or a sense of urgency involved with kinds of legal problems that are affecting somebody's housing." Bridging a gap in rural areas with little pro-bono services Savoie said the clinics were strategically scheduled in areas where New Brunswickers can't easily access free legal help. "If I look at New Brunswick, the northeast probably has the least access to the services that you could find in Fredericton, Moncton and Saint John … just because of the rurality of everything," she said. Most of the pop-up clinics are located in areas that are open to the public, such as community centres and libraries. Nichola Taylor, chair of ACORN's New Brunswick chapter, said legal clinics like these are also crucial for renters with low to moderate income who might not be able to afford someone who can advocate on their behalf during a legal crisis. "There's no one there really to help them," Taylor said. "I'm sure often they feel like they're forgotten." Taylor said newcomers and other first-time renters should inform themselves about tenants regulations that are specific to the province -- but that can be difficult. "If you're a newcomer who may have a language barrier, for example, that's even harder to do," she said. While Chisholm said the clinics don't have official translators on site, they do offer services in English and French. She recommends people who might need assistance in another language bring someone who can help facilitate the conversation between them and the law student. To Savoie, helping tenants become empowered through these clinics is rewarding for her students. "They're there because they want to make a difference, and I think it all comes down to that." The next sessions are happening on Tuesday in Shippagan, and will travel through Tracadie, Campbellton, Bathurst, Miramichi, Edmundston, Woodstock and end at Saint John on July 21. A full schedule of the clinics is available here. As for the two commonly asked questions Chisholm referred to, she said landlords are obligated to comply with the cap in place in New Brunswick that makes it illegal to raise rent prices higher than three per cent per year. Tenants can file a request for assistance with the Tenant and Landlord Relations Office within 60 days of receiving a notice of a rent increase that does not comply with the rent cap, she said. Landlords can defend themselves before the office to justify the need for a greater increase.
The Independent
25-05-2025
- Politics
- The Independent
Single mother landed with 20% rent increase calls for rent controls
A single mother whose landlord has increased her rent by 20% is campaigning for a cap on how much landlords can raise rent in the UK. Bridget Chapman, 56, from Darlington in County Durham, who has been a private renter her entire adult life, was given just a month's notice by her landlord when they increased her rent by £100. A recent survey by campaign group Generation Rent revealed that 61% of renters said their landlord had asked them to pay a higher rent in the past 12 months with almost a quarter (24%) reporting an increase of over £100. Ms Chapman said that while she welcomes reforms in the Renters' Rights Bill going through Parliament, they do 'nothing to stop shock rent rises' like her family is currently faced with. The Renters' Rights Bill seeks to introduce an end to no-fault evictions, stopping bidding wars for tenancies, helping tenants challenge unreasonable rent increases and preventing landlords from demanding more than a month's rent in advance from a new tenant. 'I just got so angry that the landlord can raise the rent whenever he wants and give me a month's notice,' Ms Chapman told the PA news agency. 'I'm paying a lot more now and it's having a knock on effect on everything else. 'I'm a single parent, so even though my kids are now adults they're still young and I'm still supporting them. 'I have a very low disposable income so it's really difficult especially since everything else has gone up including gas and electricity.' Ms Chapman, who says she feels 'let down by the system' experienced extreme dampness in her previous home which led her to being rushed to hospital with pneumonia. 'We moved into the property and I've got asthma, so the damp started to creep in,' she said. 'We didn't realise how bad until the mould was literally black. 'The landlord gave me a dehumidifier which literally did nothing. 'Luckily I was okay. I survived, but when I had to recover, I had to go back to the house, which was full of damp and mould.' Ms Chapman hoped her new home which she has been renting for eight years would be better but she now feels she has suffered a 'huge blow' to her security. With rents in her local area being so high, she does not feel she can move to a more affordable option. Ms Chapman launched her petition which has gained over 45,000 signatures on Sunday, as she feels she 'can't do anything else'. 'Doing this petition is my way to make my voice heard,' she said. 'The Government firstly needs to cap rent increases. They also need to look at capping gas and electricity bills. 'Wages are not going up, so people are struggling even more, because they're on the same wage and they pay more money for everything else. 'You get people who are working hard, full-time, and they're having to go to food banks. I think that's so wrong.' Generation Rent says its research shows the 'most common' reason landlords put up rent is not higher costs, but rather to increase their revenue as local rents rise. Almost a third (31%) of landlords blamed higher market rents, while a further 7% stated that the increase was because of letting agent advice. 'This is indefensible. If renters are to finally feel secure in our own homes, we need protections from shock rent rises,' a Generation Rent spokesperson said. 'Private landlords should not be able to raise the rent higher than inflation or wages. The Government can and must act to change this.' A Government spokesperson said: 'Through our Renters' Rights Bill we are taking decisive action to transform the private renting sector for the better and empower tenants to tackle unreasonable rent hikes. 'Alongside this, as part of our Plan for Change we are putting more money in people's pockets by protecting payslips from higher taxes and increasing the minimum wage to deliver pay rises of up to £1,400 a year for millions of low-income workers.'
