'valid for only year only' - same as non renewable? | ExpatWoman.com
 

'valid for only year only' - same as non renewable?

460
Posts
EW EXPLORER
Latest post on 11 February 2013 - 13:47

We have a tenancy contract which says on it 'the contract validity is only for one year'. Is this the same as saying the contract is non renewable? i.e. the landlord can charge us market rate from next year even though it would only be the first time we would have renewed? It is written in the landlord's additional clauses on the back of the contract.

I thought the contract had to say non renewable and so of course checked our contract for those specific words which were not there - however a friend has said to me that 'the contract validity is only for one year' means the same thing and if we want to renew (which we will do) then our landlord can put up the price. This worries me as the same apartments now seem to be renting for at least 20k more than we are paying and we have only been in for 6 months.

I will obviously wait and see what the landlord says when we have 3 months left on the agreement but to stop me worrying about the possibility of having to move this year does anyone know for sure whether it is OK or not?

Thanks

415
Posts
EW EXPLORER
Latest post on 12 February 2013 - 11:50
Great, thanks for the explanation, I didn't know the law had changed, will check out the calculator. The law is on our side which is great :-) I would say that the law is on everyones side.
3863
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EW MASTER
Latest post on 12 February 2013 - 11:37
Great, thanks for the explanation, I didn't know the law had changed, will check out the calculator. The law is on our side which is great :-)
460
Posts
EW EXPLORER
Latest post on 12 February 2013 - 11:34
Great, thanks for the explanation, I didn't know the law had changed, will check out the calculator.
3863
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EW MASTER
Latest post on 12 February 2013 - 11:30
Thanks HereComesTheSun - so actually our contract should just be the same as everybody else's as it doesn't specifically say non renewable? So for everyone now the landlords can increase the price at the first renewal? Thanks - didn't know things had changed. They cannot increase unless the rental calculator says so The rent calculator is now law If your rent has increase on the calculator by 25% then can increase by 5% only Always refer to the rent committee or rent calculator as that is the new law not the old we can increase after a year. That is now moot. Two of my friends manage the buildings their companies built and they deal with the rent committee daily so i always refer to them as they know the law
544
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EW GURU
Latest post on 12 February 2013 - 11:30
Yep, that's correct. The rental calculator is very generous though, so you would have to have been way below the market value when you originally signed the contract for there to be a valid rise for the second year.
460
Posts
EW EXPLORER
Latest post on 12 February 2013 - 11:21
Thanks HereComesTheSun - so actually our contract should just be the same as everybody else's as it doesn't specifically say non renewable? So for everyone now the landlords can increase the price at the first renewal? Thanks - didn't know things had changed.
544
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EW GURU
Latest post on 12 February 2013 - 10:55
Thanks for the replies - so 'non renewable' means that at the end of your first year they can kick you out. 'Valid for one year only' means they cannot kick you out but at the end of the first year can increase your rent even though usually after the first year they are usually not allowed to increase it at all. Is that correct? Correct on the first point. For the second point, the rules have changed. Increases are now allowed in the 2nd year, but only in line with the RERA rental calculator. This is what now applies to your situation.
460
Posts
EW EXPLORER
Latest post on 12 February 2013 - 10:49
Thanks for the replies - so 'non renewable' means that at the end of your first year they can kick you out. 'Valid for one year only' means they cannot kick you out but at the end of the first year can increase your rent even though usually after the first year they are usually not allowed to increase it at all. Is that correct?
1618
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EW EXPERT
Latest post on 11 February 2013 - 19:41
A friend of mine had huge problems with the LL who wanted him out, she wouldn't agree to the rent even though the area he lived in had not increased. He went to the municipality with his tenancy agreement and they agreed a new one and he paid them directly and they paid the LL I have never heard of this before and was disinclined to believe it until i heard it straight from the horses mouth This is true rent committe told me that if the landlord didn't agree to the same terms as there was no increase for me then I had to bring my current contract and cheque or cheques depending on how many was paid with current contract to the rent committee, they would then issue me a new contract and inform the landlord that the cheque/cheques were waiting for them.
3863
Posts
EW MASTER
Latest post on 11 February 2013 - 16:48
We have a tenancy contract which says on it 'the contract validity is only for one year'. Is this the same as saying the contract is non renewable? i.e. the landlord can charge us market rate from next year even though it would only be the first time we would have renewed? It is written in the landlord's additional clauses on the back of the contract. I thought the contract had to say non renewable and so of course checked our contract for those specific words which were not there - however a friend has said to me that 'the contract validity is only for one year' means the same thing and if we want to renew (which we will do) then our landlord can put up the price. This worries me as the same apartments now seem to be renting for at least 20k more than we are paying and we have only been in for 6 months. I will obviously wait and see what the landlord says when we have 3 months left on the agreement but to stop me worrying about the possibility of having to move this year does anyone know for sure whether it is OK or not? Thanks It has to say non renewable otherwise carries on They cannot kick you out without 12 months notice in writing Check the rental calculator to see if the rents in the area have gone up A friend of mine had huge problems with the LL who wanted him out, she wouldn't agree to the rent even though the area he lived in had not increased. He went to the municipality with his tenancy agreement and they agreed a new one and he paid them directly and they paid the LL I have never heard of this before and was disinclined to believe it until i heard it straight from the horses mouth
544
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EW GURU
Latest post on 11 February 2013 - 16:27
Starsouthern is correct. Most contracts include some sort of clause about renewal being at the landlord's discretion etc etc, but this is completely unenforceable as they have to adhere to the laws of the land. You should also have been made aware that the contract is non-renewable at the time of signing it as this constitutes 12 months' notice.
1618
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EW EXPERT
Latest post on 11 February 2013 - 16:12
No it's not the same as non renewable but he can put the rent up if he gives 90 days notice to whatever percentage the rental calculator says. A non renewable contract states non renewable.
 
 

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