Apartment Rental Temporary Rental Agreements..LegalIncreases $$$

[RichardOne]

I'm under a Temporary Rental Agreement, in pesos, and am being gouged by the landlord, the rent was raised 28 % in April 2012, and have received a notice that a new increase of 22 % is due next November ....!

As a tenant do I have a legal recourse to complain....? As I recall a City Office existed where the tenant can deposit the rental funds while in dispute with the landlord (I forgot the name).

Could someone, via PM, refer me to an institution or attorney for legal HELP -

Thanks

 

[DaveDed]

Hi there, good news, if you have lived there longer than 6 months, by law you have the right to claim protection under the Ley de Alquileres. Here's a link - read "Articulo 2, sections A & B." If you have any questions I would be glad to help you. I've been down this road before, and I hate when people are abused. If they are squeezing you a simple carta documento will do the trick and they are then out of luck!

 

[Mart]

Just to make sure I'm clear - when they raised the rent in April '12, did you sign a contract? If so, what was the length of that contract? They can't raise the price if the contract is still in effect at x price but if it expires in Oct, then I'm not sure there is much that can be done. Landlord has the right to set a rent at market price (or what s/he believes it to me) at the beginning of a new contract, you have the right to decline to renew a lease if you find it to be too expensive.

 

[DaveDed]

Here's the link:
http://infoleg.mecon.gov.ar/infolegInternet/anexos/25000-29999/27287/norma.htm

What really bothers the hec out of me with landlords here (and I am one, by the way) is that they want to increase their rentals according to "supermarket" inflation. This is simply not fair and I'll explain why. In the REAL economic world, prices are raised to cover increased operating costs, and to increase profits, you expand your sales base either by adding customers of products for sale. Supermarket inflation is easily 25% and in some cases more, as I used to own a small retail business and know how many times the products I ordered increased in price. Sometimes it was 2 or 3 times per month believe it or not. If you are owner of a property that you rent to others, here in Argentina, the overhead is usually paid by the tenant, they pay the expensas, ABL (real estate tax), and depending what you stipulate in the contract, they have to return it to you in exactly the same condition they rented it, painted, floors shined, etc. That is why I don't understand why so many landlords demand huge percentage increases each time they renew. They fail to realize that first, it's unfair, second, it creates a lot of turnover, third it creates animosity between the landlord and tenant, and lastly it asfixiates the renter financially. Of course, I don't expect many landlords to take these things into account, tney obviously don't care. For example, I have a small commercial property. Last time it was rented I checked the local area for similar properties and set the rent based on average of 5 other similar properties. Each year, the rent increased 10%. The tenant was responsible for paying their utilities, ABL, and the part of the expensas that were recurring, any additional items, such as major repairs to the building, I paid that part of the expensas. When the toilet broke, I gave him the option to replace it or have it replaced and deduct it from the rent. When the metal gate got stuck open, I paid to have it fixed. When he wanted to upgrade the locks on the doors, I split the cost with him. When he called me, I got back to him within 24 hours EVERY SINGLE TIME! THIS IS HOW YOU TREAT PEOPLE WHO RENT FROM YOU! Not like some anonymous ATM machine that you don't respond to and just cash out from. My tenant never missed a months rent, left the place impeccable, and even nicer than he received it. He left because his business grew and he needed more space. So now it's for rent again, I gave it to an inmobiliaria to rent for me and of course they suggested 20% per year increases. I gave them the numbers they thought I was crazy, but it's been for rent for only a month and several people are interested. And now is a difficult time to rent both for the owner and tenant, due to the shape of the economy. I feel using these sound and make sense principles for rental property will work for the long term. Argentine economic principles and practices for the most part are a huge failure, all we have to do is look at past history and the present.

 

[Gerarder]

@DaveDed
I'm afraid you're an unique exception. All these years I've been renting for short terms, every year, I was confronted with ridiculous prices increases meanwhile the flat was the same and nothing was improved, neither the city is better in terms of security and greenness.
It has all to do with the mentality of fellow Argentineans: "let's squeeze rent ants, specially foreigners of Argentineans living abroad (like me) and if they don't take it anymore: others will do." It's time to say NO to this, I prefer to stay in hostels or hotels with fixed prices and no bullshit than to pay for a flat and having the feeling I've been screwed all the time.

 

[earlyretirement]

I totally agree with those that say there isn't anything you can do. You have absolutely no ground to stand on if you have no rental contract and are going month to month.

Definitely if you want to lock in a set rent, sign a long term lease which will protect you but absolutely there is anything wrong if your landlord wants to raise the rent. You have the advantage and flexibility on a month to month lease to leave when you want. So you have to accept the consequences of a possible price increase in a country where inflation is running 30% a year if you don't sign a long-term lease.

If you think you can do better somewhere else then just leave at the end of your lease and I'd recommend signing a longer term lease wherever you go.