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Republic Act No. 9653 – Rent Control Act

Posted by lexforiphilippines on February 11, 2010

For lessors, a new law was signed stating that you could not demand more than one month advance rental and not more than two months deposit. Lessees, on the other hand, will be secured that no increase will be effected one year from its effectivity.

On 14 July 2009, the President signed into law Republic Act 9653, otherwise known as the “Rent Control Act of 2009.”  The law seeks to protect housing tenants in the lower income brackets from unreasonable rent increases.

(To see the salient features of the Rent Control Act, you may click on Laws under Tools.)

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5 Responses to “Republic Act No. 9653 – Rent Control Act”

  1. Walter said

    When our parents leased the land in early 1970’s and built our own dwelling, they paid the initial rental for P800.00 a month. Now, we are paying about $42,000.00 a month on the same piece of land, apparently on the maximum 10% increase yearly since the 1990’s. The lease contract is renewable every 15 years.

    Does the amended rental law cover us? Can the landlord impose this 10% at will rather than on a gradual scale? When is the 10% increase going to end? What recourse do we have to lessen this burden on us? What government agency (I’m thinking HUD?) or legal assistance can help us to renegogiate or look over the seemingly unfair one-sided practices by the landlord?

    Thank you in advance.

  2. William said

    I need advise on this RA 9653. I didnt know that this exists until I found this kind of article. i just signed a new contract for my studio type room in cebu city. Which stipulated there that an increase of 10% including water and electric bill are increased as well. (elec 9/kw and water is 5/cubi meter). Would this still be applicable for my case? Is it justifiable that we paid more to our utility bill compared to the original cost?

    Need you advise.

    Thanks.

    • Hi William,

      If the rent you are paying is more than P10,000 a month, then you will not be covered by the law. If you are paying less than P10,000, then you should be covered by the 7% ceiling. Note, however, that the law will not prejudice existing contracts. Also, the law does not cover any stipulation with respect to the utilities payment, thus, the parties are at liberty to draw their own rates.

      Hope this helps. Thanks for visiting.

      Oscar

      • William said

        Hi,

        Thanks for the inputs. The rent is less than 10k.to be accurate its 6050 which they increased me to 6655 which is 10%. What do i need to do. I already signed the contract.

        Regards

      • Hi William,

        According to the law, you should be able to expect only a 7% increase yearly. Maybe you could talk to your lessor and inform him of this new law as there is not much information drive about it. I believe the law was published last July 2009.

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