Raising Rent? Costs are rising so here’s how to raise rent properly

Raising Rent? Costs are rising so here’s how to raise rent properly

Raising Rent? Costs are rising so here’s how to raise rent properly

  • Posted by Member Services
  • On July 20, 2022

Costs are going up. Recently, SKLA CEO Cameron Choquette spoke to CTV about this issue. “Rental housing providers are being pinched by inflation just like all other businesses, from the carbon tax to property taxes to the price of goods and services from hot water heaters to toilet bowls.”

With increases in property insurance, rising inflation, and the anticipated rise of utility costs, landlords need to ensure they can keep up with the costs.

In Saskatchewan, landlords are bound to the Residential Tenancies Act of 2006. The act states:

Fixed-Term Tenancies

No increases are allowed during a fixed-term lease unless the landlord and the tenant agree to the amount of the increase and when an increase is to come into effect at the time they enter into the fixed term tenancy.

Landlords must inform the tenant at least two months before the end of the tenancy, whether or not they are willing to renew the lease. If a landlord is willing to renew a term lease, the notice must include the proposed terms of renewal, including any change in rent. The notice must be given in a Term Tenancy – Two Month Notice of Intention form.

The landlord may not withdraw the offer. The offer is deemed to be rejected by the tenant if not accepted within 30 days, and the tenant must vacate at the end of the term.

Periodic Tenancies

Periodic tenancies are week-to-week, month-to-month or any other term that will continue until terminated by proper notice or by agreement.

Any notice of rent increase for a periodic tenancy must be given in writing using the Notice of Rent Increase form or Form 5a – Notice of Rent Increase for Approved Landlord Association Members. The required notice of a rent increase is one year. Members of the Saskatchewan Landlord Association Inc. (SKLA) (formally Saskatchewan Rental Housing Industry Association Inc.) and the Network of Non-Profit Housing Providers of Saskatchewan Incorporated (NPHPS) may give six months notice of a rent increase.

This means that SKLA members can give 6 months’ notice instead of 12.

Although there are no limits for rental increases, it is important to keep in mind the effects of a large rental increase.