Advice for a landlord regarding rent pressure zones

KierKenn

I am a landlord, letting one property, which is located in a rent pressure zone. It has been let to the same person for 5 years. I have been really pleased with him as a tenant, in that he has kept the place well and we have always gotten on very well when issues arose - such as fixing leaks, and replacing appliances, etc.
I gave him a really good deal on the rent when he moved in 5 years ago (850 per month). I completed the PRTB registration appropriately at that time. I left the rent at the same level for 3 years, and then increased it very slightly 2 years ago (to 920 per month) which he was more than happy with as he is still getting a really good deal). I neglected to inform the PRTB or re-register the tenancy at that time. I have had no contact with the PRTB since he moved in 5 years ago. I think that I should have registered the tenancy again and realise that I made a mistake.
The situation I face now is that my financial situation will change suddenly in the coming year. Thus, I need to increase the rent a little. I expect the tenant will be very agreeable (as it still represents a really good deal).
My understanding is that I can do so by 4% this year and 4% next year.
My question is this......given that I never informed the PRTB of the rent increase that took place 2 years ago, presumably on their records the last documented rent for the property is the original rent when the tenancy was first registered (i.e. 850). Thus, can I increase the rent to 920+4% or do I have to make it 850+4%.

I am not in any way trying to rip anyone off. I have always been really fair to the tenant and he would be the first to say so. My need to increase the rent now is as a result of a real genuine change in life circumstances. I want to do the right thing by the PRTB also.

I would really appreciate any advice as the rules and regulations are confusing.

Thank you

Baby01032012

KierKenn wrote: »

I am a landlord, letting one property, which is located in a rent pressure zone. It has been let to the same person for 5 years. I have been really pleased with him as a tenant, in that he has kept the place well and we have always gotten on very well when issues arose - such as fixing leaks, and replacing appliances, etc.
I gave him a really good deal on the rent when he moved in 5 years ago (850 per month). I completed the PRTB registration appropriately at that time. I left the rent at the same level for 3 years, and then increased it very slightly 2 years ago (to 920 per month) which he was more than happy with as he is still getting a really good deal). I neglected to inform the PRTB or re-register the tenancy at that time. I have had no contact with the PRTB since he moved in 5 years ago. I think that I should have registered the tenancy again and realise that I made a mistake.
The situation I face now is that my financial situation will change suddenly in the coming year. Thus, I need to increase the rent a little. I expect the tenant will be very agreeable (as it still represents a really good deal).
My understanding is that I can do so by 4% this year and 4% next year.
My question is this......given that I never informed the PRTB of the rent increase that took place 2 years ago, presumably on their records the last documented rent for the property is the original rent when the tenancy was first registered (i.e. 850). Thus, can I increase the rent to 920+4% or do I have to make it 850+4%.

I am not in any way trying to rip anyone off. I have always been really fair to the tenant and he would be the first to say so. My need to increase the rent now is as a result of a real genuine change in life circumstances. I want to do the right thing by the PRTB also.

I would really appreciate any advice as the rules and regulations are confusing.

Thank you

First of all register the Part IV tenancy that commenced last year i.e. After previous 4 year tenancy ended. By law you have to reregister every 4 years not when rent increases but obviously you'll put in the 920 when you reregister. The 920 +4% will be a simple update to the tenancy once you've reregistered it.

I hope the above is clear.

Graham

I'd also recommend you check the formula for rent increases.

I suspect you may be able to increase by more than 4% as it been more than 2 years since the last increase:

https://www.rtb.ie/rent-pressure-zones/rent-pressure-zones