Islanders who live in rental units can expect an increase in their rent next year.
The Island Regulatory and Appeals Commission (IRAC), in accordance with the Rental of Residential Property Act, has approved an increase in allowable residential rent for the period of Jan. 1 to Dec. 31, 2019. The maximum increases range from 1.5 per cent to 2 per cent.
A report posted on IRAC’s website said the rent increases were due to the increasing cost of fuel and home heating. The regulatory body received submissions from both tenants and landlords. Landlord submissions sought increases to rent ranging from two per cent to six per cent.
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But in a press release, PC MLA Darlene Compton said she wanted the province to “immediately” cancel the rate increase.
Compton called the increase an example of senior officials “being completely out-of-touch with the realities that Islanders are facing”, especially considering the Island’s current housing crisis.
“Enough is enough,” Compton said. “Cancel this rental rate hike.”
Jennifer Perry, the acting director of residential rental property, said consideration was given to the low rate of rental vacancy in the Charlottetown area. But she said the allowable increases in rent are lower than the rising cost of home heating, although most rental properties are unheated.
“The numbers support a moderate increase,” Perry said.
The allowable percentage increase for residential rent for the period of Jan. 1 to Dec. 31, 2019 will be as follows:
- 2.0 per cent for premises heated with petroleum sources
- 1.75 per cent for premises heated with electricity
- 1.5 per cent for unheated premises
- 1.5 per cent for a mobile home site located in a mobile home park
Forms regarding rent increases and general information on the act are available from the Office of the Director of Residential Rental Property, Fifth floor, National Bank Tower, 134 Kent St., P.O. Box 577, Charlottetown, P.E.I., C1A 7L1, online at Irac.pe.ca/rental/ or at Access P.E.I. locations.
