When is the CPI for rents raised? This is how

The CPI is the main indicator that determines what the fair rental price is, among many other things. Therefore, it influences the updating of the rental contract and may lead to an increase in monthly payments. But when does the CPI for rent go up? We explain it to you below. Rent your apartment and forget about worries 0% late payment. We take charge if the tenant does not pay. . However, in early , the benchmark began to climb progressively due to various factors . First were the economic consequences of COVID-19 , then came the war between Russia and Ukraine. As a result, CPI inflation directly affected housing prices, increasing significantly and affecting thousands of families. The situation continued to escalate, until the Council of Ministers met and presented a new measure that limited the percentage of rent updating to 2%. CPI forecast for 2023: will rental prices go up?

What is the annual rent increase?

The annual rent increase limit is set by the new measure, so the maximum is 2% approve by the Government in . This figure corresponds to that of the Competitiveness Guarantee Index, which will be use as a reference until December 2023. But not all rental contracts are Iraq Telegram Number Data subject to this new maximum price increase percentage. If the contract review is between these dates, the maximum of 2% does apply. After December 31, 2023. If this is your case, you should know that there are a series of steps to follow to update the price . Applies the CPI value published two months earlier to the date . If the percentage is positive, the price will increase, while if it is negative, the price will decrease. Access the INE and consult the CPI percentage. Although, if you update the co the percentage will always be 2%.

What CPI month applies to rentals?

As we said in the previous section, the percentage of the CPI to be applied to the increase in income will be the one published two months prior to the date. Thus, if the rental contract update were in , the CPI value that you would use would be that of . Let’s use an example to see how this Russia Telegram Number List increase would occur. Imagine that you rent an apartment with a contract that is updated on . To calculate the annual price increase, the procedure would be: . Initial date of signing the rental contract. The INE publishes the CPI value that you will use to update the rental price. In this case, with the limit measurement, the value will be the one set by the IGC, 2%., . Inform the tenant one month in advance that the rental price will increase. The contract is updated with the IGC. If the limit were not there, the index would be the one that marks the corresponding CPI. If we assume that the rent per.