Dear PAO,

I am a 28-year-old government employee and have been renting the same room near my office for the past four years. My monthly rent is P4,000. Recently, my landlord informed me that he will be increasing my monthly rental fee. I respectfully requested that the increase be deferred to a later time, but he declined, citing the rising needs of his own family. Was the action of my landlord valid? Please answer my question. Thank you.

Jackie

Dear Jackie,

To answer your question, we shall refer to the National Human Settlements Board (NHSB) Resolution 2024-01 or the Rent Control Covering the Period January 1, 2025 to December 31, 2026, which partly states:

“WHEREAS, lower-income renters are particularly vulnerable to price shocks. Rent control would continue to provide a buffer for households with limited capacity to absorb rising living costs;

“WHEREAS, the continuation of the rental regulation will provide protection to renting families by ensuring their tenure and the affordability of rental premises;

“xxx xxx xxx

“WHEREAS, upon the recommendation of the National Economic and Development Authority, the maximum percentage increase of monthly rental rates for 2025 be capped at 2.3 percent;

“WHEREFORE, pursuant to the foregoing, the National Human Settlements Board (NHSB) hereby RESOLVES, as it is hereby

RESOLVED, to continue the rental regulation for any residential unit with monthly rental rate of PHP 10,000 and below from January 1 to December 31, 2025, that for as long as the unit is occupied by the same lessee, the rent shall not be increased by more than 2.3 percent for the same period.

“RESOLVED FURTHER, that for any residential units with monthly rental rate of PHP 10,000 and below from January 1 to December 31, 2026, and that for as long as the unit is occupied by the same lessee, the rent shall not be increased by more than one percent for the same period.” (Emphasis not ours)

The said NHSB Resolution implements Republic Act (RA) 9653, otherwise known as the Rent Control Act of 2009, which allows continuing regulation of the rental rates of certain residential units taking into consideration, among others, the Philippine Statistics Authority (PSA) census on rental units, prevailing rental rates, monthly inflation rate on rentals, and rental price index of the immediately preceding year. (Sec. 6) In particular, the law covers “[a]ll residential units in the National Capital Region and other highly urbanized cities, the total monthly rent for each of which ranges from One peso (P1.00) to Ten thousand pesos (P10,000.00) and all residential units in all other areas, the total monthly rent for each of which ranges from One peso (P1.00) to Five thousand pesos (P5,000.00) as of the effectivity date of this Act shall be covered, without prejudice to existing contracts.” (Sec. 5)

Applying RA 9653 and NHSB Resolution 2024-01 to your situation, the owner of the room you are renting can increase your monthly rental payment but only to the extent allowed by law and rules. Based from your narration, you have been renting the same room for four years. Hence, the increase in your monthly rental fee should not be more than 2.3 percent (2.3%). Note also that NHSB Resolution further provides that for boarding houses, dormitories, rooms, and bed spaces offered for rent to students, rent increases are limited to once per year.

We hope that we were able to answer your queries. This advice was based solely on the facts you have narrated and our appreciation of the same. Our opinion may vary when other facts are changed or elaborated.

We appreciate your trust and support.

Editor’s note: Dear PAO is a daily column of the Public Attorney’s Office. Questions for Chief Acosta may be sent to [email protected]