1. Rent Pressure Zones (RPZs) limit the amount of rent in exsiting tenancies as well as new tenancies.
2. RPZs use deisignated Local Electoral areas; to check if your property is in a RPZ input your property address into the RTB Calculator.
3. There is a prescript formula to calculate the rent.
R x (1 +0.04 x t/m)
R= The last rent set under a tenancy.
t = The number of months between the date the current rent came into effect and the date the new rent will come into to effect.
m = 12 or 24
4. RPZs commenced in different areas on different dates. Increases may be restricted to 2% or 4% dependent on when the tenancy commenced.
5. RPZs were originally intended for a three year period but now have been extended for a further 2 years.
6. RPZs substanially disadvantage landlords who rewarded good tenants by keping their rent low.
7. The are exemptions to Rent Pressure Zone rules:
- Properties where there has been no tenancy for a period of two years prior to a letting.
- Protected Structures with no tenancy in the preceding year.
- Substantial change in the nature of the accomodation.
8. Breaching Rent Pressure Zone legislation may lead to a criminal conviction.
9. Rent Pressure Zone rules apply to a new purchaser buying an empty property.
10. Regardless of the level of rent, even if it is substanially below market rent, you must comply with the legislation.