Chapter 6: Commercial and Residential Tenancies

Question 1

How many months of notice should a residential landlord give to tenant to increase the rent?

Answer 1

3 months notice before it comes effective

Question 2

Under what circumstances can a residential landlord raise the rent?

Answer 2

1. The tenant has not been raised the rent for 12 months
2. The tenant moves out and a new tenant moves in
3. Extraordinary circumstances and the landlord has applied for additional increment

Question 3

How many months of notice should you give to a fix term agreement tenant to move out so that the new purchaser can move in?

What would be your possible loss as the landlord who is selling the property?

Answer 3

Two months notice but not earlier than the end of the fix term agreement.

The landlord should be ready to lose the 2 months rent if the tenant moves out earlier (not earlier than 10 days after they receive the two-months notice to move out, they should also give a written notice should they wish to move out early and should not be charged further). The landlord also must give 1 month rent as compensation.

Question 4

Can you raise the rent for a commercial lease? Do you need to give a notice?

Answer 4

No for the fix term. You can raise after the fix term ends. Or a landlord can end a periodic lease and renew at higher rent. So you don’t need to give a notice.

But it also goes with the contract, if the contract states that the landlord may raise the rent, then the contract prevails.

Question 5

How much is the maximum security deposit a residential and commercial landlord may get?

When should the landlord of the residential agreement return the deposit?

Answer 5

1. Residential - 1.5 month, additional of 0.5-month pet deposit is allowed, interest applied, return with interest within 15 days
2. Commercial - free to negotiate but interests applied

Interest rates vary according to regulation

Question 6

What is assignment of contract?

Answer 6

Transfer by a party of all the party’s interest in a property to another party, but only transfer the rights and not obligations.

So if you assign the contract (your rights) to another tenant, and that tenant does not pay the rent, you as the original tenant will be responsible for it (your obligation).

Question 7

What is the difference between lease and license? Name two.

Answer 7

1. Lease runs with the land with interest in land, license is merely contractual privilege and does not run with land. It is only between A and B.
2. Lease creates the relationship of landlord and tenant but a license does not. Lease is an exclusive possession. A license only creates rights and obligations expressed in the contract and does not benefits the rights and obligations created by the Ressidential Tenancy Act.

Question 8

What is the difference between commcercial tenancies and residential tenancies? Name two.

Answer 8

1. Commcercial tenancies are governmed almost completely by common law. We call it lease.
2. Residential tenancies are govenrmed almost completely by RTA and we call it “tenancy agreement”.

Question 9

Which are the exceptions to Residential Tenancy Act? Name 3 residential premises that are not bind to RTA:

Answer 9

1. premises occuped for business purposes with a dwelling unit attached that is rented under one lease
2. living accommodation rented by a non profit housing cooperative to a member of its cooperatives
3. living accommodation in which the tenant shares the bathroom or kitchen facilities with the owner of that accommodation (like airbnb)
4. tenancy agreement for a term exceeding 20 years
5. living accommodation occupied as vacation or travel accommodation

Question 10

How should a landlord apply and where to apply if a landlord wishes to end a tenancy to carry out reno or repairs?

Answer 10

Apply to the Residential Tenancy Branch requesting an order ending the tenancy and granting the landlord possession of the rental unit in and must satisfy:

1. intends in good faith to renovate or repair and has all the necessary permits and approvals
2. the reno requires the unit to be vacant
3. the reno are necessary to prolong or sustain the use of the rental unit
4. the only reasonable way to achieve necessary vacancy is to end the tenancy agreement

Question 11

How long should the notice be given to tenancy if a landlord wishes to vacate the tenancy for renovation purpose?

Answer 11

1. will not require the tenant the rental unit for at least 4 months after the date of the order
2. the move out date should fall on the last day of rental payment
3. should not be earlier than the end of a fixed term
4. give the tenant right of first refusal to enter into a new tenancy agreement at a rent determined by the landlord after the reno (if the rental unit is in a residential property containing five or more rental unit)
5. must compensate the tenant 12 months’ rent if fails to give the tenant notice at least 45 days before the completion of the reno
6. compensate one month of rent to tenant

Question 12

How long should a notice be given to inform about increment of rent for residential tenant? How to give the notice?

Answer 12

3 months before u raise the rent. And must use a prescribed form when serve a notice.

Question 13

Under what circumstances can a landlord raise a rent with 3 months notice (residential tenancy) \
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Answer 13

1. a new tenant
2. the tenant has lived there for 12 months
3. it has been at least 12 months since the last raise

*even changing a new landlord does not give the new landlord the power to override these rules and raise the rent early

Question 14

How many months of notice to give if landlord / purchaser wants to live in? How many months of notice to give for reno?

Answer 14

2 months for self living , 4 months for reno