CHANCER landlords imposing eye-watering rent hikes on tenants will “exploit every loophole” to stick prices up and boot out those who can’t afford to pay, campaigners have warned.
Scots are facing new challenges in the private rented sector after the Government’s rent freeze legislation ended at the beginning of the month.
While there remains a cap on the amount by which landlords can increase, many appear to be attempting to prey on ignorance and increase them by well over the legal limit.
Iona Greer*, from Dundee, said her letting agents had informed her they were putting her rent up by 38% – more than double the legal maximum of 12%.
Campaigners said the new rules were “confusing” and said too few tenants were aware of their new rights.
Greer, who has lived in the city all her life and shares a flat in the city’s West End with her sibling, told the Sunday National her landlords had attempted to increase her rent from £650 to £900.
As a minimum wage museum worker, she said: “Neither of us could afford that, we’d have to move.”
With help from the tenants’ union Living Rent, she found out about the new rules restricting rent rises, and has challenged her landlords.
READ MORE: We will bridge gap for tenants at end of rent cap, says Patrick Harvie
Still, she said the letter informing her of the increase left her uneasy.
“Someone could take my home from me very swiftly should they want to,” Greer added.
Her letting agents had sent the update in a letter, which contained a “daunting formula” to show how the increase had been calculated.
“It looks like a very complex maths equation,” she said, adding that it could lead people to “panic”.
While she counted herself fortunate enough to have been able to find out more and challenge the increase, Greer feared others would not be equipped to do so.
She said: “We don’t have any dependants or anything, but if you’re a person who does and you’re very overwhelmed, you have limited capacity, you might not have the time to go on the internet, look up what is actually being done, you might just panic and feel like you need to move.”
Aditi Jehangir (above), secretary for Living Rent, said Greer’s case was not unique and warned of “a tidal wave of evictions, rapid increases in homelessness, and an overall rise in poverty” after the end of the rent freeze.
She said: “The only protections holding tenants are confusing and unworkable rent adjudication measures which put the onus on tenants to challenge their rent increases.
READ MORE: Two-thirds of tenants fear eviction after ban lifted, survey finds
“But when only half of tenants know that they can challenge rent increases, it is clear that landlords will continue to exploit every loophole possible to increase rents and displace tenants.”
Tenants need rent controls to prevent landlords from hiking prices between occupants, she added.
Tenants’ rights minister Patrick Harvie said Scotland’s renters enjoyed the “strongest” rights in the UK.
He added: “Our temporary changes to the way rents are decided if a tenant seeks a review came into force on April 1, and these will help protect people from very steep rises.
“Tenants can seek review of increases they are concerned about, and protections against illegal evictions will continue to be in place.
“We are working hard to raise awareness of these rights, and I would encourage renters to check the rights that exist to protect them from unfair practices. Tenants who are facing a rent increase that they feel is unreasonable should apply to Rent Service Scotland for adjudication.”
The Scottish Government has also produced a rent increase calculator to see if rises are within bounds.
*Name changed.
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