Santo Domingo.- Given the increase in housing rental prices in the National District, lawyer José Eliseo Almánzar stated that the main protection for tenants is the lease agreement, since in the Dominican Republic there is no law that limits or regulates rent increases.
The jurist explained that the rental amount is the result of an agreement between the parties and that landlords cannot apply increases outside of what is established in the contract.
“If the increase is different from what was previously agreed upon, the tenant has the option not to renew the contract,” he noted, indicating that currently most contracts include clauses that establish how the increases will be carried out.
Almánzar specified that the rental market in the country operates under the principle of freedom of contract, so landlords and tenants have the freedom to agree on both the price and the terms of the lease.
We recommend reading: High cost of rent in the National District hits citizens’ pockets
Regarding the reasons that have caused the increase in rents in the National District, he maintained that the main factor is the high demand for housing in that area, driven by the concentration of economic and commercial activity, in addition to traffic and connectivity problems that lead many people to prefer living close to their workplaces.
More Read
To this, he added, is added the increase in the cost per square meter, the rise in construction materials, high interest rates for financing, and the growth of short-term rental platforms, such as Airbnb, which have increased the demand for available properties.
The lawyer also indicated that, before the new rental legislation, long eviction and contract termination processes represented a risk for landlords, a situation that also influenced the increase in prices.
“Rents in Santo Domingo are at the same level as in any large city in the world and are quite high for the income that the Dominican family manages,” he expressed.
More Read
As a recommendation, Almánzar urged people to read contracts carefully before signing them and, if possible, seek legal advice to understand the clauses related to rent adjustments.
Likewise, he suggested that increases be linked to objective indicators, such as inflation or the exchange rate, in order to avoid conflicts between landlords and tenants.
Finally, he advised against signing contracts that contain clauses or percentage increases that could be considered abusive.
