Rental Contract Renewal

[semigoodlookin]

We are about to renew our rental contract at the end of this month, it will be our first time doing so. We are trying to work out the cost of the upfront payment to do this as our landlord/estate agent has still not told us this or how much percentage we pay extra.

Tomorrow we will be meeting with the agent to sort it out, but I want some peace of mind now. We have figured we have to pay the agent his commission to the value of the second year of the new contract, update the deposit to reflect the second year of the new contract, and pay for the administration papers.

Two questions I have are. When we sign the new contract on October 28 or 29, do we also have to pay the first month rent of the new contract at that time, or do we simply pay the first month (November) at the start of November? Secondly, are there other costs that me and my wife have missed?

Many thanks in advance.

 

[Rich One]

Your contract ends in October.? you pay your first month November 1st. Rents are paid in advance.

 

[nikad]

We are about to renew our rental contract at the end of this month, it will be our first time doing so. We are trying to work out the cost of the upfront payment to do this as our landlord/estate agent has still not told us this or how much percentage we pay extra.

Tomorrow we will be meeting with the agent to sort it out, but I want some peace of mind now. We have figured we have to pay the agent his commission to the value of the second year of the new contract, update the deposit to reflect the second year of the new contract, and pay for the administration papers.

Two questions I have are. When we sign the new contract on October 28 or 29, do we also have to pay the first month rent of the new contract at that time, or do we simply pay the first month (November) at the start of November? Secondly, are there other costs that me and my wife have missed?

Many thanks in advance.

If you are renting though a real estate agent, you will be asked to update the deposit to the new rental rate ( of the new contract ) - sometimes they skip that - you will be paying one month in commission fees. You keep paying your rent as usual. If you don't mind me asking, how much is the increase in your rent for your new contract?

 

[semigoodlookin]

If you are renting though a real estate agent, you will be asked to update the deposit to the new rental rate ( of the new contract ) - sometimes they skip that - you will be paying one month in commission fees. You keep paying your rent as usual. If you don't mind me asking, how much is the increase in your rent for your new contract?

I don't mind, but I don't know. My contract ends at the end of the month and we have not been told. Seems strange to me. We will find out today.

 

[semigoodlookin]

The increase was 30% first year and 28% second year.

 

[Girino]

I'll tag along with a question: when you renew a contract, are the same terms to break it applied also in case of a renewal?
(I think you can't break it within the first 6 months and then pay a one-month penalty)

 

[ElQueso]

Each contract is separate from the other. If you sign a second contract (or third, etc), the same penalties apply for breaking the new contract (i.e., in the new term) as did the previous contract. Of course, if you get to the end of a contract, you don't have to notify (although it's polite to do so) that you are not going to sign a new contract.

There is no "renewal" beyond creating and signing a new contract. If a contract is written that way (i.e., option to renew but with penalty clauses for not renewing and not notifying within a certain amount of time before the term of the contract ends), it may be valid legally, I suppose. As far as I know there is nothing in the federally-mandated rental contract that would be against someone putting in some sort of penalty like that. Although I highly, highly doubt that any property attached to the contract as a garantia could be used to pressure the renter who broke a clause like that to actually pay it.

 

[Ceviche]

best way is to honor the clauses of the contract in my opinion