Updated May 23, 2009 12:00 AM [ philstar.com ]
MANILA, Philippines – Vice President and Housing and Urban Development Coordinating Council (HUDCC) Chairman Noli De Castro lauded yesterday the House and the Senate for the speedy passage of the new Rent Control Act that will put a cap on housing rental increase.
“I thank our Congressmen and Senators, especially the authors of the bill, for acting promptly on this urgent piece of legislation. They have shown their serious commitment to respond to the needs of our countrymen who are going through difficult times,” De Castro said.
The law, principally authored by Senators Juan Miguel Zubiri and Rodolfo Biazon in the Senate and House Speaker Prospero Nograles and Rep. Rodolfo Valencia in the House of Representatives, was recently ratified by the Bicameral Conference Committee.
Also part of the Bicameral Conference Committee were Rep. Amado Bagatsing, Rep. Roman Romulo, Rep. Teddy Casiño and Rep. Glenn Chong.
The new law imposes a one-year moratorium on housing rental increases upon its effectivity.
Thereafter, the law caps the rental increase to only seven percent per year, effective until the end of December 2013.
The most recent Rent Control Law, RA 9341 which lapsed on Dec. 31, 2008, pegged the limit on rental increases to 10 percent.
It also imposes higher penalties for violations, from P25,000 to not more than P50,000 from earlier fines of only P5,000 to not more than P15,000. – Pia Lee-Brago