Housing Rental Study Phase II
Author:
Abstract:
The Housing Rental Study, Phase II is a sequel to the first Rental Study conducted in 2013 to 2015 on rent paid by lessees of residential units conducted by the Philippine Statistical Research and Training Institute (PSRTI) in collaboration with the Philippine Statistics Authority (PSA). It is in accordance with the provisions of Republic Act. No. 9653 which took effect in July 2009 and expired on December 31, 2013. The 2017 Rent Control Study aims to determine whether to continue or not the rental regulation, and to formulate an action plan for a two-year transition program. Further, this study intends to undertake transfer of technology through the conduct of mentoring on the methodology used in the rental study. Based on the findings of the PSRTI study, Housing and Urban Development Coordinating Council (HUDCC) issued Memorandum No.1 in December 2015 extending the implementation of the Rent Control Law amending some changes on the rental rates as provided for in RA 9653. The Memorandum further explains that for the benefit of the poor and middle-income families, HUDCC extended the Rent Control Law up to December 31, 2017. It was found that 82% of the renters in the country are renting less than P4000 per month. Based on the requirement of the Rent Control Law to consider inflation rate in determining the adjustment of the rental rates, the study noted that the average inflation rate in 2014 was 4%, which was the basis for the annual increase in rent for families renting below P4000 per month. Since HUDCC has been mandated to review the implementation of the Rental Law every three years, it is again time to review the effect of the last prescribed rates as they affect the income of the low- and middle-income households due to its expiration of the extension of the Rent Control Law on December 31, 2017.
Keywords: