Archive for the ‘Rent control’ Category

Alberta Landlords Association Launches Our ‘Landlords Making A Difference In Our Communities Campaign 2017’

Tuesday, March 21st, 2017

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With “Rent Control”, “Reduced Security Deposits” and Other Issues Being Discussed It’s Important To Appreciate All the Good Landlords Who Provide High Quality, Affordable Rentals In Our Province

Successful Alberta landlords know the importance of maintaining our rental properties. We know that to be successful you need attractive and affordable properties that your tenants will find comfortable and want to live in. 

Good tenants tend to stay a lot longer when a property is nice, well-maintained and priced right.

Successful Alberta landlords also know it’s important for a landlord to be professional. This means knowing the rules and laws, following the rules and laws, and cooperating with tenants for a “win-win” situation.  We make tenant screening a priority to find good tenants, and make sure tenants know we are good landlords with great rental properties looking for a win-win business relationship.

Our community of hard-working and professional small landlords across the province know that good landlords can make a difference in our communities and we are working hard to improve the rental industry in Alberta.

Small Residential Alberta Landlords Play An Important Role and Are Important Stake-Holders

Alberta landlords have invested in our province and are important stake-holders. Because we believe in the success of Alberta we have invested our hard earned money here. 

We create great rental properties which in turn improves our communities.  We create welcoming homes for others coming to Alberta who also believe in the successful future of our province.

Great People Make Great Landlords

Many members of our community have careers.  They work hard in their jobs and play important roles in our cities and towns.  They volunteer in things such as soccer and hockey programs and play active roles in our charities. They are also great landlords! 

It’s important to remember that a large portion of landlords in our province are not faceless, soulless corporations.  Many of our best rental properties are provided by independent business people.

Small residential landlords also play an important role in our local economy. 

We spend a lot to maintain our properties.  We hire plumbers, painters, electricians and plumbers. We go to our local stores to buy doors, windows, drywall and other things we need to maintain our properties.  We buy curtains, blinds, and expensive appliances to make our renters happy.

It’s important to realize it’s essential to create rules that encourage terrific housing providers invested in the rental industry to continue to do so. Some people are already leaving the industry.

It wasn’t that long ago when we didn’t have enough rental properties in our market. If current landlords decide to leave the industry and we discourage new landlords to invest we are setting ourselves up for problems when things pick up again (and it will pick up).

Challenges For Alberta Landlords

Residential landlords faced a lot of challenges the past year and face challenges in 2017.

First of all, the economy is undergoing a difficult time and it’s had a large impact on everyone. Non-landlords need to realize that landlords are not immune to these economic challenges. 

Small landlords face the problem of vacancies as it’s becoming harder to find qualified tenants.  An Edmonton landlord recently wrote it took her three months to find tenants.  That means three months of no income from her rental property.

Rents are also dropping in some areas.  A Calgary landlord wrote in our Members Forum that she negotiated with potential renters and ended up dropping the rent and including a lot of costly incentives.  She ended up having to max out her credit card just to fill her rental property.

Add in the fact that some of the larger property management companies can afford to offer lots of incentives to renters such a huge rent discounts and even big screen tvs and groceries and you can see the challenges small landlords face.

Even when the economy was booming small landlords had challenges.  Now with current economic and market conditions it’s even tougher.

Small Landlords Are Important And Let’s All Work Together For a Healthy Rental Industry

We believe in Alberta and continue to invest here.  However, it’s important for people to realize the challenges we face and our importance as stake-holders in our communities. Now is not the time for things such as “rent control” (which we discussed a few years ago) and “diminished security deposits.”

Alberta Landlords Are Important Stake-Holders In Our Province. We Provide an Important Service and A Key Role In Our Communities

In these challenging times we all need to work together to make our rental industry and our province stronger than ever.  This means all stake-holders need to cooperate and map out a fair and smart strategy together. This also means making sure everyone understands the pressures small landlords face and how valuable we are.

By all of us coming together, and working together, we can make positive, important changes to help good landlords and good tenants.  We believe the best is yet to come for Alberta landlords and all the great tenants in our province.

Alberta Landlords – Is Rent Control Coming?

Sunday, December 15th, 2013

December 15, 2013

Alberta landlords rent control

Is rent control coming to Alberta? According to an editorial in the Whitecourt Star it should be.

Rent control is when the government caps the amount of rent a landlord can charge. The Star believes it’s the solution to the low vacancy rate in Alberta.

Low Vacancy Rate

The vacancy rate is, in fact, very low and tenants are scrambling to find rental apartments.

According to the Canada Housing and Mortage Corp. (CMHC) not only are vacancy rates in Alberta decline, rents are also rising.

The Whitecourt Star’s Argument for Rent Control in Alberta

The Star sent a reporter to look into the rental market in Whitecourt in 2012.

The reporter found there were a lot of tenants in the city looking for rental housing. The report stated there were not enough affordable rental units available and there was a long list of tenants waiting to find a place to rent “at any price.”

The Star editorial stated the Alberta economy was booming and more workers were coming to the province. Despite these jobs there are thousands of homeless living on the street because Calgary and Edmonton landlords won’t rent to them.

While investors and landlords have the right to profit from their rental businesses the Star argues people have the right to a place to live.

According to the Whitecourt Star ‘rent control’ is a way the government “can make this happen.

Rent Control Doesn’t Mean More Affordable Rental Units

The Whitecourt Star argument is wrong. Rent control doesn’t equal more affordable housing.

Other Canadian provinces have rent control

For example, British Columbia landlords can only increase the rent by 2.2% in 2014. Yet tenants there are still complaining rents are too high and something needs to be done.

And even better example is Ontario.

In 2014 Ontario Landlords can only raise the rent a measly 0.8% for their current tenants.

While the Ontario Rent Increase Guideline is tied to the CPI Index rent increases are ‘capped’ at a maximum of 2.5% no matter how high inflation gets.

With rent control and rent increases capped there should be a ton of rental available and rents should be low. 

Except there isn’t.

With so much government control many investors simply avoid investing in residential rental property in Ontario.

The vacancy rates in Ontario are nearly as low as in Alberta.

And there is a huge waiting list for affordable housing in Ontario.

Rent Control Is Not the Answer

Alberta landlords already know rent control is not the way forward for Alberta.

Anyone can see from what is happening in British Columbia and Ontario that rent control only hurts tenants.

Furthermore, landlords in Alberta are already facing increasing challenges.

We hope the Whitecourt Star editorial board thinks more carefully next time.