So your landlord wants to raise your rent. Here's what you need to know about your rights in B.C.

Earlier this week, tenants and landlords alike expressed dismay when the province announced that rents will be allowed to be raised byup to 3.5 per cent in 2024.

In B.C., the provincial government limits how much landlords can raise their tenants' rent each year. The housing minister sets the rate of the annual increase, listed as a percentage. Laws regarding tenants and landlords, including rent increases, are regulated by the B.C. Tenancy Act.

However, CBC News frequently hears from tenants wondering what their rights are when it comes to rent increases.

There are some circumstances in which a landlord can raise the rent above the set amount, but there are strict procedures in place forhow to do so.

Here's what you need to know.

At what rate canlandlords raiserentin B.C.?

Every year, the province determines the maximum percentage by which landlords can increase monthly rental rates.

Landlords are allowed to increase rents only once a year and must give tenants three months' notice about the increase. For 2024, the maximum allowable increase is 3.5 per cent.

Robert Patterson,a legal advocate with the Tenant Resource and Advisory Centre (TRAC), says this is the most straightforward type of rent increase.

Patterson says these increases can only happen 12 months after a tenant has moved in, or 12 months after the rent was last legally increased.

Are there any exceptions?

Yes. Landlords can apply to increase the rent above the set annual rate if they have permission from the tenants,if their operating costs have increased,or if they have spent money on the property.

David Hutniak with Landlord B.C. recently told CBC News the costs of operating rental housing have gone up, and the province's annual increase doesn't cover those costs.

"You're looking at negative cash flow, year over year, and that's just not a sustainable business model," he said earlier this week.

Permission from tenants:

Patterson says asking tenants for more money can be one of the most problematic types of rent increase, as many tenants feel pressured into saying yes or risk losing their home.

"This is definitely the most common thing we've heard from tenants," he said.

According to B.C.'sResidential Tenancy Branch(RTB), these agreements needto be confirmed in writing along with a Notice of Rent Increase. Tenants still need three months' notice of the increase, and it can still only happen once a year.

Operating costs:

According to the RTB, if the landlord is applying to the branch for an increase due to operating expenses, they have to prove a financial loss. The application then goes to a hearing.

If the application is approved, the landlord must give the tenants three months' notice before the increase comes into effect.

Patterson said he has never come across a case of a landlord successfully applying for this type of increase.

Capital expenses:

For capital expenses, the process is similar.

The landlord must prove the costs were incurred to install, repair or replace a major component of the property in order to comply with health, safety and housing standards, or to reduce energy or greenhouse gas emissions.

The RTB says this could includeinstalling a new boiler, replacing an asphalt roof or updating single-pane windows. Expenditures are ineligible if the landlord inadequately repaired or maintained the items in the first place, the RTB says.

The calculation for the increase includes dividing the expense by the number of units over a 10-year period.

What if my landlord increases my rent illegally?

Patterson says tenants who feel threatened to comply with a rent increase that doesn't fit the above parameters should try to keep evidence of any threats or demands.

If the landlord issues a notice to end tenancy or an eviction, the tenants could use that evidence to prove the landlord isn't operating in good faith.

Patterson also suggests checking in with former neighbours or looking at rental listing sitesafter they have left.

If the landlord told them a family member was moving in, for example, but the home is then listed for rent at a higher price, the renters could be eligible for compensation of 12 months rent.

I can't afford the increase. What happens if I don't pay it?

If your landlord has taken all the legal steps to increase your rent by an approved amount, you must pay it.

If you don't pay in full, and on time, your landlord could issue a 10-day eviction notice for non-payment of rent.

"There is no sort of petition for leniency," Patterson said. "[The tenants]ultimately either have to find a way to pay it orgive notice to move."

I got a roommate to help pay rent. Can my landlord charge me more?

It depends on your tenancy agreement.

According to TRAC, if your lease includes a stipulation on additional rent for extra tenants, then yes, your landlord can increase your rent.

Patterson also suggests checking to see if your lease says only the tenants listed in the agreement can live on the property.

If so, getting a roommate could mean that you have to sign a new lease, at which point your landlord would have the right to raise the rent by as much as they want.

In B.C., restrictions on rental increases are limited to existing tenancies. So when a new tenancy is created, landlords can raise the rent by as much as they want.

Another scenario Patterson says to watch for is situations where there may be multiple roommates but only one person on the lease. If that person listed gives notice to leave, the landlord could renegotiate the entire lease.

Help, my landlord is selling my home!

If a landlord chooses to sell their property, Patterson says theycannot evict you until the conditions of the sale are satisfiedand the new owners issue a two months'notice to end tenancy because they want to live in the home themselves, or move in a close relative like a parent or child.

If the new owners continue to rent out the property, theyinherit the terms of your lease, including how much you pay in rent.

According to the RTB,if the new owners want to demolish or substantially renovate the property, they cannot evict you until they have a construction permit in hand.

In the case of evictions for renovations, landlords now have to apply to the RTB for approval before they can issue a notice to end tenancy.

In Vancouver, there is additional compensation for tenants who have to relocatefor this reason.