What You Should Know About Rent in Butuan City
In the Philippines, it may not be obvious but the laws regarding residential rentals can be quite pro-landlord when it comes to its luxury segment. However, when it comes to the rest of the market, you can actually say that it is in the neutral zone. No matter if it is in Butuan City or the rest of the country, the same laws apply.
Any party who is in the real estate rental can negotiate freely, regardless of the market segment you are targeting. Of course, you have to be prepared before you negotiate for the rental of a property in Butuan City. It does not matter if you are a landlord or a tenant, your knowledge is necessary.
One of the things to understand is how the deposit works. The deposit will have to depend on the negotiations between the landlord and tenant. As a custom though, if it is an upper-end real estate property, then the rents should be paid in advance. The advance payment will be made via post-dated cheques and for the entire duration of the contract.
For the other types of lease agreement though, the security deposit will only need two to three months’ worth of. The deposit will be returned to the tenant one month after the end date of the lease agreement. Of course, the returned deposit will be the amount after repair and unpaid bills deductions have been applied.
Some segments of the market demand one month advance payment for rental and two months security deposit. For this kind of agreement, the deposit will oftentimes be used for paying the rent of the tenant’s last month of occupancy. It is also because of this agreement that landlords are often left with repairs and unpaid bills.
If the market is the lower end segment, then it is most often that the contract is only made orally. In case there is only oral agreement, only in these situations can the landlord eject a tenant: subleasing without the landlord’s written consent, three months of not paying rent, and the landlord’s need for the Butuan City real estate property for personal use.
