During these challenging and often confusing times, many Canadians have struggled with the repayment plan. To address this crisis the government of British Columbia has set the rules on how to deal with the unpaid rent that every landlord should be familiar with. Here are the answers to the questions landlords have been asking:
Can I end the tenancy for unpaid rent?
As of August 18, 2020, the government of British Columbia has lifted the ban on issuing evictions for unpaid rent. If your tenant fails to pay their rent that comes due after this date you can issue a 10 days notice to end the tenancy.
Can I charge a late fee?
You cannot charge any late fees for rent paid late between March 18 and August 17, 2020.
How can I recover the past owing rent?
If your tenant owes you any rent for the period between March 18 and August 17, 2020, as a Landlord you are required to give your tenants a repayment plan for the owing rent.
How do I prepare a valid repayment plan?
To have a valid repayment plan, your repayment plan must meet the following requirements:
- The repayment plan must be in writing
- The repayment period starts after the landlord gives the repayment is given to the tenant by the landlord and ends on July 10 2021
- The payments of the owing rent must be in equal payments
- The installment is due on the same day as the rent as per the signed tenancy agreement
- The due date of the first installment must be at least 30 days after the date the repayment plan is given by the landlord to the tenant
What should the repayment plan include?
- The start date of the repayment plan, the date the plan is given
- The total amount of owing rent and/or utilities
- The date on which the installment payments are due, first of each month
- The amount of each installment
How do I serve the repayment plan properly?
- The repayment plan can be hand-delivered
- It can be sent via registered mail to the rental property address or forwarding address as provided by the tenant
- Or as per method ordered by an arbitrator on application
Is there any flexibility in these repayment terms?
As a landlord you are allowed to amend the following terms:
- You can extend the repayment period beyond July 10, 2020
- You can allow the tenant to pay initially smaller installment payments. For example the first three months $100 and $200 after.
- You can change the due date of the installment payment to a date other than the due date of the rent payment. For example, the rent is due on the 1st of the month and the rent repayment installment is due on the 15th of the month. Remember: the earliest due date is 30 days after the delivery of the repayment plan.
Questions? Need help?
If you have any questions or need guidance, schedule a free phone consultation with one of our licensed property managers.
Bolld Real Estate Management is a Vancouver based locally owned and operated professional property management firm.