DNCC bans annual house rent hikes; sets two-year freeze

The Dhaka North City Corporation (DNCC) has issued a landmark directive prohibiting landlords from increasing house rent more than once every two years. Under the new rules, rent revisions can only occur during the June–July period, aligning with the start of the fiscal year.

The announcement was made by DNCC Administrator Mohammad Ejaz during a press conference at Nagar Bhaban in Gulshan on Tuesday afternoon. The guidelines are part of a broader effort to enforce the House Rent Control Act, 1991, and protect tenant rights.

Key Financial Regulations

1. Rent Freeze: Standard rent remains fixed for two years. No increases are permitted during this period.

2. Cap on Hikes: When revised, the annual rent amount must not exceed 15% of the property’s market value.

3. Advance Payment: Landlords are strictly prohibited from taking more than 1 to 3 months’ rent as an advance.

4. Payment Deadline: Tenants must pay rent by the 10th of every month and obtain a signed written receipt.

Rights and Responsibilities The DNCC administrator emphasized that landlords must keep properties habitable and ensure uninterrupted utility services (gas, water, electricity). For safety during emergencies like fires or earthquakes, landlords must now provide tenants with keys to the rooftop and main gate.

In return, tenants are encouraged to maintain the property and may plant greenery on balconies or roofs with prior approval. Either party can terminate a residential agreement by providing two months' notice.

Dispute Resolution To handle conflicts, DNCC will form ward-level associations consisting of both landlords and tenants.

Disputes should be settled through bilateral discussion at the ward level.

If unresolved, the matter must be reported to the Regional Executive Officer of the City Corporation.

If a tenant fails to pay, a landlord must provide a verbal warning followed by a written two-month notice before proceeding with eviction.