Quick answer

Generally, no—not in 2026 if the unit is covered by rent control and remains occupied by the same tenant.

Under National Human Settlements Board (NHSB) Resolution No. 2024-01, a landlord may increase the monthly rent by no more than 1% during January 1 to December 31, 2026 when:

The residential unit’s monthly rent was ₱10,000 or less in 2025;
The same tenant continues occupying or renews the lease in 2026; and
The unit is not otherwise excluded from the regulation.

For example, if the covered rent was ₱8,000, the maximum 2026 increase is ₱80, producing a new monthly rent of ₱8,080. If it was ₱10,000, the maximum increase is ₱100, producing a rent of ₱10,100.

A higher increase may be lawful when the unit is not covered—for example, because its rent exceeded ₱10,000 in 2025, it became vacant and was offered to a new tenant, or it is a qualifying newly constructed residential unit. Even then, an existing lease may prevent a landlord from changing the rent before the agreed term ends.

The 2026 legal rent limit

The current rule comes from NHSB Resolution No. 2024-01, issued under the continuing regulatory authority granted by Section 6 of the Rent Control Act of 2009, Republic Act No. 9653.

For covered units occupied by the same tenant, the resolution established:

Period	Maximum increase
January 1–December 31, 2025	2.3%
January 1–December 31, 2026	1%

The 1% figure is the maximum increase for the entire 2026 period, not a monthly increase.

The Department of Human Settlements and Urban Development (DHSUD) explains that the 2026 cap applies to units occupied by the same tenants in 2025 who paid ₱10,000 or less monthly and continue occupying or renew their lease in 2026. Units whose rent was already above ₱10,000 in 2025 are outside this particular cap. See the DHSUD’s official rent-control guidance and its NHSB policies page.

What kinds of homes are covered?

The Rent Control Act broadly defines a residential unit to include:

Apartments and houses;
Land on which another person’s dwelling is located;
Boarding houses and dormitories;
Rooms and bedspaces; and
Premises partly used for a home industry, retail store, or other business when the owner and family actually live there and use it principally as their dwelling.

Motels, motel rooms, hotels, and hotel rooms are excluded from that definition.

The present nationwide threshold is ₱10,000 or less per month for the covered period. Older copies of the Act refer to different thresholds for Metro Manila, highly urbanized cities, and other areas. Those were the original statutory limits; the NHSB subsequently exercised its authority under Section 6 to determine the units and rental limits covered by later regulation.

When can a landlord charge more than the 1% cap?

The unit becomes vacant and a new tenant moves in

When a covered residential unit becomes vacant in 2026, the landlord may set the initial rent for the next tenant. The 1% protection follows the continuing tenancy, not the physical unit indefinitely.

A landlord should not falsely describe the same continuing occupant as a “new tenant” merely to avoid the cap. Whether a tenancy genuinely ended depends on the lease, surrender of possession, turnover records, payments, and the parties’ actual conduct.

The rent was already above ₱10,000

A residential unit whose monthly rent exceeded ₱10,000 in 2025 is outside the 2026 cap in NHSB Resolution No. 2024-01.

That does not automatically permit a mid-contract increase. The written lease still matters. Article 1159 of the Civil Code of the Philippines provides that contractual obligations have the force of law between the parties and must be performed in good faith. A landlord generally cannot disregard a fixed rent during a definite lease term unless the agreement contains a valid adjustment clause or the parties agree to amend it.

At renewal or after expiration, the parties may negotiate a different rent, subject to any law or local ordinance that applies.

It is a qualifying new residential unit

Resolution No. 2024-01 excludes new residential units constructed after the resolution’s approval and subsequently offered for lease. The construction date and the date the unit was first offered for rent should be verified through permits, occupancy documents, contracts, and other records.

A newly renovated old unit is not necessarily a newly constructed residential unit. That conclusion depends on the actual work and official property records.

The supposed increase is for a genuinely separate charge

Utilities or separately agreed services are not automatically part of “rent.” However, renaming part of the payment as an association fee, maintenance fee, furniture fee, or similar charge does not conclusively remove it from rent control.

If a new mandatory charge is effectively payment for continued occupancy, it may be treated as a disguised rent increase. The contract, previous billing practice, receipts, utility readings, association assessments, and the purpose of the charge will matter.

Special rule for student accommodations

For boarding houses, dormitories, rooms, and bedspaces rented to students, rent may not be increased more than once within the year, even when tenants change.

This is separate from the percentage cap. A landlord cannot divide an allowed adjustment into several increases during the year.

The lease may provide greater protection

The legal cap is a ceiling, not an automatic entitlement to raise rent.

If a lease fixes the rent for one year without an escalation clause, the landlord must ordinarily honor that rate until the agreed adjustment or renewal date. A landlord cannot justify an otherwise premature increase simply because it remains below 1%.

Conversely, a contract cannot validly authorize an increase that violates a mandatory rent-control rule. Article 1306 of the Civil Code allows parties to choose their contract terms only when those terms are not contrary to law, public order, or public policy.

What a tenant should do after receiving an excessive increase

1. Check whether the unit and tenancy are covered

Confirm:

The rent charged during 2025;
Whether you are the same tenant continuing into 2026;
Whether the premises are principally residential;
Whether the unit actually became vacant before your tenancy;
Whether the landlord claims that it is newly constructed; and
What the written lease says about duration and rent adjustments.

Calculate the lawful maximum by multiplying the applicable 2025 monthly rent by 1.01.

2. Ask for the increase in writing

Request a written notice stating:

The present rent;
The proposed new rent;
Its effective date;
The calculation used; and
The landlord’s reason for saying that the cap does or does not apply.

Avoid relying solely on a phone call or verbal demand.

3. Object calmly and in writing

State the existing rent, your calculation of the 1% ceiling, and the facts showing that you are the same tenant. Attach or link NHSB Resolution No. 2024-01 and ask the landlord to correct the demand.

Do not sign a new lease, acknowledgment, or voluntary-surrender document without reading it carefully. Continued payment of an increased amount, especially without a written objection, can complicate the evidence concerning consent, although it does not necessarily validate a charge prohibited by law.

4. Continue paying the undisputed lawful rent

Do not simply stop paying. Three months of rent arrears is a statutory ground for judicial ejectment under Section 9 of the Rent Control Act.

Pay on time using a traceable method and clearly identify the month covered. If the landlord accepts only cash, request a signed receipt showing the date, amount, property, and rental period.

If the landlord refuses the agreed rent, Section 9 permits the tenant to deposit it by way of consignation:

In court;
With the city or municipal treasurer;
With the barangay chairperson; or
In a bank in the landlord’s name and with notice to the landlord.

The first deposit must be made within one month after the landlord’s refusal. Subsequent rent must then be deposited within 10 days of every current month. Failure to deposit for three months can become a ground for ejectment. Because defective consignation may not protect the tenant, obtain legal advice promptly before relying on this procedure.

5. Seek barangay mediation when applicable

DHSUD encourages landlords and tenants to attempt an amicable settlement through the Katarungang Pambarangay system.

Barangay conciliation is also a mandatory precondition for many disputes between individuals who actually reside in the same city or municipality, subject to the jurisdictional rules and exceptions in Sections 408–412 of the Local Government Code. Disputes involving real property are generally brought in the barangay where the property is located.

Ask the barangay for a written record of the complaint and appearances. If no settlement is reached, obtain the appropriate certification to file action. A signed barangay settlement can become enforceable, so do not agree to terms you do not understand.

6. Consult the proper government office or a lawyer

You may contact the appropriate DHSUD regional office for current guidance and referral. DHSUD’s official contact details and regional-office information are available through dhsud.gov.ph.

For individualized advice or representation, consider:

The Public Attorney’s Office, if you meet its requirements;
Your city or municipal legal office;
An Integrated Bar of the Philippines legal-aid chapter;
A law-school legal-aid clinic; or
A private lawyer experienced in lease and ejectment disputes.

DHSUD or the barangay may help explain rules or facilitate settlement, but a contested claim for repayment, damages, ejectment, or criminal liability may require proceedings before the appropriate authority or court.

Evidence to preserve

Keep copies of:

Every lease, renewal, addendum, and house rule;
Rent receipts and bank, e-wallet, or remittance records;
The landlord’s increase notice and your written response;
Messages, emails, and call summaries;
Proof of the 2025 rent;
Proof that you continuously occupied the unit;
Utility bills or identification showing the address;
Demands for new or renamed charges;
Advertisements for the unit, if the landlord claims there was a new tenancy;
Barangay complaints, summonses, minutes, settlements, and certifications; and
Any refusal to accept rent, together with proof of tender, deposit, and notice.

Save original electronic files where possible. Screenshots should show the sender, recipient, date, and complete conversation.

Can the landlord evict a tenant for refusing the excessive portion?

A landlord cannot lawfully remove a tenant merely through threats, intimidation, padlocking, or the unilateral removal of belongings. Ejectment must rest on a lawful ground and proceed through the proper process.

Under Section 9 of the Rent Control Act, grounds for judicial ejectment include:

Unauthorized assignment, subleasing, or acceptance of boarders or bedspacers;
A total of three months’ rent arrears;
The landlord’s legitimate residential need for the property, subject to expiration of a definite lease, three months’ formal advance notice, and restrictions on leasing the recovered unit to someone else;
Necessary repairs under an official condemnation order; and
Expiration of the lease period.

Sale or mortgage of the property is not, by itself, a ground to eject a tenant covered by the Act.

An excessive rent dispute does not give the tenant permission to ignore all rent demands. Tendering and documenting payment of the lawful, undisputed amount is usually critical.

Penalties and possible remedies

Section 13 of the Rent Control Act states that a person found guilty of violating the Act may be punished by:

A fine of ₱25,000 to ₱50,000;
Imprisonment of one month and one day to six months; or
Both.

A penalty is not automatic merely because a tenant alleges an excessive increase. Liability must be established in the proper proceeding, and the available civil or criminal remedy depends on the documents, conduct, parties, and specific violation.

A tenant who has already paid an allegedly unlawful increase should preserve every receipt and obtain advice about demanding reimbursement or pursuing an appropriate civil claim. Do not deduct the disputed amount from future rent without a written agreement or fact-specific legal advice; doing so may create alleged arrears.

Other protections under the Rent Control Act

For covered residential units, the landlord generally cannot demand more than:

One month’s advance rent; and
Two months’ deposit.

The deposit must be kept in a bank under the landlord’s account name during the lease. Accrued interest is to be returned to the tenant at the end of the lease. Amounts corresponding to unpaid rent, utilities, or property damage may be applied against the deposit as the law permits.

These protections are distinct from the annual rent-increase cap.

Common mistakes to avoid

Applying the old 7% statutory figure instead of the current 1% cap for 2026;
Assuming every Philippine rental is rent-controlled regardless of price;
Treating the 1% limit as a monthly rather than annual increase;
Assuming a landlord must raise rent by 1%;
Ignoring a fixed-rate lease that gives the tenant greater protection;
Believing a change in ownership automatically ends the tenancy;
Stopping all rent payments after disputing an increase;
Paying cash without obtaining receipts;
Signing a “new tenancy” document without checking whether it waives or changes important facts;
Treating every new fee as valid merely because it is not labelled “rent”; and
Waiting until an ejectment summons or payment deadline has passed before seeking help.

When legal help is urgent

Seek prompt legal assistance if:

The landlord refuses rent and you need to make a legally effective deposit;
You receive a demand to vacate, barangay summons, prosecutor’s subpoena, or court papers;
Locks have been changed or essential utilities deliberately disconnected;
The landlord threatens violence, removes belongings, or enters forcibly;
You are being asked to sign a surrender, waiver, settlement, or backdated lease;
Several months of rent are disputed;
The property is subject to condemnation or demolition; or
A filing, answer, appeal, or prescription deadline may be approaching.

Court documents should never be ignored. The time to respond may be short under the Supreme Court’s Rules on Expedited Procedures in the First Level Courts.

Frequently asked questions

Is the maximum rent increase in 2026 really only 1%?

Yes, for a residential unit covered by NHSB Resolution No. 2024-01 that had monthly rent of ₱10,000 or less in 2025 and remains occupied by the same tenant in 2026.

Does the cap apply everywhere in the Philippines?

The current resolution uses a nationwide ₱10,000 threshold. The tenancy must still satisfy the other coverage requirements.

Can my landlord increase ₱10,000 rent to ₱10,100?

Yes, if the unit and continuing tenancy are covered and no contract fixes a lower amount. That is a 1% increase. The fact that the resulting rent is ₱10,100 does not by itself invalidate the permitted adjustment.

Can rent be increased twice in 2026 if the total stays under 1%?

The resolution sets a maximum increase for the 2026 period. Multiple adjustments designed to exceed that ceiling are not allowed. Student boarding houses, dormitories, rooms, and bedspaces are expressly limited to one rent increase during the year.

Does the cap apply to a new tenant?

Generally, no. Once the unit genuinely becomes vacant, the landlord may set the initial rent for the next tenant, subject to the special once-a-year rule for student accommodations and any applicable contract or local law.

Can a landlord raise rent during a fixed one-year lease?

Only if the lease validly permits the adjustment or the parties agree, and the increase does not violate rent control. Otherwise, the agreed fixed rent ordinarily remains binding until the relevant contractual adjustment date or the lease expires.

What if the landlord calls the increase a “maintenance fee”?

The label is not decisive. If the fee is mandatory and is effectively additional payment for occupying the unit, it may be challenged as a disguised rent increase. Genuine separately agreed services or properly documented third-party charges require a fact-specific assessment.

Where should I complain first?

Send a written objection and attempt to resolve the calculation. When barangay conciliation applies, file with the proper barangay before going to court or another adjudicative office. You may also seek guidance from DHSUD and individualized advice from a lawyer or legal-aid provider.

Does refusing the excessive increase mean I can stop paying rent?

No. Continue timely payment or proper tender of the lawful, undisputed rent. If payment is refused, follow the statutory deposit procedure promptly and carefully.

This article provides general legal information, not legal advice or an attorney-client relationship. Coverage and remedies depend on the lease, payment history, occupancy, property records, notices, location, and procedural posture. Official legal sources were checked as of September 4, 2026.