For 2026, covered residential units renting for ₱10,000 or less per month are subject to a maximum rent increase of 1% while occupied by the same lessee. That current ceiling comes from National Human Settlements Board Resolution No. 2024-01, which governs 2025 and 2026. The older 7% figure in Republic Act No. 9653 is the statutory framework, but it is not the practical 2026 cap.
Rules last verified: August 18, 2026. This guide separates the original law from the current NHSB rent-cap resolution so landlords and tenants can see which rule actually applies now.
Rent Control in the Philippines: 2026 Snapshot
| Question | 2026 rule |
|---|---|
| What rent level is covered? | Residential units with monthly rent of ₱10,000 or less. |
| Maximum increase in 2026 | 1% for the same lessee. |
| Maximum increase in 2025 | 2.3% for the same lessee. |
| Can a vacant unit be repriced? | The statutory framework generally allows a new rent to be set when the unit becomes vacant, subject to current rules and the specific tenancy facts. |
| Advance rent | For covered units, the law limits advance rent to one month. |
| Security deposit | For covered units, the law limits the security deposit to two months. |
1. The Most Important Distinction: RA 9653 vs the Current Rent Cap
Republic Act No. 9653, the Rent Control Act of 2009, created the statutory rent-control framework and originally used a 7% annual ceiling for covered tenancies. However, the law also allows the housing authorities to adjust the cap through later regulations and resolutions.
For the current period, National Human Settlements Board Resolution No. 2024-01 is the key operational rule. It sets a maximum rent increase of 2.3% for 2025 and 1% for 2026 for covered residential units with monthly rent of ₱10,000 or less, while occupied by the same lessee. See the official NHSB Resolution No. 2024-01.
2. Which Residential Units Are Covered in 2026?
The current NHSB resolution applies the regulated cap to residential units with monthly rent of ₱10,000 or less. That current operational threshold should be used when explaining 2025–2026 rent-cap coverage rather than relying on older geographic thresholds from previous periods.
The rule is about the rent level and residential use, not the tenant’s income, profession, nationality, or employment status. Commercial spaces and transient accommodations are not treated as ordinary covered residential leases under this framework.
3. How the 1% Cap Works
If a covered unit rents for ₱10,000 per month and the same tenant remains in the unit, a 1% maximum increase would mean a new monthly rent of up to ₱10,100 for 2026, assuming the tenancy otherwise falls within the current resolution.
If the rent is ₱8,000, a 1% increase is ₱80, bringing the monthly rent to ₱8,080. The cap limits the increase; it does not require the landlord to increase rent.
4. What Happens When the Tenant Leaves?
The statutory rent-control framework distinguishes between increases imposed on the same lessee and rent set for a new tenancy after a unit becomes vacant. A landlord should not assume that every future rent is permanently locked to the prior tenant’s controlled rate. However, the exact treatment can depend on the current regulatory text and the facts of the lease, so document the end of the old tenancy and the beginning of the new one.
5. Advance Rent and Security Deposit Limits
For covered units, RA 9653 limits what a landlord may collect in advance. The law generally allows one month advance rent and two months security deposit. A demand for more than that on a covered tenancy should be checked against the statute and the lease terms before payment.
For a deeper breakdown of deposit deductions and refund issues, see our security deposit rules guide.
6. Can a Landlord Add Separate Fees to Avoid the Cap?
Landlords should not assume that simply relabeling part of the rent as a mandatory “maintenance,” “service,” or similar charge automatically removes it from rent-control scrutiny. If a mandatory charge is effectively part of the cost of occupying the unit, its treatment can become a compliance issue. Any separate recurring fee should be written clearly into the lease and supported by a real underlying charge rather than used as a disguised rent increase.
7. Eviction Is a Separate Legal Question
Rent control does not mean a tenant can never be removed. Philippine law recognizes lawful grounds and procedures for ejectment and termination of leases. Non-payment, expiration of a lease, unauthorized subleasing, owner use, and other grounds can raise separate legal issues depending on the facts and governing law. For the process itself, see our guide to legally evicting a tenant in the Philippines.
8. What Tenants Should Verify Before Challenging an Increase
- Current monthly rent.
- Whether the unit is residential rather than commercial or transient accommodation.
- Whether the monthly rent is ₱10,000 or less.
- Whether the same lessee is continuing in the unit.
- The date and amount of the last rent increase.
- The written lease and any written notice of increase.
9. What Landlords Should Verify Before Increasing Rent
- Confirm that the current NHSB resolution is still in force for the proposed increase date.
- Confirm the unit’s current monthly rent and whether it falls within the coverage threshold.
- Confirm whether the same lessee is continuing.
- Calculate the percentage increase from the current rent, not from an older historic rent.
- Keep the lease, payment records and written notice of increase.
Frequently Asked Questions
What is the rent increase cap in the Philippines for 2026?
For covered residential units renting at ₱10,000 or less per month, NHSB Resolution No. 2024-01 sets a maximum increase of 1% in 2026 for the same lessee.
Is the rent cap still 7%?
The 7% figure comes from the original statutory framework in RA 9653. It is not the operative maximum for covered units in 2026. The current NHSB resolution sets the 2026 ceiling at 1%.
Does the 2026 rent-control threshold differ between Metro Manila and the provinces?
The current NHSB resolution uses a ₱10,000-or-less monthly rent threshold for covered residential units. Older geographic thresholds should not be presented as the current 2026 operational rule without checking the applicable resolution.
Can a landlord collect two months advance and two months deposit?
For a tenancy covered by RA 9653, the statutory limit is generally one month advance and two months security deposit.
Where should a tenant start if there is a dispute?
Keep the lease, payment history and increase notice. Depending on the dispute and local circumstances, barangay conciliation, DHSUD guidance, or court remedies may become relevant. For a contested case, obtain legal advice on the correct forum before filing.
