While the demand for rental housing is rising and soon more buyers will be on the market, there have been many emergency laws put in place in regards to price gouging. This is a serious crime that can land the homeowner in jail. Talk to an attorney if you are considering raising the price more than 10% from the price it was pre-disaster.
Video on Price Gouging: https://www.youtube.com/watch?v=Bvt3mwflfbc
Some tips:
-Ensure that any rent increases do not exceed 10% of the previous rent or the advertised rent before the state of emergency. For new rentals, the price should not exceed 160% of the fair market value established by the U.S. Department of Housing and Urban Development. You can find the HUD fair market rents limits for each zip code HERE.
-If demand pushes up the price on a lease, it is important to remember that these statutory requirements still apply. A good rule of thumb is to just choose the best qualified applicant. If you choose to accept an amount above the statutory limits, this is highly not advised, and you should consult an attorney as you still could be in violation of housing laws.
