Temporary Rent Reduction Agreement Form

If the tenant and lessor fail to reach an agreement as part of the mediation process, the Chief Dispute Resolution Officer for residential rents may adopt a binding dispute resolution decision. The order can: always document what you agree with your customer. You can use one of the rent reduction models mentioned above as a guide. Don`t forget to consult a legal expert if you have any doubts about your particular situation. You should gather documents to support the tenant`s assertion that they must stop rent relief. Are their work schedules reduced or have they been laid off? A letter from their employer would be sufficient. Are they not able to work because local housing is in order and is considered non-important workers? This should be easily noticeable. In both words, they must confirm that their statements are true. This is where the rent relief criteria come into play. They must be reasonably sure that they will recover financially. The decisions of the Tenants` Room have always decided that the landlord can restore the previous base rent at any time after written notification to the tenant, if a landlord agrees to temporarily reduce a tenant`s rent.

The reinstatement of the previous rent does not affect the tenant`s birthday for future rent increases. Examples of financial difficulties for tenants may be a reduction in income, an increase in expenses or the loss of a roommate who contributed to the tenancy. It is also important that you protect your rights as an owner. I kept a number of things in mind when I made an agreement with your tenant. A lease is a form of debt. If you allocate a portion of your tenant`s rent, then it is taxable income for them. You are required to submit a 1099-C to the IRS if you forgive $600 or more. You should also inform your client of this requirement. So everyone is clear about what was decided to register your rent reduction and online lease at Consumer Affairs Victoria.

It may seem counter-intuitive, but it may be financially wiser to temporarily reduce your tenant`s tenancy requirement. Evicting a tenant, returning your unit and finding a new tenant costs thousands of dollars. The dispute settlement order can be used as evidence for access to other state aid, such as rent relief allowance for tenants or property tax relief for homeowners. I`ve created free rent relief models that you can download and change for your own needs. That is because you do not want to set a precedent that can be used against you later in court. In the strictest countries, your current allocations can actually create a new agreement that you did not want to enter. Be careful. It is important to know that tenants and landlords can still get support from the Victoria Consumer Affairs and the Victoria Dispute Centre to help them get a new deal.

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