There is a cap on how much rent can go up in a year, and it is much lower than most people think. It also does not cover most listings.
Who the cap covers
“All residential units in the National Capital Region and other highly urbanized cities, the total monthly rent for each of which ranges from One peso (P1.00) to Ten thousand pesos (P10,000.00) and all residential units in all other areas, the total monthly rent for each of which ranges from One peso (P1.00) to Five thousand pesos (P5,000.00)”
For those units, the ceiling for 2026 is one percent, set by NHSB Resolution 2024-01, which keeps rent control in force from 1 January 2025 through 31 December 2026.
Do not use the 7% figure
You will see “7% a year” quoted in a lot of places. That number is in the original 2009 text of the law and it applied to a period that has already passed. The figure in force now comes from the NHSB resolution, not from Section 4.
The current resolution runs to 31 December 2026. After that date this page needs to be checked again against whatever replaces it.
Above ₱10,000
No statutory cap applies. What governs is the lease contract — the notice period it sets, and the term you agreed to. If the contract is silent, there is very little to hold on to, which is the argument for reading it before signing.
This page quotes the law and links to the source. It is information, not legal advice, and it is not written for any one person’s situation. For your own case, go to your barangay or to a lawyer.
Law text checked 2026-08-08