The Provincial Residential Leases Court is investigating whether the eviction of an elderly couple to result in a conversion of their Airbnb-style apartment is retaliation.
Last Christmas, a Fredericton couple received a notice of a 67% rent increase. They sued the court, which ruled that the increase was too high considering the area.
This month, the couple is facing eviction again after receiving a warning that their apartment will become a “short-term rent” in the style of Airbnb.
Pauline Tramble, 67, and her husband, Charles Tramble, 84, returned to court.
New Brunswick Service Minister Mary Wilson said Friday that while homeowners may change their business model from residential to tourism, the court is looking for evidence that the conversion was not “retaliation.”
“The residential lease officer assigned to your case is investigating this,” Wilson told Information Morning Fredericton Friday. “Is it a change of retaliation? Is it a real change? [landlords] to act in good faith or not? ”
The landlord should have a plan for the conversion and follow it, he said.
Charles Tramble, 84, and his wife Pauline, 67, have been living in the same apartment building in Fredericton for 33 years. The new owners want to cover the apartment for a short term rental. (Ed Hunter / CBC News)
The Trambles and its neighbor received all warnings three days after the New Brunswick government passed legislation to limit rent increases by 3.8 percent and “protect tenants from termination without just cause.”
After the rental increase limit was announced, a video of landlords appeared discussing ways to circumvent the temporary rent increase limit. They discussed converting to short-term rentals and planning major renovations as ways to get current tenants out, so that they can increase the rent as much as they want for new tenants.
The court only investigates whether tenants complain
Wilson said it is up to the tenants who suffer from these problems to alert the court. The court will then investigate and decide whether the landlord really intends to continue with the renovations or rent the apartments for less than 90 days at a time.
“These are the rules,” he said. “[Tenants] please contact us. We will continue. We will make sure it is done. ”
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A few weeks after the rental limit and some cracks are shown. We ask New Brunswick Minister of Service Mary Wilson why the legislation includes provisions to prevent it.
Wilson said it is the tenant’s responsibility to complain, not the landlord’s, because “many situations do not require any intervention.”
“There’s often an agreement between the tenant and the landlord that, yes, you know what, there’s asbestos on the walls, I can’t live here. It works. All we need is the contact of this tenant and that’s it.” .
Wilson said if it is found that the owner is not acting in good faith, the province will charge them accordingly. This can lead to penalties for the landlord and financial compensation for the tenant.
The defense of the owners
Willy Scholten, president of the New Brunswick Homeowners Association, which represents homeowners, said he could not talk specifically about the Trambles case.
However, he said he would support a homeowner who turns a home into a short-term lease if that is the only way to avoid losing the mortgage payment and losing a property.
He said it is not acceptable if the reason is to maximize profits.
“If they’re getting extraordinary increases in their costs … if that’s the case, maybe they’re fighting with nails and teeth to keep the property,” he said.
“If someone is just trying to make an exorbitant increase, they certainly wouldn’t support it.”
Willy Scholten, president of the New Brunswick Apartment Owners Association, says he can’t comment on the Trambles case, but he generally doesn’t support evicting tenants just to maximize profits. (CBC)
Scholten said the video showing landlords discussing how to avoid the rental limit came out when landlords faced a 20% increase in property taxes and inflation on everything else.
“The owners are struggling,” he said. “The costs were astronomical for the owners, and they’re just trying to deal with that.”
When asked about the imbalance between the risk of losing profitable properties and the risk of tenants losing their homes, he said the imbalance falls on the government.
He said that if the government is to limit the income of homeowners, it should also limit spending to “balance it”.
He gave no examples of how the government could limit homeowners’ spending, but noted that it has already helped homeowners with a reduction in property tax.
“We need to start figuring out how to reduce the cost of housing so we can make rents more affordable,” he said.