Housing Cost Increase Percentage

How do I calculate a housing cost increase? 

Seattle's EDRA (Economic Displacement Relocation Assistance) program requires landlords to pay about three months of housing costs to tenants that vacate after a10% or more increase to their rent/housing costs within 12 months. Eligible households must also earn 80% or less than the AMI (Average Median Income) and give notice to their landlord before applying for EDRA.

Costs to Consider When Calculating a Housing Increase

Housing costs you need to take into account when calculating a rent increase include:

  • Base rent
  • Utilities (if paid directly to the landlord)
  • Recurring monthly charges paid directly to the landlord (e.g. storage, parking, pet rent)

An EDRA-qualifying housing cost increase could be a single increase of 10% or multiple increases which, when added together, increase housing costs by 10% or more within 12 months. 

Example of a single increase:

  • Current monthly housing cost is $1000 and the increase is $100.00 per month, bringing the new monthly housing amount to $1100.00 (10% increase)

Example of multiple increases:

  • The monthly housing cost was $1000
  • In January it increased by $80 a month
  • In March of the same year it increased by an additional $20 a month
  • These increases total $100 in less than 12 months, bringing the new monthly housing amount to $1100 (10% increase) 

How to Find the Percentage of Increase

  • Using our previous example, subtract the current housing cost from the new total amount ($1100 - $1000 = $100)
  • Divide the amount of increase by the current housing cost ($100 / $1000 = 0.10)
  • Move the decimal two places to the right to find the percentage increase (10. = 10% increase)

EDRA Process and Timeline

EDRA_Landlord_Process_diagram

Don't forget to attach your EDRA notice when you increase housing costs by 10% or more within the same 12 months period.

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