Pass-Through Costs: Delaware Rent Increases Explained

If you're renting a home or apartment in Delaware, understanding when and how your landlord can raise your rent is important. Sometimes, landlords may increase your rent due to so-called "pass-through costs," such as increased property taxes, utilities, or other building expenses. Knowing your rights under Delaware law can help you spot unfair increases and respond properly.

What Are Pass-Through Costs?

Pass-through costs refer to specific building or property expenses that a landlord may pass directly onto tenants, potentially causing your rent to rise outside your original lease agreement. These may include:

• Property tax increases
• Costs for major building repairs or improvements
• Utilities and common area maintenance fees (if specified in your lease)

Delaware does not have statewide rent control, but landlords are still limited by lease terms and state landlord-tenant law when raising rent for these reasons.

When Can a Landlord Raise Rent in Delaware?

Under the Delaware Residential Landlord-Tenant Code, landlords can only raise your rent at certain times and with proper notice. The main points are:

• During a lease: For fixed-term leases (such as a one-year agreement), your rent cannot usually be increased until the lease ends, unless your lease allows it for specific pass-through costs.
• Month-to-month tenants: If you don’t have a fixed-term lease, landlords can raise rent with at least 60 days’ written notice before the increase takes effect.
• Written notice required: All rent increases, including those for pass-through costs, must be in writing and delivered as required by law.

Landlords cannot increase your rent as retaliation for exercising your legal rights, such as complaining about repairs or joining a tenant group.

Does My Lease Allow Pass-Through Costs?

Many leases in Delaware include specific clauses about pass-through costs, such as how property tax hikes or major repairs might be shared among tenants. Carefully review your lease, and look for:

• Sections titled "Additional Rent" or "Operating Expenses"
• Language about sharing increased taxes, insurance, or utility costs

Required Forms and Notice Process

For Delaware renters, there is no special "rent increase" form, but the law does require written notice that must include:

• The amount of the new rent
• The date the new rent will take effect (at least 60 days after notice for month-to-month tenants)
• The reason for the increase, if specified for pass-through costs

If you wish to object or ask questions about the increase, respond in writing as soon as possible to your landlord. Save copies of all correspondence.

Relevant Official Form

• Form Name: No official "Rent Increase Notice" form under Delaware law (landlords usually draft a custom written letter).
• When Used: Landlords use a written notice (letter or email) to inform tenants of a rent increase. As a renter, you simply need to save the notice and can respond in writing if you wish.
• Resource Link: See Delaware’s guide to Landlord-Tenant Issues for more details.

Where to Go for Disputes or Complaints

The tribunal responsible for residential tenancies in Delaware is the Justice of the Peace Court. This court handles disputes between landlords and tenants, including those involving rent increases.

What Does the Delaware Residential Landlord-Tenant Code Say?

The main tenancy law is the Delaware Residential Landlord-Tenant Code (25 Del. C. Chapter 51)^[1]. This law outlines:

• Notice timeframes for rent changes
• Rules for fixed-term vs. month-to-month rentals
• Tenant protections against retaliation

FAQ: Pass-Through Costs & Rent Increases in Delaware

1. Can my landlord raise my rent any time for pass-through costs?
   Generally, no. For fixed-term leases, the landlord can only raise rent for pass-through costs if your lease specifically allows for it. For month-to-month tenants, they must give you at least 60 days’ written notice.
2. How much notice must the landlord give for a rent increase in Delaware?
   Your landlord must provide at least 60 days’ written notice before a rent increase for month-to-month rentals. For fixed-term leases, the increase typically must wait until lease renewal, unless otherwise specified.
3. What should I do if I disagree with a pass-through rent increase?
   Respond in writing to your landlord with your concerns. If issues persist, you can file a complaint or seek mediation through the Justice of the Peace Court.
4. Is there a limit to how much my landlord can increase rent for pass-through costs?
   Delaware law does not set a dollar limit, but increases must meet lease and notice requirements and cannot be retaliatory or discriminatory.
5. Where can I get help understanding my lease or fighting a rent increase?
   You can contact Delaware Legal Services or the state’s Landlord-Tenant Information Line for free guidance (see resources below).

Key Takeaways for Delaware Renters

• Landlords must give proper written notice for all rent increases, including pass-through costs.
• Your rights and obligations depend on your lease type and what it says about extra charges.
• Delaware tenants are protected from retaliation for properly raising concerns or seeking legal help.

In summary, knowing the law and your lease terms is your best defense. If in doubt, get legal advice or contact a local resource.

Need Help? Resources for Renters

• Justice of the Peace Court – Landlord-Tenant Forms & Information
• Delaware Attorney General’s Landlord-Tenant Resource Page
• Legal Services Corporation of Delaware (Free tenant legal help)
• Read Delaware Residential Landlord-Tenant Code (25 Del. C. Ch. 51)

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1. Delaware Residential Landlord-Tenant Code (25 Del. C. Ch. 51)

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