Legal Question in Landlord & Tenant Law in Pennsylvania
My landlord has informed me that the bank that is financing the building has told her that all tenants must pay markett value if they are to continue financing. Is it legal for a bank to tell someone how much to charge if the building is already financed??
1 Answer from Attorneys
I think you're barking up the wrong tree here. The relationship and communications between your landlord and her bank is irrelevant to your lease (which I hope is in writing). The question is whether or not your landlord can (presumably) increase your rent now for ANY reason.
The terms of your lease will give you the answer, and you should review them carefully. If you're halfway through a year-long lease, for instance, your landlord usually won't be able to increase your rent until renewal time.
The answer to your specific question, though, is yes: banks can and commonly do tell their clients/customers what their financial picture needs to look like to continue financing at certain rates. The banks hold most of the cards here, and there's no law I'm aware of that prevents them from playing those cards.
Best of luck to you!
Cary B. Hall, Esquire
Law Offices of Cary B. Hall, L.L.C.
121 East Chestnut Street, Suite 205
Souderton, PA 18964
T: (267) 663-9995
F: (215) 525-4364
http://www.carybhall.com