OCPB vows to deal with unscrupulous property owners

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OCPB vows to deal with unscrupulous property owners

By Thai PBS

 

 

The Office of Consumer Protection Board will adjust its announcement regarding utility fees charged on tenants by owners of hostels or apartments in case the owners of the premises are tricky and impose other charges on the tenants to compensate for lowering utility fees as laid down by the announcement.

 

OCPB deputy secretary-general Pikanes Tapuang said that, under the announcement, an apartment or a hostel owner cannot charge utility rates exceeding 20 percent of the rates charged by the Metropolitan Electricity Authority and the Metropolitan Waterworks Authority in the case of Bangkok or Provincial Electricity Authority and Provincial Waterworks Authority in case of the other provinces. The announcement will become effective on May 1.

 

It was reported that some hostel or apartment owners had already lowered the utility rates charged on their tenants but, at the same time, introduced new fee for the utility used for common property to compensate the loss of revenue from overcharged utility fees.

 

Full story: http://englishnews.thaipbs.or.th/ocpb-vows-deal-unscrupulous-property-owners/

 

-- © Copyright Thai PBS 2018-04-27

[Chang_paarp]

If they actually did something, like prosecute the miscreants, rather than talk about it thee might be a real change in attitudes.

 

Use the tools you have while they still have an edge.

[happy chappie]

So drop the electricity charge and then just charge the tenant for something else.useless waffle.also who's going to enforce this law.the electricity police.

[Destiny1990]

They should call it A made up Compensation  fee.

[barefootbangkok]

Recognizing it is a step in the right direction. Some apartment owners, one notably close to the Bangjak BTS station, charges rates approaching half the cost of the rent. One representative quoted me a rate of 25 baht per unit, 6 times the condo rate. This will give unscrupulous owners notice that they need to adjust their rates before the government mandates using standard rates only (4 baht per unit).

[jackdd]

That's of course a good addition to the law, but why were the 20% over government rate limit not included in the initial law?

Now they just have to come up with additional laws / rules to stop circumventing the max 1 month deposit law and need to provide a list of valid reasons that allow to terminate the contract with 30 days notice.

[Emster23]

bit of a screw up in original story: " an apartment or a hostel owner cannot charge utility rates exceeding 20 percent of the rates charged "

So owner gets bill of 1000 and can only charge 200?

Being "unscrupulous owners" can regulators expect Christmas bonuses regardless of time of year?

[Cake Monster]

Owners of apartments have to make their capital investment work for them.

 

Rents of apartments are abnormally  low in comparison to the average monthly wage earned now here in Thailand

 

A monthly rent of around 1800 Baht is not uncommon, whereas the tenant could be earning as much as 20,000 per month ( less then 10 % )

 

Any attempt to increase the rents is met with cries of " yai- heyaa" or some other insult, although a new car is parked in the parking space.

 

I guess its all about priorities and " face " , and face will win out every time 

[gamba]

Any here who can enlighten me how the contract transition are done. ? Any help appreciated so the landlord can be “protected” from unscrupulous farang tenants. :).

 

Living and run residential villa resort area with pool, TV, internet, street light, garbage collect,  staff, maintains and services with no extra cost.

Are the new law for new contract only or also existing agreements. ?

 

If for existing contract we must make a total new contract to the tenant so not do a “runner” just after every high season. Also the paid commission fee to agents are in play now.

 

Our rental depends how long staying and the season. We only takes total 30.000 baht rent and deposit but all inventory are near 200.000 baht alone.

 

Who must pay for the service of electric hot water, cooking, air condition. When use much electric there also more service required and no extra money to fix from the electric bill. ?

 

I understand from now we must make separate bill from all the cost to running the area.

 

Edited April 27, 2018 by gamba

[jackdd]

26 minutes ago, gamba said:

Any here who can enlighten me how the contract transition are done. ? Any help appreciated so the landlord can be “protected” from unscrupulous farang tenants. :).

 

Living and run residential villa resort area with pool, TV, internet, street light, garbage collect,  staff, maintains and services with no extra cost.

Are the new law for new contract only or also existing agreements. ?

 

If for existing contract we must make a total new contract to the tenant so not do a “runner” just after every high season. Also the paid commission fee to agents are in play now.

 

Our rental depends how long staying and the season. We only takes total 30.000 baht rent and deposit but all inventory are near 200.000 baht alone.

 

Who must pay for the service of electric hot water, cooking, air condition. When use much electric there also more service required and no extra money to fix from the electric bill. ?

 

I understand from now we must make separate bill from all the cost to running the area.

 

To keep people from doing a "runner" after the high season you just have to adjust the rent accordingly. For example in high season it's 35k per month, in low season 25k, or 40/20 or whatever.

I'm quite sure the 20% margin you can add to the electricity covers the extra cost that occur because somebody is running the air con all day long and you have to replace it after 10 instead of after 20 years.

How often did it occur to you that somebody trashed your whole furniture? It's not impossible, but the chance for this is really low and it's just a risk that you take when you rent out something. Mostly it will be stuff like that the tenant damaged the wardrobe or broke a lamp where the damage is a few hundred or maybe a thousand baht. But it happened many times that tenants had problems to get their deposit back from the landlord.

[gamba]

Sorry. I did not notes there are a 20% margin so can cover the electric utility. We take less already.

As you suggest we need to change contract if tenant stop a long term contract. Our area are most to long term and 1 year lease to lower rent. It happens once for us a big family make long term but only stay 2 month in the best high season. They really get themselves a cheap holiday stay.

Normal we never have any problems about inventory when tenants leaving. Only small things but when tenant not pay last bill there really small margin left to cover.

Only really big problem to landlords are the 30 day notification for tenant revoke a long term contract. Will or can a tenant ex. pay 30.000 baht in 6 month I a row and then later maybe 10.000 for the next 6 month. I doubt.

I understand if this law are for apartment and residential who not have any opportunity to get own water or electric meter. But not to a Villa.

 

I cannot see if this law  are also for all long term existing contract or only new.?

 

Edited April 27, 2018 by gamba

[kaorop]

ocpb vows to shoot off its mouth about every 3 months. ocpb vows to prosecute exactly zero people.

ocpb vows to collect wages but do as little as possible but appear busy.

ocpb vow to collect as many brown envelopes as possible.

ocpb vows to milk the budget wherever possible.

 

i vow this to be.

[Cake Monster]

FYI, 1800 baht per month is not uncommon for the Apartments that are common everywhere with Thai Factory workers , Shop workers Etc

I am not refering to the luxurious 8000 baht a month apartments ( in comparison ) enjoyed by some