Index rent as variable base rent
Index rent – Index rent is a variable rent, which means that an agreed basic rent is changeable. It is therefore a written agreement where the rent may only refer to the consumer price index (CPI). Our financial tips helps. However, if the contract refers to any other index, it is invalid. Furthermore, the rent must remain unchanged for at least one year.
Index-linked rent at a glance: The variable rent
- Base rent is changeable
- Rental agreement may only refer to the consumer price index (CPI)
- If reference is made to another index, the contract concerned is invalid
- Rent must remain unchanged for at least one year at a time
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