The rental market can be divided into two broad categories: Houses controlled by the Rent Control Law (1983), and the free market. The Rent Control Law and its updated amendments apply to tenancies of residential or business premises which lie within what the law defines as Controlled Areas, i.e., towns, suburbs and rural centres, which were completed before 29 December 1995. However foreigners (except the non-Citizen wife of a citizen of the Republic) and legal entities controlled by non-residents, are not covered by the provision of the law, and do not benefit from Rent Control Law protection.
After the first tenancy has expired or been terminated, the law allows for an agreed increase of maximum 14% of the existing rent, but not before the lapse of two years from the date of the last application, or the date of the last voluntary increase. In case of refusal by the tenant, the Rent Control Courts will determine a reasonable rent, taking into account the opinion of the official valuer, and factors such as age, dimensions, location and condition. A rent control tribunal is composed of a president (who is a judicial officer) and two lay members, representing the tenants and the landlords.
from globalpropertyguide.com
