How to calculate the increase in April 2025, depending on each type of contract

How to calculate the increase in April 2025, depending on each type of contract

Determining the increase in rent in April 2025 depends on the regulations in force at the time of signing the contract. There are automatic tools that facilitate calculation, but it is also possible to do manually consulting the official indexes.

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With the arrival of April, many tenants and Owners They must update the value of the Rentals according to the regulations under which the contracts were signed. Depending on the date of signature and the legislation in force at that time, the increases are calculated in different ways. Next, we explain the easy methods to determine the corresponding adjustment.

Rentals signed under the law of 2020: ICL adjustment

If the contract was signed under the law sanctioned in July 2020, the adjustment is made annually according to the Index for Location Contracts (ICL) published by the Central Bank. These contracts have a duration of 36 months and maintain their update scheme until their expiration, even after the repeal of the rental law in December 2023.

How to calculate the adjustment with the ICL

  • Consult the index: Enter the Central Bank page (BCRA.gob.ar) and locate the “Index for Location Contracts” in the “Main Variables” section.

  • Obtain index values: Write down the value of the ICL on the start date of the contract and the adjustment day.

  • Carry out the calculation:

New rent = (initial rent / icl at the beginning) x icl a day of the adjustment

For example, if in April 2024 the rental of an apartment in Buenos Aires was $ 430,322 and should be adjusted in April 2025 with an increase of 116.85%, the new amount will be $ 933,161.

Contracts signed after the repeal of the law: Inflation adjustment

Since the repeal of the rental law in December 2023, contracts can freely agree on the form of adjustment, the most common method being based on inflation measured by the consumer price index (CPI).

How to calculate the increase in rent with the adjustment with inflation

  • Consult accumulated inflation: Enter the INDEC (INDEC.GOB.AR) page and locate the IPC report.

  • Select the corresponding months: The last months should be taken according to the agreed period (quarterly, four -monthly, etc.).

  • Apply the formula:

    New rental = initial rent x (1 + inflation accumulated in the period)

For example, if a contract signed in January 2025 establishes quarterly adjustments and inflation from December to February was 7.49%, a rental of $ 566,025 would cost $ 608,403 in April.

Contracts signed under Law 27,737: adjustment by own house

Contracts signed between October and December 2023 are governed by Law 27,737 and must be updated every six months according to the coefficient of their own house.

How to calculate the rent with the adjustment with your own house

  • Consult the coefficient: On the official page of the own house program.

  • Enter the data in an automatic calculator: Platforms such as Arquiler allow calculating the adjustment just by entering the initial amount, the start date and the update index.

  • Adjustment example: If a rent began in October 2024 with a value of $ 524,907, the 56.7% adjustment established by own house in April 2025 would take the new amount to $ 822,536.

Source: Ambito

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