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Rent increase calculator
Work out the rent year by year under an increase such as 10% a year, the total you pay over the agreement, the security deposit and advance in rupees, and what the rent laws of Punjab, Sindh, Islamabad and Khyber Pakhtunkhwa say about raising the rent.
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Calculator
Work out your rent
Give the rent now, the increase and how often it applies, and how long the agreement runs. Add the deposit and any advance to see what is due at signing.
Rent over the agreement
- A rise adds
- Rs 5,000a month from month 13, Rs 60,000 a year
- Rent at the end
- Rs 60,500a month, 21% above the start
- Average rent
- Rs 55,167a month over the agreement
- Increases add
- Rs 1.86 lakhon top of Rs 18 lakh at the starting rent
Due at signing
- Security deposit, 2 monthsReturned when you leave, less any dues
- Rs 100,000
- Advance rent, 1 monthPays for month 1
- Rs 50,000
- At signing
- Rs 150,000
Punjab: the Punjab Rented Premises Act 2009 leaves the increase to the agreement, which should state it (section 6). It sets no default rise and no ceiling, and a rent fixed for only part of a fixed term stays the same for the whole term unless the agreement says otherwise.
Each new rent is rounded to the rupee. Rent laws as read in September 2026; this is not legal advice, so read your agreement and ask a lawyer before relying on it.
Your agreement
Rent year by year
Rs 50,000 a month rising 10% every year, to Rs 60,500 by year 3, over 3 years.
| Year | Rent a month (Rs) | Paid in the year (Rs) | Added by increases (Rs) | Paid to date (Rs) |
|---|---|---|---|---|
| 1 | 50,000 | 600,000 | 0 | 600,000 |
| 2 | 55,000 | 660,000 | 60,000 | 1,260,000 |
| 3 | 60,500 | 726,000 | 126,000 | 1,986,000 |
| Total | 1,986,000 | 186,000 |
A rent with two figures changes during that year. Advance rent is part of these totals, paid early; the deposit is not.
How it is worked out
From this year's rent to the last
An agreement that raises the rent 10% every year multiplies each year's rent by 1.10. On the example, Rs 50,000 a month becomes Rs 55,000 in the second year and Rs 60,500 in the third, so the three years cost Rs 600,000, Rs 660,000 and Rs 726,000: Rs 1,986,000 in all, of which Rs 186,000 comes from the increases.
Most agreements work each increase on the rent being paid, so the rises grow as they go: the fourth 10% on a rent that started at Rs 50,000 adds Rs 6,655 a month, not Rs 5,000. Some agreements say 10% of the first rent instead, which adds the same rupees every time. Choose the one your agreement says under How increases are worked. Each new rent is rounded to the rupee.
The increase need not fall once a year. Many agreements run for 11 months and are renewed with an increase, so the rent goes up in the 12th month, the 23rd and so on: give 11 as the months between increases and the table puts each rise in the right year. For a shop let for three years with one rise after 18 months, give 18.
The security deposit is held by the landlord and returned when you leave, less any unpaid rent, bills or damage the agreement lets him keep, so it is not part of the rent. Advance rent is rent paid ahead at signing: it pays for the first months, so it is part of the total, only paid early. Listings often call the deposit the advance, so read the agreement for which is which.
The law
What the rent laws say about increases
The tenancy agreement sets the rent and how it rises, within the rent law of the province the property is in. What follows is what each law says, read from its text in September 2026. It is a summary, not legal advice: read your own agreement, and take a lawyer's advice before you rely on a rule, above all in a dispute.
Punjab, Punjab Rented Premises Act 2009. A landlord may let only by a written tenancy agreement, presented to the Rent Registrar (section 5). The agreement should state the rent, the rate of increase, the due date, and any advance rent, security or pagri (section 6(1)). The Act sets no default increase and no ceiling. Where a fixed term sets the rent for only part of it, the rent stays the same for the whole term unless the agreement says otherwise (section 6(2)). With no date agreed, rent is due by the 10th of the following month (section 7). The Rent Tribunal hears a tenancy that does not follow the Act only once a fine is paid: 5% of a year's rent from a tenant, 10% from a landlord (section 9).
Sindh, Sindh Rented Premises Ordinance 1979. The landlord may not charge more than the agreed rent, or than the fair rent once the Rent Controller has fixed one (section 7). Either side may ask the Controller to fix a fair rent, worked out from rents of similar premises nearby, building costs, new taxes and the property tax value (section 8). A fair rent may not be raised for 3 years after it is fixed, and an increase may not in any case exceed 10% a year on the existing rent (section 9). The agreement must be in writing and, where it need not be registered, attested by the Controller, a Civil Judge or a First Class Magistrate (section 5). Rent is due by the 10th of the following month unless another date is agreed (section 10).
Islamabad, Islamabad Rent Restriction Ordinance 2001, as amended by the Islamabad Rent Restriction (Amendment) Act 2021. The agreement must be in writing and presented to the Rent Controller within 30 days of signing (section 5), and payments go by crossed cheque or against a receipt (section 8). If the written agreement says nothing about an increase, the rent of a house or a shop rises automatically by 10% of the rent being paid at the end of every year of the tenancy (section 10). The landlord and tenant may agree in writing on a different increase, or none.
Khyber Pakhtunkhwa, the Urban Rent Restriction Ordinance 1959, as it applies in Khyber Pakhtunkhwa. Once the rent has been set, by the agreement or by the Controller as a fair rent, no further increase is allowed for 3 years during the tenancy, except where the landlord has added to or improved the building at his own expense at the tenant's request (section 5). A fair rent the Controller fixes may not raise the rent by more than 25% (section 4). Once a fair rent is fixed, the landlord may take no premium and no more than one month's rent in advance (section 6), and no landlord may charge a fine or premium for granting or renewing a tenancy (section 7).
Balochistan and the cantonments have rent laws of their own, which this page does not cover.
Terms
Words in a rent agreement
- Tenancy agreement
- The written rent agreement, or kirayanama, between landlord and tenant: the rent, the increase, the term, the deposit and who pays for what. Punjab and Islamabad require it to be in writing and presented to the Rent Registrar or Rent Controller.
- Security deposit
- Money the landlord holds against unpaid rent, bills or damage, returned when the tenant leaves less whatever the agreement lets him keep. Usually given in months of rent.
- Advance rent
- Rent paid ahead at signing, which pays for the first months of the agreement. It is part of the rent, only paid early.
- Pagri
- A lump sum a landlord takes for granting or renewing a tenancy, on top of the rent and not returned. Punjab's Act counts as pagri any such amount other than advance rent or security; Khyber Pakhtunkhwa's law bars a fine or premium for granting or renewing a tenancy.
- Fair rent
- The rent a Rent Controller fixes on the landlord's or the tenant's application, from the rents of similar premises nearby, building costs and taxes. Sindh's and Khyber Pakhtunkhwa's laws provide for it.
- Rent Controller and Rent Tribunal
- The courts for landlord and tenant cases: a Rent Tribunal in Punjab, a Rent Controller in Sindh, Islamabad and Khyber Pakhtunkhwa.
Questions
Rent increase questions
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+92 333 2466662Chat on WhatsAppHow do I calculate a 10% rent increase?
Multiply the rent by 1.10. Rs 50,000 a month becomes Rs 55,000: Rs 5,000 more a month, Rs 60,000 more a year. The next 10% is usually worked on the new rent, making Rs 60,500 in the third year, and after five rises the rent is Rs 80,526, 61% more than it started. If the agreement says 10% of the first rent, each rise adds the same Rs 5,000 and five rises make Rs 75,000.
How much rent will I pay over the agreement with a 10% yearly increase?
At Rs 50,000 a month rising 10% a year, three years cost Rs 1,986,000 (19.86 lakh) against Rs 1,800,000 at a flat rent, and five years Rs 3,663,060 (36.63 lakh) against Rs 3,000,000. Over five years the increases add Rs 663,060 (6.63 lakh), and the rent in the fifth year is Rs 73,205 a month. Put your own rent and term in the calculator for the year by year figures.
Is there a legal limit on rent increases in Pakistan?
It depends on the province. Punjab's Act leaves the increase to the agreement and sets no ceiling. In Sindh an increase may not exceed 10% a year on the existing rent, and a fair rent fixed by the Rent Controller stands for 3 years (section 9). Islamabad's law adds 10% a year only when the written agreement says nothing (section 10). Khyber Pakhtunkhwa's law allows no further increase within 3 years of the agreement, except for improvements the landlord makes at the tenant's request (section 5). Take a lawyer's advice on how these apply to your own agreement.
What happens if the rent agreement does not mention an increase?
In Islamabad the rent rises by 10% of the rent being paid at the end of each year of the tenancy (section 10). In Punjab, where a fixed term sets the rent for only part of it, the same rent runs for the whole term (section 6(2)). In Sindh the landlord cannot charge more than the agreed rent, though either side can ask the Rent Controller to fix a fair rent (sections 7 and 8), and in Khyber Pakhtunkhwa the rent cannot be raised for 3 years from the agreement (section 5).
How much security deposit can a landlord ask for?
Many agreements ask for two or three months' rent: Rs 100,000 to Rs 150,000 on a rent of Rs 50,000. The Punjab and Sindh laws set no limit; Punjab's Act asks only that the agreement state any advance rent, security or pagri (section 6). In Khyber Pakhtunkhwa, once the Rent Controller has fixed a fair rent, the landlord may take no more than one month's rent in advance (section 6). The deposit comes back when you leave, less what the agreement lets the landlord keep for unpaid rent, bills or damage, so get a receipt for it.
What is the difference between security deposit and advance rent?
The deposit is held against unpaid rent, bills or damage and returned at the end. Advance rent is rent paid ahead, which pays for the first months. On the example, a 2-month deposit of Rs 100,000 and 1 month's advance of Rs 50,000 make Rs 150,000 due at signing, and only the Rs 50,000 counts towards the rent. Listings that say "2 months advance" often mean the deposit, so check the agreement.
Does a rent agreement have to be registered?
In Punjab the landlord must present the agreement to the Rent Registrar (section 5), and the Rent Tribunal hears a tenancy that does not follow the Act only after a fine of 5% of a year's rent from a tenant or 10% from a landlord (section 9): on Rs 50,000 a month, Rs 30,000 or Rs 60,000. In Islamabad it goes to the Rent Controller within 30 days of signing (section 5). In Sindh an agreement that need not be registered is attested by the Controller, a Civil Judge or a First Class Magistrate (section 5). The Punjab and Islamabad laws add that this does not replace registration under the law on registering documents.
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