Is your rental property flooded? Here’s what to discuss with your landlord

Can you pre-terminate your lease?

Property lawyer Atty. Francis Raul Dayo said a tenant may end the lease without penalty when flooding makes the rental “unsafe or uninhabitable.” He cited Article 1660 of the Civil Code, which allows immediate termination through a notice if the property poses an imminent, serious danger to life or health.

This right applies even if the tenant knew about the danger beforehand or signed a waiver, provided the condition was not caused by their own negligence. He added that they should promptly notify the landlord in writing and document the condition of the property.

Atty. Carlo Saplan similarly noted that the condition of the rental is key in determining whether a tenant can end their lease early.

“The important thing here is that the property must actually be unsafe to live in, and not simply inconvenient,” he told PhilSTAR L!fe.

For instance, serious flood damage, exposed electrical wires, or sewage contamination may make a property unsafe enough to justify ending the lease.

“If the flooding is minor and the property can still be safely occupied, then this rule may not necessarily apply,” Saplan added.

Saplan also pointed to Article 1655, noting that total destruction of the property automatically ends the lease. However, "if only part of the property is damaged, the tenant may choose to have the rent reduced or end the lease."

In cases where flooding merely requires urgent repairs, Dayo said that the tenant “generally must tolerate the repairs.” However, if repairs last over 40 days or render the dwelling unlivable, the tenant may rescind the lease or reduce rent.

Who pays for the repairs?

If you choose to stay, you won't have to worry about footing the bill for repairs as these are ordinarily the lessor's responsibility. Saplan explained that landlords must make necessary repairs to keep the property fit for use, unless the contract states otherwise.

This doesn't mean tenants are off the hook, though, as tenants remain responsible if the damage stemmed from their own negligence.

Dayo added that tenants are not liable for natural calamities if they were not negligent, though lease contracts can validly adjust repair obligations.

“If the monsoon flooding was a natural calamity and the lessee was not negligent, the lessee is generally not responsible for the resulting deterioration or loss,” he said. “However, the lease contract may validly allocate repair obligations differently, subject to law and public policy.”

Real estate broker Leth Rosario noted that landlords are “typically responsible for fixing structural damage, electrical systems, plumbing, and restoring the property to a habitable condition.”

“Tenants usually handle their own damaged personal belongings unless the flood was caused by landlord negligence, like a known, unfixed plumbing or roof leak,” she said.

Can the rent be suspended?

Rosario recommended halting rent collection or providing a pro-rata refund for days the unit was unusable. A pro-rata refund is a partial refund of the rent already paid based on the number of days the tenant was unable to use the property.

Legally, Dayo highlighted Article 1658, wherein a lessee may suspend rent if the lessor “fails to make necessary repairs or to maintain the lessee in peaceful and adequate enjoyment of the premises.” To do this, tenants must give written notice detailing the damage and repairs needed.

"The lessee should also preserve evidence, such as photographs, inspection reports, repair requests, receipts, and proof of delivery of the notice,” Dayo said.

Both lawyers warn tenants never to stop paying rent without written notice and documentation, as exact lease terms and property conditions still apply.

"I would still advise the tenant not to simply stop paying rent without first notifying the landlord in writing, because the exact condition of the property and the terms of the lease still have to be considered," Saplan said.

What to look out for when renting a property

Before signing a lease, a little research can go a long way in helping renters avoid unexpected problems down the road.

Rosario advised looking for signs of past flooding in the property before signing a lease: water stains on lower walls, peeling baseboards, damp or musty odors in enclosed spaces, or rust on ground-level metal fixtures. 

She said to observe the street slope and nearby open canals or rivers, or if there are flood level warnings on nearby posts.

"If the property sits lower than the surrounding road or acts as a natural basin, runoff will pool during heavy rains," she said, adding to also interview residents or shop owners nearby about the neighborhood's drainage performance.

"They will provide a more honest assessment,” Rosario said.

But checking the neighborhood is only one part of the equation. Renters should also pay close attention to what they're actually agreeing to in the lease. Saplan recommended checking beyond the monthly rent and check provisions covering repairs, damages, deposits, early termination, and disaster scenarios.

“It is also important to take pictures and videos of the property before moving in and keep a copy of them,” he said. This can be particularly important if the rental already has damages.

“So, if there are already leaks, cracks, water damage, or other problems, have them listed in the lease or at least acknowledged by the landlord,” Saplan said said.

Dayo likewise stressed having a clear written agreement that spells out flood repair duties and rent suspension rules.

“The lease may validly stipulate that the lessor must repair damage caused by monsoon rains, floods, or similar events, and may also regulate whether the lessee may suspend rent while repairs are being made. However, the stipulation must be clear and must not contravene mandatory law or public policy,” he said.