Rental contracts in Ecuador

What to consider before you sign

Rental contracts in Ecuador

Many expats moving to South America assume they will have few rights when renting a property, leaving them at the mercy of their landlord. In fact, rental law in Ecuador is very much inclined towards benefiting the tenant.

The Ley del Inquilinato (Tenancy Law) contains many clauses which protect tenants and explicitly states that repairs and maintenance are the responsibility of the landlord. There’s also a maximum amount by which your landlord can raise the rent annually. This amount differs between municipalities, so check it when you move in. By law the renter has to apply to a judge with full justification in order to even be considered for a rent increase and automatic annual increases are prohibited. You can view the the full wording of the law here .

Once you sign a contract, it needs to be fully notarised by registering with the municipality. If the landlord decides to evict you, he must give you at least three month’s notice. If you decide to leave before the contract has come to an end, you’re only obligated to give the landlord one month’s notice.

Most contracts tend to last a year, but you can request a two year contract if you like. If you’re new to Ecuador however, it’s worth sticking with a one year contract to give yourself more flexibility. The advantage of going for a two year contract is that your landlord isn’t allowed to apply for a rent increase within this time. If you’re sure you’ve found the right place for you, push for a longer lease as it could save you money. Remember that you’ll also be asked to pay a deposit - often the equivalent of a months rent - which you should receive back when you leave the property.

Further reading

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