All Landlord Guides·Hong Kong landlords
Rent Change on a Two-Year Lease: the spreadsheet problem most HK landlords hit
Hong Kong residential leases are typically two years. When rent is reviewed mid-lease or at renewal, the change is a clean break in the cashflow — the old amount stops, the new amount starts.
Most landlords only update the monthly rent figure and leave the history messy. This guide is for residential landlords who want the next rent review dated properly, so This Month and Normalised Monthly still describe the flat.
The two-year lease problem
A two-year tenancy does not mean the rent is fixed for twenty-four identical months. Mid-lease reviews are common. Renewals reset the amount even when the same tenant stays. In both cases the cashflow does not slope — it steps.
Overwriting $28,000 with $30,000 in a single cell looks tidy. It hides the break. You can no longer see what the flat earned before the change, or the date the new rent actually began. The year then reads as if the new figure had always been there.
The modelling job is small: end one amount, start the next, keep both. Spreadsheets make that job easy to skip.
Why spreadsheets fail here
The usual mistake is not a bad formula. It is treating a rent change as an edit instead of a dated event.
Overlapping old and new rent amounts
Both figures sit in the same months. Income is double-counted, or you cannot tell which amount was actually due.
No clear end date for the previous amount
Overwriting the monthly rent cell erases when the old amount stopped. You are left with a note in a chat thread, or nothing.
Broken “current rent” view
There is no single trusted figure for what the tenant pays now. Last year’s rate, the reviewed rate, and a mid-month blend all compete.
Hard to see the true run-rate after the change
This Month may still include the old amount, or Normalised Monthly averages both rates into a figure that matches neither lease. The usual month then describes a rent nobody is paying.
The correct way to model a rent change
End the old amount cleanly on a specific date, then start the new amount from a clear start date. Keep the history intact so both This Month and Normalised Monthly stay accurate.
End the old amount on a specific date
The current rent has a last day it still applies — often the day before the review or the last occurrence at the old figure. That date is part of the record, not a comment.
Start the new amount from a clear start date
The new rent begins on a date, not “from this month” in a header. Mid-lease reviews and two-year renewals both need that start date written down.
Keep the history intact
Do not delete or overwrite the old line. Months before the change stay at the previous rent; months after stay at the new rent. That is what keeps This Month and Normalised Monthly honest.
The change month may show one receipt at the old rate and one at the new rate. That is the calendar telling the truth. The usual month after the change should follow the new amount only. For why those two figures must stay separate, see This Month vs the usual month.
How Cashflow Positive handles it
In Cashflow Positive, a rent review is a three-step Rent Change wizard — not an overwrite of the existing rental income line.
1. How long the current amount still applies
Set the last date the current rent still applies — switch now, after the next date, or on a date you choose. Occurrences on or before that date keep the old amount.
2. New amount
Enter the reviewed or renewed rent. An increase and a decrease are the same modelling problem: a new figure with its own start date.
3. New amount start date
The new rent must start after the current amount ends. The wizard shows a short summary before you save, so the break is visible instead of buried in rows.
Saving ends the current line and starts a linked successor. The old amount stays in the history. This Month uses whichever amount applies in that calendar month. Normalised Monthly follows the ongoing rent — the new run-rate — once the change is in place.
A new tenant is a different event (agency, stamp, first rent). For that start-of-lease window, see new tenancy cashflow.
Practical checklist for Hong Kong landlords
Treat the change as a clean break
Whether this is a mid-lease review or a two-year renewal, stop the old amount and start the new one. Do not overwrite the monthly figure.
Write down the last date the current rent still applies
That date is what prevents overlap. If you cannot name it, the sheet will keep both amounts alive.
Write down the new amount and the date it starts
The start date must follow the old amount’s end. A gap is a vacancy or rent-free question; an overlap is a broken book.
Leave the old line in the history
You still need what the flat earned before the review. History is how the year stays readable.
Check This Month and Normalised Monthly after you save
The change month may include one occurrence at each rate. After that, the usual month should reflect the new run-rate — not a blend of old and new.
FAQ
Why is a rent change on a two-year Hong Kong lease a cashflow problem?
The new rent is a clean break, not a small edit. Mid-lease reviews and renewals stop one amount and start another. If you only overwrite the monthly figure, you lose when the old rent ended, and This Month and Normalised Monthly no longer agree with the lease.
Why do spreadsheets get rent changes wrong?
Old and new amounts often overlap in the same months, the previous amount has no clear end date, there is no trusted current-rent view, and the run-rate after the change is hard to read. The usual failure is overwriting a cell instead of dating both amounts.
How should Hong Kong landlords model a rent increase or decrease?
End the old amount on a specific date, then start the new amount from a clear start date. Keep both lines in the history. Months before the change stay at the old rent; months after stay at the new rent. That keeps This Month and Normalised Monthly accurate.
What does the Rent Change wizard ask?
Three things: how long the current amount still applies, the new amount, and the date the new amount starts. The old line is ended and linked; a successor line starts. History stays intact.
Handle the next rent review without breaking the numbers
Start free — 1 property. Record the next mid-lease review or two-year renewal as a clean break: end the current amount, start the new one, and leave the history in place so This Month and Normalised Monthly stay readable.
Related reading: This Month vs the usual month, new tenancy cashflow, cashflow categories, and the full Landlord Guides list.
Educational only — not financial or tax advice.
Start free — 1 property
Record the next rent review as a dated break on one Hong Kong residential flat — without overwriting history or blending two rents into one run-rate.