Inflation Clause Calculator

What is an inflation clause

An inflation clause is a contractual provision that allows the landlord to adjust the rent once a year by the rate of inflation. The consumer price index published by the Czech Statistical Office is typically used.

Without an inflation clause, the real value of rent decreases every year. At 3.5% inflation over 10 years, rent loses approximately 30% of its real value.

An inflation clause is a standard part of professional lease agreements and is entirely legal. The landlord is required to notify the tenant in writing of any rent adjustment.

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