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Renting · 6 min read

Renting in Paraguay: who pays for what and how to protect yourself

Paraguay has no specific rental law: the Civil Code applies and, above all, what the lease says. What you need to know, whether you are the owner or the tenant.

The lease rules

There is no specific law for residential rentals. The general lease rules of the Civil Code apply, and almost everything depends on what is agreed. That’s why the lease should be in writing and state, at a minimum:

  • Who the parties are, the property, the term and the start date.
  • The rent, how it is paid and how it is adjusted (for example, once a year according to the CPI).
  • The deposit (usually one month’s rent) and when it is returned.
  • Who takes care of maintenance and each type of repair.
  • How it is renewed or terminated, and with how much notice.

Repairs: who pays for what

The owner must keep the property fit to live in: structural repairs, main pipes and serious electrical faults are their responsibility. The tenant is responsible for damage they cause and for minor wear from daily use.

If the owner doesn’t carry out a repair that is theirs, the tenant can’t simply stop paying the whole rent: they must give written notice and, if there is no response, may withhold the part equivalent to the cost of the repair (article 822).

Photos on handover day

The typical clause “I receive the property in perfect condition” works against the tenant (article 811). The solution is simple: an inventory with dated photos before signing the handover record. It helps both sides.

Increases, late payments and the end of the lease

  • Increases: there is no legal cap. The rent only goes up if the lease provides for it or if both parties agree in writing.
  • Late payments: with two months overdue, the owner can ask for the lease to be terminated (article 837). They can never cut services or enter on their own: eviction goes through the courts.
  • Expiry: renewal isn’t automatic. If the tenant stays and nobody objects, the lease continues month to month (article 843).
  • Sale of the property: the new owner must respect the lease if it is registered in the Public Registry (article 810).

General information based on the Paraguayan Civil Code. For a specific case, consult a lawyer.

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