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Rent Increase - What is legal? 

ForumUser
ForumUser
Posts: 492


Posted On: 10/18/2016
ForumUser
ForumUser
Posts: 492
Hi,

I am currently renting a detached home within the city of Toronto, and my landlord has decided to increase the rates.

I would like to inquiry legally at what rate they are entitled to make the increase.

Thank you.
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Moderator
Moderator
Moderator
Posts: 2302


Posted On: 10/18/2016
Moderator
Moderator
Moderator
Posts: 2302
Hello,

Thank you for sharing your situation and question with us.

We can appreciate that you would be concerned about this situation.

The guideline for 2016, the limit is 2.0%.

In terms of increasing the rent, there are some exceptions.

You can find some detailed information on rent increases in our Settlement.Org How often can a landlord increase the rent? article.

Here is an excerpt,

It is important to note that the rent control guideline does not apply to new rental buildings. A new rental building is a building that was occupied as a residential unit for the first time starting November 1991; like a new apartment or condo building or a converted factory that is now an apartment building.


You can find some more information on the Community Legal Education Ontario (CLEO) website.

Here is an excerpt,

Exceptions

The guideline does not apply to some newer rental housing, for example:

-a unit that was never occupied for any purpose before June 17, 1998, or
-a building that had no one living in it before November 1, 1991.

In these units, there is no limit to how much a landlord can increase the rent. But the 12-month and 90-day rules still apply.


As stated, in these units, there is no limit to how much a landlord can increase the rent.

You may want to contact the nearest Community Legal Clinic if you have any additional questions or concerns.

I hope this information is helpful. Please let us know if you have further questions and if there is any follow up to your question/situation.

=====
Anna
Settlement.Org Content and Information/Referral Specialist, CIRS
Settlement.Org
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Moderator
Moderator
Moderator
Posts: 2302


Posted On: 9/22/2017
Moderator
Moderator
Moderator
Posts: 2302
Hello,

We wanted to update this post.

Under the new Rental Fairness Act, any rent increases given to tenants since April 20, 2017 must meet the annual rent increase guideline.

Buildings constructed after November 1, 1991 are no longer excluded from this rule. Read more about the recent changes to rental guidelines by the Ontario Ministry of Housing.

I hope this information is helpful. Please let us know if you have further questions and if there is any follow up to your question/situation.


=====
Anna
Settlement.Org Content and Information/Referral Specialist, CIRS
Settlement.Org
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