Archive for the ‘Rent’ Category

Rent Increase Guideline 2019 – Ontario Landlords Can Raise the Rent 1.8%

Friday, July 6th, 2018

ontario landlords assocation rent increase guideline 2019

How Much Can Ontario Landlords Raise the Rent in 2019? It’s 1.8%

To Ontario Landlords Association and Members: 

The Rent Increase Guideline for 2019 is 1.8%. This is for increases between January 1st, 2019 and December 31, 2019.

This guideline applies to most private residential units covered under the Ontario Residential Tenancies Act. Rent can be increased for most cases (i) twelve months after the last rent increase (ii) a tenant first moves in. 

Please notify your province wide landlord community.

Ontario Landlords, Does A Maximum Rent Increase of 1.8% Cover Your Costs?

Many landlords continue to tell us about their ever rising costs and how hard it is to cash-flow these days. Whether its fees, taxes, maintenance costs, paying for painting and other things to keep your rental nice to keep your tenants, the reality is things are getting more expensive in Ontario. Everything else seem to keep going up by a large amount, except rents!

We Need A Better Way To Be Able To Increase Rents to Make Our Businesses Profitable (or at least keep up with rising costs)

The 2019 rent increase guideline is a continuation of the 2018 guideline.  We have a new government in charge and we need a new way to make sure good landlords can continue to run our rental businesses.

A rent guideline of 1.8% just isn’t reasonable if we want more people to invest in rental properties and if we want current landlords to be able to do what is needed to maintain and improve the current rental stock. It’s also more difficult to raise the rent above the guideline even if you have rising costs.

Are You Going To Raise the Rent in 2019?

If you have current tenants the rent increase guideline means you can only raise the rent by 1.8% with proper notice. We need your help to improve the way good landlords can do business in Ontario.

Let’s improve the Ontario rental system to help both good landlords and good tenants. With a new business friendly government that is open to new solutions make sure you let us know what your ideas are to improve the way rent increase are handled.

We Need To Support Ontario Landlords!

By protecting current landlords and encouraging more people to invest in rental housing we will protect the current supply and have a lot of new supply that will give Ontario tenants more options and better landlords.

Slamming small landlords and not protecting us as business people hasn’t worked in the past. In fact, it was a dismal failure with many landlords selling even within one or two years!  We need new ideas and new methods to make Ontario rentals great again. Let’s get it done!

Critique My Plan To Not Pay Rent for 8 Months (Part 1)

Monday, July 2nd, 2018

ola stop paying rent

As part of our “Let’s Improve the Ontario Rental Industry” we have invited landlords and tenants to share their opinions on how we can make these improvements. These opinions are from individual contributors and are not the opinions of the Ontario Landlords Association. We believe by fostering communication between landlords and tenants we can improve the Ontario rental industry.  Landlords and tenants can share your thoughts and opinions by emailing us at landlordtenantsolutions@groupmail.com

Critique My Plan Not To Pay Rent For 8 Months

I asked that my situation be posted to help other victimized tenants who find ourselves paying so much money to landlords.

We cannot afford to get out the viscous circle of working hard just to have a place to live and the landlord is taking so much money from us. It is like a drug dealer making money of people who need drugs because they are addicted.

Tenants in Ontario have almost no one to help us and the vacancy rates are so low and rents are so high we need to work together and help each other.

While landlords can use our rent money to hire lawyers and have all the politicians in their pockets tenants need to stop fighting and finally create a unified voice to stop being exploited.

I’m Not Moving

Where I live is like a home to me and really comfy and convenient. My boss lives near here and can pick me up to go to work and take me home which is a huge bonus. So no way do I want to move, but am just short of money due to unforeseen consequences which are not my fault.

I will move in January 2019 because after some time trying to make money it’s back to school for me and here are no half-decent unis here. Education is expensive and paying for a place to live means money. Add in books, clothes, money for nightlife and any money to be saved will mean a jump start for my future and my life enjoyment.

After lots of study here is what is on the table:

JUNE 1

1. On June 1st I just don’t do the normal e-transfer to my landlord.

2. If the landlord calls me I need to answer as part of my way to delay everything. So I’m going to make an excuse.

This is what my script is so far (suggestions welcomed!):

“Oh geez I’m so sorry about this. You know me and how we get along and I want to stay here a long time. It’s just that my work screwed up the system and I didn’t get my salary this week like I always do! It’s crazy now with so many computer screw ups and I’m mad as hell about it. The good thing is my boss said the money will be arriving in my bank account soon.

The only reason I didn’t call you yesterday is because the money should be in my account now! I’m sorry about it and the money will be coming soon. How’s your summer going? I’m going to clean up the lawn and plant some flowers if you don’t mind (bullshit, bullshit, bullshit to throw her off the scent!)”

3. I try to delay this as long as possible and think I can string her along until the 3rd week because I know she doesn’t want me to move and have to spend the time and energy of finding someone else to take his place. She knows she would lose at least a month or two trying to fill it.

And she won’t want to pay to clean it up because the place is a bit weedy if you know what I mean because some of my friends and I light it up on the week-ends and smoke a few joints.

4. I call and say “good news I’m getting double pay on July 1 so you will get two months of rent. I’m sorry about this (blah, blah, blah). So June uses my last months rent I paid and now the rest is gravy.

JULY

5. I don’t send the e-transfer again with the landlord expecting 2 months of rent. Best move (I think) is to continue to delay.

But I’m sure she will eventually give me the N-4 form to pay or leave. So let’s say I get that on July 2nd. The N-4 gives me 14 days to pay and there is nothing the landlord can do about it.

Now we are at July 17.

The landlord will have to file an L1 to take me to the Landlord and Tenant Board. I called the LTB and found that these eviction trial dates take at least 6 weeks to be held. So that would lead me to around September 3rd to 10th.

STATUS REPORT:

-Last month rent I paid when I moved in used for June

-No rent payment needed for July

-No rent payment needed for August

-No rent payment needed for September

This means the landlord doesn’t have any of my hard earned money and there was no need to pay for July/August/September rent.

LTB EVICTION TRIAL STRATEGY

I read here and now realize tenants HAVE TO ATTEND to defend ourselves. If not we could get an unfair decision.

I also read we can get a free lawyer at the LTB at the day of the eviction trial. We just need to go a bit early and wait for the free tenant lawyers or paralegals to call out they are seeing people and will represent us against the landlords. 

The best way to avoid getting kicked out is to create some maintenance claims because under the law landlords are responsible for all maintenance and repairs and my enjoyment of the property:

“The reason I didn’t pay rent is because the landlord refused to fix things and it has made my life a nightmare, especially as a young person who is struggling with perilous employment and health issues.”

The strategy is to get my girlfriend who is living here with me to act as a witness and we are going to have documentation:

-the toilet doesn’t flush so we can’t even use the bathroom

-it’s so hot and the bedroom windows don’t open all the way and i makes it even difficult to sleep

-there are ants on the patio and they keep coming in and the landlord won’t do anything about it

-etc.

Remember that one tenant on the forum told me “no house is perfect” so this will void the Eviction trial and the landlord will have to fix things and I will give them one month to do it, so that will cover October rent and I will agree to pay once the repairs are done. 

OCTOBER

I won’t pay rent and will file with the LTB and tell them the landlord didn’t make the repairs up to my satisfaction and will have my girlfriend as a witness.

I will give the landlord 30 more days and demand she brings EVERY person she hired to testify in person at the LTB (good luck with that) and also demand that if any of them are not licensed and insured I don’t feel same in my home.

NOVEMBER

I’m sure the landlord will file for eviction and I will counter with a tenant rights complaint about more needed repairs in the apartment. This should give me at least another six weeks.

JANUARY 2019

At this point they will probably try to get the sheriff or whatever it is to evict me but I read here that is also very slow and can takes week. Anyways I don’t really give a sh*t because I’ll be leaving at the end of the month to go to school.

STATUS REPORT:

-Last month rent was used for June

-No rent payment needed for July

-No rent payment needed for August

-No rent payment needed for September

-No rent payment needed for October

-No rent payment need for November

-No rent payment needed for December

-No rent payment needed for January

CONCLUSION

Pretty sure this will work and only me a couple days at the LTB. Hoping others experienced with this will chime in to help me perfect my strategy.

I will eventually pay my landlord once I get a secure white collar position but right now it’s all about my survival and MY FUTURE! I will follow up on how things are going and will continue to take a stand for tenant rights in Ontario!

How Much Can You Raise the Rent For New Buildings?

Friday, February 21st, 2014

February 22nd, 2014

Ontario landlords raise the rent new buildings

Landlords Ask: How Much Can I Raise the Rent for New Condos, Townhouses, Houses and Buildings in 2014?

We informed Ontario landlords about the 2014 rent increase guideline back in June.

Lots of Ontario landlords were unhappy when they read the report and learned the Ontario government set the 2014 Rent Increase Guideline at only 0.8%.

The news led to even more frustration and even anger when an Ontario Landlords Association member was interviewed about the meager increase in the Toronto Sun newspaper.

The OLA member explained how the increase hurt small landlords and our ability to provide well maintained rental properties for our tenants.

Landlords can only raise the rent by 0.8% for current tenants in Ontario and many landlords feel it’s simply too low and doesn’t take into account the real rising expenses residential landlords face.

After all  Alberta landlords don’t have any rent increase guideline.

And British Columbia landlords area allowed to raise the rent by the rate of inflation PLUS 2 % to account for the special costs landlords knows we face.

The ridiculously low guideline has led some Ottawa landlords to want to leave the residential rental industry completely and move to commercial rental properties where there is more freedom to run run your rental business like a real business.

Are You Exempt from the 2014 Rent Increase Guideline?

We have received thousands of emails from landlords asking us to help clarify the Rent Increase Guideline for them.

Here’s A Common Question from a New Landlord On the Ontario Landlord Forum:

Excellent forum and thank you for all the good advice and posts here.

I bought a townhouse property which was newly built in 2013 and rented since Spring 2013.

My taxes are higher than expected and when I first took possession from the builder I forgot there was a fee for the road which is considered un-assumed and I have to pay a pretty big monthly fee to the builder to maintain it.

I currently rent the property for $1600/month and would like to raise the rent to take account for my increased costs.

I read that the 2014 rent increase is only 0.8% 

0.8% won’t cover my costs and I think I might be exempt from the because the property is only a year old. Can someone with experience explain how this works because I want to make sure I do it right.

You May Be Exempt From the Ontario Rent Increase Guideline

The annual guideline applies to most rental properties in Ontario. 

However, it you need to know it doesn’t cover all of them.

The Residential Tenancies Act has Section 6 (2) which lists where a landlord can raise the rent above the rent increase guideline.

It’s important you look at this carefully.

The Residential Tenancy Act and the rent increase guideline doesn’t apply to landlords if you meet the following criteria:

The provisions of the RTA that deal with the maximum amount by which rents can be increased do not apply with respect to a rental unit if:

1.         It was not occupied for any purpose before June 17, 1998

– meaning it is either in a new building (often a condominium building) built since 1998, or an older building with a new unit or never occupied, residentially or otherwise, before June 17, 1998;

2.         It is a rental unit no part of which has been previously rented since July  

            29, 1975

– meaning only the owner has used or occupied the unit since 1975; or

3.         No part of the building, mobile home park or land lease community was

            occupied for residential purposes before November 1, 1991

– meaning the building was probably commercially used before 1991 and then was converted to residential use.

Landlords Ask: If I Qualify For the Above What’s Next?

If any of the the above situations describe your situation, an N2 rent increase form can be given when increasing the rent by any amount.  

In most other situations (unless the rent increase is by agreement of both parties) an N1 form should be given to increase rent only by the guideline. 

Landlords are required to provide 90 days written notice when increasing the rent using either the N1 or N2 form.

You can find these forms here: http://www.ltb.gov.on.ca/en/Forms/STEL02_111311.html

Some Groups Want To End This Important Rule for New Landlords

The NDP and Some Left Wing Toronto Councillors aren’t happy with rent increase exemptions, calling it a ‘loophole.’

Some claim it’s unfair and leads to some tenants being “hammered” by huge rent increases.

Others claim it leaves some renters vulnerable to large rent increases.

We will discuss this in future posts.

Ontario Landlords and Raising the Rent

Landlords make sure you are aware of the rules.

The rent increase guideline exemption is designed to encourage investment in new rental properties and it exists for you to use it.

Ontario Landlords, make sure you are aware of the rules and do proper tenant screening to find great tenants, cover your costs, make profits and have a successful rental business.