January 1st, 2013
Ontario Landlords Can Raise the Rent 2.5% in 2013
It’s a question landlords all over Ontario are asking.
In Ontario, landlords can raise rent every year by a certain percentage that the provincial government allows.
In past years, this percentage was based on the Computer Price Index (CPI) which is a measure of inflation.For example in 2012 the allowable increase was 3.1%
According to the Rent Increase Guideline published on the Landlord and Tenant Board Website, the CPI is a reliable and objective way to measure inflation, see a broad picture of changes in the price of goods and services in Ontario, and a sound way to set the annual rent increase.
Except for 2013, the Ontario Liberal Government threw out everything they’ve been saying about rent increases for the past nine years.
In June 2012, the government decide to put forward the Resident Tenancies Amendment Act to cap the maximum amount Ontario landlords can increase the rent for tenants occupying our rental properties.
The Liberal government stated this will create stable rents for tenants while landlords will still get a “fair return” to maintain high quality rentals. Therefore it looks like they are admitting setting the rental increase guideline based on the CPI was bad policy on their part…or political catering to tenant voters during an election year is how rental policy is truly handled in Ontario.
This means that despite inflation, higher taxes, higher costs and higher bills landlords can only raise the rent by 2.5% in 2013.
You cannot simply tell your tenants you are going to raise the rent. There are rules and procedures you must follow.
Rules For Raising the Rent
1. The 12 Month Rule
Landlords must wait at least 12 months after tenants move in before increasing the rent.
2. The 12 Month Rule Part II
All future increases must be 12 months apart from the last increase.
3. Proper Notice
Landlords must also provide tenants with written notice 90 days before the rent goes up.
4. Use the Notice of Rent Increase Form
The Landlord and Tenant Board website has a form N1 you can use to give notice about a rent increase.
Despite replying on the CPI Index to set the annual rent guideline in the past, and landlords facing higher costs in 2013 rents are capped at only 2.5%. Another reason to make sure you raise the rent in 2013 and make sure you find great tenants
Tags: Landlord and Tenant Board, legal
Why don’t these Liberals watch their own expenses instead of capping ours.
[...] In Ontario the 2013 allowable rent increase is capped at 2.5% [...]
How about letting me raise enough to cover all the damages my last renters left behind?
We are running businesses.
I tried to post a link to this site on twitter but got a message saying spammy or unsafe content.
Just so you know.
[...] unclear. Landlords can apply for Above the Guideline Increase. However, as what is happening in Ontario shows this can be nearly impossible to achieve after following the bureaucratic [...]
[...] Saskatchewan system is different than provinces like Ontario where the rent increase guideline is capped at 2.5% for 2013 and British Columbia where the rent increase guideline is 3.8 in [...]
[...] In Ontario landlords can raise the rent by 2.5% in 2013. [...]
[...] Barrie Ontario and Barrie [...]
[...] Ottawa Ontario and Ontario Rent Increase Guideline [...]
[...] Ontario Rent Increase Guideline 2013 and Ontario Rent Increase Guideline [...]
[...] Barrie Ontario and Ottawa [...]
[...] * Ontario landlords can raise the rent by only 2.5% [...]
I live at 374 Rimmington Drive in Oakville,ON
My Landlord raise my rent about 4.9%
Please advise me how much percent he can raise my rent for 2013.
Thanks,
Marcia Hall
email:mammie156@hotmail.ca
My landlord wants to double the rent is it right to do so i have been tenant here since 1993 my landlord increase rs 100 3 years before my rent is now 280
What can you do to a tenant that has a 1 year lease and you would need the appartment for a caregiver. Actually it’s a duplex