July 29, 2011
At long last the Ontario 2012 Rent Increase Guideline has been released!
Ontario’s annual Rent Increase Guideline is based on the Ontario Consumer Price Index (CPI), which is a measure of inflation calculated monthly by Statistics Canada.
Last year, the 0.7% Rent Increase Guideline was released with great fanfare from the government in June. Landlords and property managers across Ontario have been waiting for the latest Guideline (with many wondering the reasons for the delay).
This year, the rate of allowable rent increases for 2012 will be 3.1 per cent.
The guideline is the maximum amount that most landlords can increase a tenant’s rent during the year without making an application to the Landlord and Tenant Board.
The 2012 guideline applies to rent increases between January 1 and December 31, 2012.
The Ontario government states the average yearly increase from 2004-2011 was 1.89 per cent. The average yearly increase from 1993 – 2003 was 3.17 per cent.
To read the government announcement, click here
To discuss this in the Ontario Landlords forums, click here