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Ontario Caps Rent Increase Guideline

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Ontario Caps Rent Increase Guideline

McGuinty Government Stabilizing Rent Increase Guideline To Protect Tenants

Ministry of Municipal Affairs

The passage of the Residential Tenancies Amendment Act will cap the maximum amount most landlords can increase a sitting tenant's rent during the year at 2.5 per cent.   

Tenants will benefit from more predictable and stable rents so they have safe and affordable housing. For landlords, this will ensure a fair return so they can properly maintain and repair rental properties.

The Rent Increase Guideline will continue to be based on the Ontario Consumer Price Index.

Capping the Rent Increase Guideline is part of the McGuinty government's plan to provide affordable housing for Ontario families. 

Quick Facts

  • One million tenant households in Ontario are covered by the annual Rent Increase Guideline.
  • The guideline applies to most private residential rental accommodation covered by the Residential Tenancies Act, 2006.
  • The guideline is the maximum amount most landlords can increase a sitting tenant's rent during the year without making an application to the Landlord and Tenant Board.
  • The annual Rent Increase Guideline is a calculation based on the Ontario Consumer Price Index (CPI), which is calculated by Statistics Canada. CPI is a measure of inflation, or the rate of price change for goods and services bought by consumers.

Additional Resources

Quotes

Kathleen Wynne

“This amendment will help keep rental housing costs affordable and stable for over one million tenants in Ontario. This will allow people to focus on their personal well-being and health and will contribute to growing our economy.”

Kathleen Wynne

Minister of Municipal Affairs and Housing

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