2014 Rent Increase Guideline
The annual Rent Increase Guideline is a calculation based on the Ontario Consumer Price Index by Statistics Canada and applies to most private residential rental accommodation covered by the Residential Tenancies Act, 2006.
The guideline does not apply to:
- Vacant residential units
- Residential units first occupied on or after Nov. 1, 1991
- Social housing units
- Nursing homes
- Commercial property
Timing of Rent Increases - In most cases, the rent for a unit can be increased if at least 12 months have passed since a tenant first moved in, or if at least 12 months have passed since the last rent increase. A tenant must be given proper written notice of a rent increase at least 90 days before the rent increase takes effect.
Calculation of the Guideline - The Rent Increase Guideline is calculated under the Residential Tenancies Act, 2006, and is based only on the Ontario Consumer Price Index which is calculated monthly by Statistics Canada. The 2014 Rent Increase Guideline is calculated by averaging the percentage increase in the Ontario Consumer Price Index during the previous 12 months from June 2012 to May 2013.
Sample Rent Increase Calculation - The monthly rent of an apartment is $1,000 beginning Aug. 1, 2013. With proper written 90 days notice to the tenant, the landlord could lawfully increase the rent 12 months later on Aug. 1, 2014.
- The guideline for 2014 is 0.8 per cent
- The rent increase is 0.8 per cent of $1,000 = $8.00
- Therefore, the new rent on Aug.1, 2014 could be up to $1,008.00 ($1,000 + $8.00)
Previous rent increase guidelines