Ontario’s province-wide rent freeze enacted amid the COVID-19 pandemic will come to an end, even though the pandemic isn’t entirely over.
Last year, the Ontario government froze rent to its 2020 level for units covered under the Residential Tenancies Act. However, as of December 31st, that freeze will end. The province’s maximum amount landlords can increase a tenant’s rent is set every year based on inflation and the Ontario Consumer Price Index (CPI).
This means that following December 31st, landlords will be able to increase rent across the province by a maximum of 1.2 percent. However, it’s important to note that a landlord can increase their tenant’s rent beyond this percentage with approval from the Landlord and Tenant Board (LTB).
It’s important to note that rent increases in rent-controlled buildings aren’t automatic. Further, even if you don’t live in a rent-controlled building, landlords still need to give 90-days notice before the freezer lifting if they plan to increase their tenant’s rent.
According to Storeys, valid reasons for increasing rent beyond 1.2 percent include maintenance, air conditioning, and other “capital work.”