Provincial Government Sets 2010 Rent Increase Guideline

The Ontario Ministry of Municipal Affairs and Housing has released the province’s rent increase guideline for 2010. The 2010 guideline will be 2.1 per cent. For previous years’ increase guidelines, please see the table below.

The new rent increase guideline becomes effective January 1, 2010 and establishes the maximum amount that a landlord can increase a tenant’s rent without making an application to the Ontario Rental Housing Tribunal.

This guideline does not apply when renting a vacant unit. Under the Tenant Protection Act, 1997, when a unit becomes vacant, a landlord is free to charge whatever rent he/she chooses. Once the unit is rented, however, the guideline increase applies for subsequent increases to that tenant.

In the past, the rent increase guideline included a base increase of two per cent, plus an amount for increases to landlord operating costs. In 2005, the provincial government announced that the increase guideline would include only an amount for operating cost increases, while proposals to reform rent control are considered. This has been continued for 2010.

The guideline applies to most private residential rental accomodation covered by the Tenant Protection Act, 1997. The guideline does not apply to residential dwellings first occupied (by any owner or tenant) on or after November 1, 1991.

For more information on rent increases, contact the Ontario Rental Housing Tribunal.

Comments on this entry are closed.