How Ontario Rent Increases Work
In Ontario, landlords must follow specific rules when increasing rent for residential tenants. The Ontario government sets an annual rent increase guideline that limits how much rent can be raised for most units.
Annual Guideline Rate
The guideline is the maximum percentage a landlord can raise rent without approval from the Landlord and Tenant Board (LTB). For 2026, the guideline is 2.1%. This rate is based on the Ontario Consumer Price Index (CPI).
Rent Control Exemptions
Not all rental units are subject to rent control. Units that were first occupied for residential purposes on or after November 15, 2018 are exempt from the guideline. For these units, landlords can increase rent by any amount (though still must provide 90 days notice).
Required Notice Period
Landlords must provide tenants with written notice of a rent increase at least 90 days before the increase takes effect. The notice must be on the official N1 form and include the new rent amount and effective date.