How to Handle Rent Increases in Ontario: A 2025 Tenant’s Guide

Worried your rent might suddenly go up? You’re not alone. Rent increases can feel confusing — and stressful — especially when you’re unsure what’s legal. In Ontario, there are clear rules in place to protect tenants, but they’re not always easy to navigate.

This guide explains how rent increases work in 2025, who they apply to, and what to do if something doesn’t seem right.

Why Landlords Raise Rent (and What the Law Says)

Rising maintenance costs, inflation, or property upgrades might prompt a landlord to raise the rent. But in Ontario, landlords can’t just increase rent on a whim. There are rules — and most importantly, limits.

Key Rent Increase Rules for 2025

Here’s what you need to know this year:

  • Maximum allowed increase: 2.5%
  • Notice required: 90 days in writing
  • How often rent can be raised: Once every 12 months
  • Exceptions: Not all units are covered by rent control
  • Above-Guideline Increases (AGIs): Only with Landlord and Tenant Board (LTB) approval

Who’s Covered by Rent Control?

Most private rentals — including apartments, condos, and basement units — fall under Ontario’s rent control rules if they were first rented before November 15, 2018.

Not covered:

  • Newer units rented after Nov 15, 2018
  • Community/subsidized housing
  • Long-term care homes (different regulations apply)

Rent Increase Rules at a Glance

RuleDetails
2025 Guideline2.5% max
Notice Period90 days in writing
How OftenOnce per year
ExemptionsNewer units post-2018
AGIsAllowed with approval
Enforced byLandlord and Tenant Board

How to Know If a Rent Increase Is Legal

Use this quick checklist:

✔️ Was your unit first rented before Nov 15, 2018?
✔️ Did you get 90 days’ notice in writing?
✔️ Has it been at least 12 months since the last increase?
✔️ Is the increase no more than 2.5%?
✔️ For anything above that, did the landlord get LTB approval?

If any of those answers are no, you may be able to challenge the increase.

What’s an Above-Guideline Increase (AGI)?

AGIs allow landlords to raise rent more than the 2.5% limit — but only under certain conditions. These usually involve:

  • Major repairs (like replacing the roof or windows)
  • Safety or security upgrades
  • Big jumps in property taxes

To do this, landlords must apply to the LTB, show their receipts, and notify tenants of the request.

What To Do If You Think the Increase Is Unfair

If something seems off, here’s how to push back:

  1. Don’t pay the higher rent just yet
  2. File a dispute with the Landlord and Tenant Board (T1 or A1 form)
  3. Collect evidence — rent notice, lease, communication
  4. Attend your hearing (usually online or in-person)

You can also get help from a local legal clinic or tenant advocacy group.

Smart Tips for Tenants

📬 Always get things in writing — especially rent notices or promises for repairs
📅 Track when your last rent increase was
📸 Document everything — take photos, keep emails
🧠 Know your rights under the Residential Tenancies Act
🌐 Use tribunalsontario.ca/ltb for forms, rules, and updates

FAQs About Rent Increases in Ontario (2025)

Can my landlord raise the rent every six months?
No. Only once every 12 months — no matter your lease type.

What if I rent a condo?
If it was first occupied before Nov 15, 2018, you’re protected. Newer ones may be exempt.

Is email notice legal?
Only if you’ve agreed to receive notices electronically. Otherwise, it must be mailed or hand-delivered.

Can I be evicted for refusing an illegal increase?
No. You have the right to dispute it, but you must do so properly through the LTB.

Do rent rules apply to roommates?
If you rent directly from the landlord and have your own lease, yes. Sublets may be a grey area.

Final Thoughts

Rent rules in Ontario aim to protect tenants — but you have to know them to use them. If you’re ever unsure, trust your instincts and ask questions. And don’t be afraid to speak up if something doesn’t seem right.

Need support? Here are a few trusted resources:

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