Ontario
Rent Control.
Most Ontario tenants are protected by annual rent increase limits — but the rules changed on November 15, 2018. Here's what you need to know.
The November 15, 2018 Rule
Rent control only applies to units first occupied for residential purposes on or before November 15, 2018. If your unit was first rented out after that date, your landlord is not bound by the annual guideline cap — they can raise rent by any amount, as long as they follow the 90-day notice and 12-month timing rules.
The key word is "first occupied" — it refers to when the unit was first used as a residential rental, not when you personally moved in. If you're the third tenant in a 2020 build, the unit is still exempt.
Even if your unit is exempt from the guideline, all other RTA protections still apply — 12-month rule, 90-day written notice, and eviction protections.
| Year | Guideline | Notes |
|---|---|---|
| 2026 Current | 2.1% | Lowest since 2021. Reflects cooling CPI (Jun 2023–May 2024). |
| 2025 | 2.5% | Hit the statutory cap for 3rd consecutive year. |
| 2024 | 2.5% | Statutory cap. Inflation ran higher than 2.5%. |
| 2023 | 2.5% | Statutory cap. Post-pandemic inflation spike. |
| 2022 | 1.2% | Partial freeze as province emerged from COVID measures. |
| 2021 | 0% | Full rent freeze. Government response to COVID-19. |
| 2020 | 2.2% | |
| 2019 | 1.8% | |
| 2018 | 1.8% | Nov 15, 2018: new units exempted from rent control. |
| 2017 | 1.5% | Apr 20, 2017: rent control expanded to all units. |
Source: Ontario Ministry of Municipal Affairs and Housing. The guideline is calculated from Ontario's Consumer Price Index (June–May) and is capped at 2.5% by law regardless of actual inflation.
How the Guideline Works
The guideline is set annually by the Ontario government, announced by August 31st. It's calculated using the Ontario Consumer Price Index (CPI) from June of the prior year to May of the current year.
By law, the guideline can never exceed 2.5%, regardless of how high inflation runs. The guideline is the maximum — not the required amount. Landlords can raise rent by less, or not at all.
For increases above the guideline, landlords must apply to the Landlord and Tenant Board for an Above Guideline Increase (AGI), covered in detail below.
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A landlord can only increase rent once every 12 months. The clock starts from either the start of the tenancy or the date of the last rent increase, whichever is later. An increase that comes sooner than 12 months is illegal under the RTA — you are not required to pay it.
90 Days Written Notice Using Form N1
Your landlord must give you at least 90 days written notice using Form N1. The notice must include your current rent, the new rent, and the effective date. A notice with less than 90 days is invalid.
The Increase Cannot Exceed the Guideline (for controlled units)
For rent-controlled units, the increase must not exceed the annual guideline — 2.1% in 2026. If your landlord wants to increase by more, they need LTB approval via an Above Guideline Increase application first.
You Have 12 Months to Dispute It
If you believe a rent increase is unlawful — wrong amount, insufficient notice, too soon after the last increase — you can file a Tenant Application About Rent (Form T1 or T3) with the Landlord and Tenant Board within 12 months of the first date the unlawful amount was charged.
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Your unit is rent controlled if it was first occupied for residential purposes on or before November 15, 2018. This includes apartments, rented houses, condos, and basement units. The relevant date is when the unit was first used as a rental — not when you personally moved in, and not when the building was constructed. If you're not sure, ask your landlord in writing or contact the Landlord and Tenant Board.
The 2026 Ontario rent increase guideline is 2.1% — the lowest since the 2021 COVID freeze. This means a tenant paying $2,000/month can see their rent increase to a maximum of $2,042. The 2025 guideline was 2.5%. The guideline is announced each year by August 31st and is based on the Ontario Consumer Price Index. It is capped at 2.5% by law regardless of actual inflation. Source: Ontario.ca.
Landlords must give at least 90 days written notice using the LTB's Form N1 before a rent increase takes effect. This rule applies whether your unit is rent controlled or exempt. A verbal notice or a notice with less than 90 days is invalid — you do not have to pay the increase until a valid notice has been properly served and 90 days have elapsed.
For rent-controlled units, no — not without LTB approval through an Above Guideline Increase (AGI) application. For exempt units (first occupied after Nov 15, 2018), yes — there is no cap on the increase percentage, but the 90-day notice and 12-month rules still apply. If your rent-controlled landlord raises rent above the guideline without an LTB order, that portion of the increase is illegal and you can file a complaint.
Ontario has vacancy decontrol — when your tenancy ends, the landlord can set any rent for the next tenant, even in a rent-controlled building. The guideline cap only protects your tenancy while it's ongoing. This is why long-term tenants often pay significantly less than new tenants in the same building. Once a new tenancy begins at a new rent, the guideline applies to increases going forward from that new amount.
You have 12 months from the date the unlawful amount was first charged to file a Tenant Application with the Landlord and Tenant Board. Use Form T1 (Tenant Application for a Rebate of Money the Landlord Owes) if money was unlawfully collected, or Form T3 for disputes about the lawful rent. The LTB can order a rebate of all unlawfully collected amounts. Document everything — keep copies of all notices, payment receipts, and any correspondence with your landlord.
Each neighbourhood guide includes rent control notes specific to that area. Select yours below.