Rent Increase Rules in Canada: What Landlords Can and Can't Do by Province
Ontario's Rent Increase Guideline, BC's allowable rent increase, and rent control rules across Canada — what landlords need to know before raising rent.
Rent Increase Rules in Canada: What Landlords Can and Can't Do by Province
Rent increases in Canada are regulated at the provincial level, and the rules vary significantly. Raising rent above the allowed amount — even with proper notice — can result in orders to reduce rent and fines. Here's the current picture by province.
Ontario: Rent Increase Guideline (RIG)
Ontario sets an annual Rent Increase Guideline each year based on the Ontario Consumer Price Index. The guideline applies to most residential rental units first occupied before November 15, 2018.
Key Ontario rules:
- Landlords must give 90 days written notice using the N1 form (Notice of Rent Increase)
- Only one rent increase is permitted in any 12-month period
- Units first occupied for residential purposes after November 15, 2018 are exempt from rent control (but notice rules still apply)
- Landlords can apply for an Above Guideline Increase (AGI) for capital expenditures or extraordinary operating costs
2025 Ontario RIG: 2.5%
British Columbia: Allowable Rent Increase
BC ties rent increases to the BC Consumer Price Index for previous year. The Residential Tenancy Branch publishes the allowable increase percentage annually.
Key BC rules:
- Written notice of 3 full rental months required (e.g., for a January 1 increase, notice must be given by September 30)
- Fixed-term tenancies: rent cannot increase during a fixed term unless the agreement contains a rent increase clause
- Allowable increase applies to all residential tenancies
2025 BC Allowable Increase: 3.0%
Quebec: Rent Increase Process
Quebec uses a lease renewal process rather than a fixed percentage guideline. The landlord must give written notice of the proposed new rent and any changes. The tenant has 30 days to accept, refuse, or request modification. If refused, the landlord can apply to the Tribunal administratif du logement (TAL).
Other Provinces
| Province | Rent Control? | Notes | |---------|--------------|-------| | Alberta | No | No rent control; increases with proper notice | | Manitoba | Yes | Annual rent increase guideline (similar to Ontario) | | Nova Scotia | Capped at 5% | Annual cap in effect since 2023 | | PEI | Yes | Island Regulatory Appeals Commission sets rates | | Saskatchewan | No | No provincial rent control | | New Brunswick | No | No rent control | | Newfoundland | No | No rent control |
The Vacancy Decontrol Issue
Most provinces with rent control apply limits only to existing tenants. When a unit becomes vacant and a new tenant moves in, the landlord can generally charge any rent they want — this is called vacancy decontrol. Ontario is the most notable example: a unit that's been renting for $1,500 since 2015 can be re-rented at market rate when the tenant leaves.
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Official Resources
- Ontario — Rent Increase Guideline — current year guideline and historical rates
- Ontario — Landlord and Tenant Board — N1 form, AGI applications, and LTB rules
- BC — Residential Tenancy Branch: Rent Increases — current allowable increase and notice requirements
- Quebec — Tribunal administratif du logement — Quebec rent process and adjudication
- Manitoba — Residential Tenancies Branch — Manitoba rent guidelines
- Nova Scotia — Residential Tenancies — NS 5% cap and tenant rights