By Condo Culture
One of the most common questions that we hear from our investor & landlord clients is how much can I increase my rent by. Here are a few key things to know.
In general, a landlord can increase rent once every 12 months and has to provide the tenant a 90 day written notice of the increase.
In Ontario the rent increase is capped at 1.2% in 2022 and 2.5% in 2023. This is the maximum amount a landlord can increase rent during the year for tenants without the approval of the Landlord and Tenant Board.
It’s important to note that buildings first occupied after November 15th, 2018 are exempt from these guidelines. More on that below.
Rental units first occupied after November 15th, 2018 are exempt from rules that limit rent increases. There are no limits to the amount that a landlord can increase rent. Ultimately they can increase rent to whatever they think the market will bear. Owners / landlords must still provide the tenant with a 90 day written notice of the increase and you can only increase once every 12 months.
There are always considerations (and potential trade offs) around increasing rent in these scenarios. For example if you have a very high quality tenant that takes amazing care of your property, is it worth risking losing that tenant by trying to increase rent substantially. There are constructive ways to approach the rent increase decision by having conversations with a great tenant and finding a win / win solution for both parties.
Understanding where realistic market rates are at is key to this conversation and it can be very helpful to lean on the experience and knowledge of a REALTOR® to help guide and navigate through this conversation.
The Condo Culture team has tremendous experience in working with our investor landlord clients to help secure quality tenants for their units. Our dedicated condo focus and experience helps save you time in finding quality tenants through a proven marketing plan and established client database. We help you maximize your return on investment by ensuring that you obtain top rental rates that are appropriate for the market with minimal vacancy.
We do the heaving lifting, screening and paperwork to ensure that you are provided with the best possible candidate for your unit.
Take a look at this previous blog for more information on our approach.
For more information on our landlord services and to book an appointment with one of our REALTORS and condo experts visit; https://www.condoculture.ca/help-rent-landlord
To find out what your Condo is worth visit; https://www.condoculture.ca/evaluations