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The Ontario Rent Increase Guideline and How to Apply It

Ontario publishes a rent increase guideline every year, and it's one of the most common sources of landlord mistakes — wrong percentage, wrong unit, or wrong notice period. This page outlines the full guide we're building; treat it as a map of the topic, not final guidance for your property.

This guide is for general informational purposes only and does not constitute formal legal advice. Landlord-tenant laws in Ontario change frequently. Before serving notices or taking legal action, consult a licensed paralegal or lawyer regulated by the Law Society of Ontario.

Published September 24, 2026 · Last updated September 24, 2026

Guide outline

Here's what the full article on this topic will cover, section by section.

01

What the guideline is and who sets it

  • How the province calculates the guideline each year
  • Where to find the current year's published number
  • Why this guideline exists and what it's meant to balance
02

Which units it applies to

  • Units first occupied before November 15, 2018 (guideline applies)
  • Newer units exempt from the guideline cap, and what landlords should know about that exemption
  • How the rules differ for a change in tenants versus a continuing tenancy
03

How to calculate and time a compliant increase

  • Applying the percentage to the current lawful rent
  • The minimum spacing required between increases for the same tenant
  • The minimum notice period and the N1 form
04

When a landlord can go above the guideline

  • Above-Guideline Increase (AGI) applications and what can justify one
  • Agreements negotiated directly with a tenant, and their limits
  • Vacancy decontrol between tenancies and how it's different from an in-tenancy increase
05

Common landlord mistakes

  • Increasing more than once in a 12-month period
  • Applying the guideline cap to an exempt unit, or vice versa
  • Serving the N1 with insufficient notice

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