Illegal Rent Increases in Ontario

When is a Rent Increase Illegal?

In Ontario, the Residential Tenancies Act (RTA) strictly regulates how and when a landlord can increase your rent. A rent increase is generally illegal if:

• No Proper Notice — You did not receive a Form N1 (or N2 for exempt units) at least 90 days in advance.
• Too Frequent — It has been less than 12 months since you moved in or since your last rent increase.
• Above the Guideline — The increase is higher than the Ontario Rent Increase Guideline (unless approved by the LTB).
• No Formal Form — The landlord informed you of the increase via text or email instead of the mandatory LTB form.

What if I Already Paid the Illegal Increase?

If you pay an illegal rent increase for 12 consecutive months, it automatically becomes your new legal rent. It is critical to take action before that 12-month window closes.

1. Inform the Landlord — Let them know the increase is illegal and you will continue paying your current legal rent.
2. File a T1 Application — File a "Tax Rebate or Money Owed to the Tenant" application with the Landlord and Tenant Board to recover overpaid rent.