Three rules govern almost every rent increase in Ontario, and one enormous exception swallows a large share of the newer rental stock in the GTA.
The three rules
Once every twelve months. Measured from the last increase, or from the start of the tenancy if there has not been one.
Ninety days' written notice, on the Board's Form N1. A text message, an email, or a conversation is not notice.
Capped at the annual guideline, which for 2026 is 2.1 per cent. The guideline is set each year from the Consumer Price Index.
Units first occupied for residential purposes after 15 November 2018 are exempt from the guideline. The twelve-month rule and the ninety-day notice still apply, but there is no cap on the amount.
A great many purpose-built rentals and newer condominiums fall into this category. If you are renting a recently built unit, ask when it was first occupied before you plan around a predictable increase, because the answer may be that there is no limit at all.
An increase can be void
If the notice is late, the form is wrong, or it comes less than twelve months after the last one, the increase is not valid and you do not owe it. If you pay it anyway for twelve months without objecting, it can become the lawful rent, so raise a problem when you spot it rather than after a year of paying.
Above the guideline
A landlord can apply to the Board for an above-guideline increase, generally for major capital work, a large rise in municipal taxes, or new security services. It requires an application, a hearing, and an order. It is not something a landlord can simply announce.
Charging separately for something that used to be included is a rent increase in substance and needs an N1. One genuine exception arrived on 1 July 2026: where electricity is included in your rent and you install a window or portable air conditioner, the landlord may charge a seasonal amount for the extra electricity.
The guideline changes every year. The 2026 figure of 2.1 per cent was checked in July 2026. Confirm the current year's number on Ontario's website rather than relying on what a friend paid.