Renting in Canada
Five Important Tips About Renting in
Canada
For example, tenants can enjoy a lot of protections under
some provincial tenancy regulations, but they may not take advantage of these
protections if they haven't learned about them.
Rent Control
Some provinces have rent control regulations.
Such regulations limit the time that a landlord can increase
the rent of the property and to what extent.
You may be able to save money by taking into account rental
control regulations when choosing a property.
If rental control doesn't apply to your property, you may
benefit from budgeting for a further increase in renovations.
The following table provides details about rent control in
the relevant provinces:
|
Province |
Rent
Increase Cap (2024, 2025) |
Additional
Restrictions |
Rent
Control Exemption |
|
British
Columbia |
Rent
increase limit in 2024: 3.5% Rent increase limit in 2025: 3%
|
The
rent can be increased every 12 months.The Utilities and other charges can only be increased with the tenant's
agreement.
|
|
|
Manitoba |
2024 Rent Increase Directive: 3%
Rent Increase Directive in 2025: Economic Adjustment Factor 1.1%
|
The rent increase directive applies to most rental units |
Units exempt from this directive include high-rent units
and government properties |
|
Ontario |
Rent
Increase Directive in 2024: 2.5% Rent Increase Directive in 2025: 2.5%
|
Note:
Rental control policies only apply to residential buildings that were first
built or occupied before November 15, 2018 |
Exceptions
include new buildings and most new basement apartments |
|
Prince Edward Island |
Rent Increase Directive in 2024: 3%
Rent Increase Directive in 2025: Determined annually by the Housing Rental
Manager.
|
Rent increases can happen once a year
|
An increase in excess of the allowed amount requires an
application at the rental office |
No other province or territory currently has a rent control
policy. Landlords in non-lease-controlled jurisdictions can typically increase
rents by any amount they want after the lease ends or the lease is renewed.
End of Lease/Eviction
Before signing a rental agreement, you need to consider
several factors:
The above factors are determined by a combination of your
rental agreement and applicable provincial regulations.
For a fixed-term rental, you will be expected to vacate the
property at the end of the lease period.
There are exceptions to this, such as Ontario, where your
lease automatically converts to a month-to-month lease at the end of a given
term unless you notify your landlord that you want to vacate.
For month-to-month rentals, you're generally expected to
give one month's notice before terminating your lease.
In Prince Edward Island and Ontario, you must give 2 months'
or 60 days' notice (whichever is greater).
Under certain circumstances, you may be evicted from a
property, which is when the landlord terminates your tenancy regardless of
whether you want to move.
The circumstances in which a landlord can terminate your
tenancy vary based on the jurisdiction of your province and/or your tenancy
agreement. But in general, your landlord can hold you accountable for failing
to meet your obligations as a tenant or for bad behavior, such as:
There may also be reasons why your landlord could evict you
that is out of your control. Again, this varies by province, but here are some
common examples:
Your landlord must provide written notice of your eviction
date. Tenants
across Canada have the right to appeal the termination of the lease
through local rental boards or courts. The process for this will vary by
province and local housing authority.
How much should I expect to spend?
It depends heavily on the property and its location.
The table below shows the average monthly rents for
bachelor's, 1-bedroom, and 2-bedroom apartments in some major cities (Source:
zumper.com Rental Research Portal ):
|
City |
Bachelor/Studio
Apartment (Average Rent in Canadian Dollars) |
1
Bedroom Apartment (Average Rent in Canadian Dollars) |
2
Bedroom Apartment (Average Rent in Canadian Dollars) |
|
Toronto
(ON) |
1900
USD |
2,335
USD |
2969
USD |
|
Vancouver (BC) |
2,315 USD |
$2650 |
$3650 |
|
Calgary
(AB) |
1599
USD |
1790
USD |
2297
USD |
|
Edmonton (AB) |
1154 USD |
1389 USD |
1650 USD |
|
Winnipeg
(MB) |
931 USD |
1325
USD |
1725
USD |
|
Montreal (QC) |
1487 USD |
1700 USD |
2195 USD |
Beware of condo rules
The common type of property often found in Canada is
condominiums or condos. These are private units in residential buildings.
Condos have different rules than other residential
properties.
Tenants looking
to rent a condo should ensure that they are aware of the laws and regulations
regarding that property.
Condo rules can create many more restrictions for residents,
such as:
Any of the above restrictions are prohibited by the Housing
Rental Act in Ontario, but in the case of condos, they are perfectly legal.
Tenants should
also keep in mind that condo regulations are not fully regulated – there is
always the possibility that the apartment board may change the regulations
and/or implement new regulations that could have a significant impact on condo
daily life. Tenants
Avoiding rental scams
Newcomers should be wary of potential rental scams, which
are unfortunately very common.
Scams
can compromise your personal capital, your data, or even your physical
security.
A typical rental scam works as follows. The
"homeowner" or "leasing agent" will show you a unit and
it's great. You sign a lease agreement with them or pay a deposit or something
like the first and last month's rent (in Ontario).
Later, you find out that the person who showed you the
property wasn't actually the landlord or leasing agent – they were never
allowed to rent the property to you and simply pocketed your funds and ran
away.
Another rental scam can be simple identity theft – a
"leasing agent" asks for your ID and other personal information,
copies it, and then impersonates you to get a loan.
The best way to protect yourself from rental scams is to
ensure that the person you're dealing with is a well-intentioned landlord or
rental agent.
The Canadian Mortgage and Housing Corporation (CMHC)
provides examples of warning signs to watch out for: