Canada's Condominium Magazine
The new rules protecting tenants from eviction became enforceable as of September 1, 2017 — which is good news for tenants (if they can find a place to rent.) We previously covered the new rules announced last April [in this feature>>], but it is worth highlighting some of the prominent protections of the new law. The most notable is compensation:
“When a tenant is evicted through no fault of their own, they are forced to scramble to find new accommodations and cover the costs of a sudden move,” Housing Minister Peter Milczyn said.
As a result, landlords will pay one month’s rent to the evicted tenant or must provide a comparable unit option. There will also be some protection built-in to prevent “bending the system” — where landlords claim a family member is moving in, gain vacancy, but then just rent out to someone else.
“If the landlord advertises, re-rents or demolishes/converts the unit within one year, she or he will be considered to have acted in bad faith, unless they can prove otherwise and could face a fine of up to $25,000,” according to releases from the government.
“The new measures will help protect tenants by discouraging landlords from unlawfully evicting them, whether for conversion of the unit into a short-term rental or immediately re-renting it at a higher rate.”
Rent increases capped
Another important protection that comes into effect is a rent cap of 1.8 percent per year (including for newer buildings) — unless the landlord applies to the Landlord and Tenant Board for additional amounts specifically due to improvements on the property. There are also some new rules to prevent disruptive short-term rentals, which absorb needed inventory.
The protections cover private rental units —of which there are at least 1.2 million in Ontario