There have been some recent changes to the Ontario Residential Tenancies Act under Bill 124
Included in these changes are:
- Changes to the family reason for Terminating a Lease
- Expanded rent controls
- New rules and forms for Evictions and more
It was announced that Rental Controls are now extended to cover all Multi-Family Buildings, Smaller Income Properties and Homes or Condos that are rented out in all of Ontario, no matter what year they were constructed.
New rules mean that rents can only be raised by 1.5% in 2017 and by 1.8% for 2018. If a Tenant leaves of their own accord, the Landlord can then raise the rent by as much as they want for a new Tenant. Check out the Historical Rental Increases in Ontario here
It used to be the case that if a Landlord wanted to move a family member into One of their Apartments, they simply had to give the Tenant 60 days notice (as long as they reached the end of their lease). This has now changed.
If you tell a Tenant that you are moving a Family member in now, you must pay a further penalty, which is equivalent to 1 months rent, or you have another option of finding the Tenant another Apartment that is acceptable by them.
We sometimes see Buyers' of Income Properties wanting to live in One of the Units themselves, and in this situation, that buyer does not need to give the penalty of 1 months rent. But that buyer or family member must remain living in that unit for a full 12 months, or they could be liable for a penalty of $25,000 for essentially lying to the Tenant just to get them out.
There is also a new rule whereby a Tenant who claims that they are being abused, and want to leave their Apartment, they can do this with just 28 days notice to their Landlord, and break their lease without any penalty.
For more information about any of these changes, get in touch with Patrick Walchuk at 613-788-2590 or leave your comments below.
You can see a more detailed explanation of these changes directly from a Real Estate Lawyer from Toronto, Mark Weisleder, with RealEstateLawyers.ca, you can reach Mark at 1-855-466-3801 or Info@RealEstateLawyers.ca
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