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November 14, 2025Β·5 min readΒ·Astrilio Editorial Team

Ontario Rent Increase 2025 & 2026: Guideline Percentage, Notice Rules & LTB Rights

What is the Ontario rent increase guideline for 2025 and 2026? This guide covers the maximum allowable percentage each year, the 90-day written notice requirement, which units are exempt (built after Nov 15, 2018), and how tenants can dispute an illegal increase at the LTB.

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Disclaimer: This guide is for general informational purposes only and is not legal advice. Ontario tenancy law is complex and fact-specific. Always verify the current guideline with the official Ontario government source and consult a qualified legal professional for advice specific to your situation.

What is the Ontario Rent Increase Guideline?

The Ontario rent increase guideline is the maximum percentage a landlord can increase the rent for most residential units in Ontario without Landlord and Tenant Board (LTB) approval. It is set each year by the provincial government under the Residential Tenancies Act, 2006 (RTA). The guideline applies to rent increases that take effect in that calendar year β€” so the 2026 guideline applies to any increase with an effective date between January 1 and December 31, 2026.

The guideline does not apply to units first occupied for residential purposes after November 15, 2018 (the "2018 exemption") β€” for those units, landlords can raise rent by any amount, but must still provide 90 days' written notice. Condominiums, most purpose-built rental apartments built before 2018, and most private houses and duplexes rented before that date are guideline-covered.

The guideline is tied to the Ontario Consumer Price Index (CPI) and is calculated to reflect the cost increases that landlords typically face in operating residential properties. It represents a balance between protecting tenants from excessive rent increases and allowing landlords to keep pace with rising operating costs. Both landlords and tenants benefit from understanding the guideline, because a rent increase that exceeds the guideline β€” or that is served without proper notice β€” is legally void and unenforceable.

What is the 2026 Ontario Rent Increase Guideline?

The Ontario government typically announces the following year's rent increase guideline in August or September. The guideline is tied to the Ontario Consumer Price Index (CPI). For reference: 2022 was 1.2%, 2023 was 2.5%, 2024 was 2.5%, and 2025 was 2.5%.

For the definitive, confirmed 2026 guideline percentage, always verify with the official Ontario government source: ontario.ca/rentincrease β€” this page is updated as soon as the government announces the guideline. We link directly to it because rent increase rules affect real financial decisions and we do not post unconfirmed figures.

Note: your landlord must still give you 90 days' written notice even if the increase is within the guideline.

How Much Can My Landlord Raise Rent in 2026? (Ontario)

If your unit is covered by the guideline (built before November 15, 2018), your landlord can raise your rent by at most the 2026 guideline percentage β€” once per 12-month period.

Example: if your current rent is $1,800/month and the guideline is 2.5%, the maximum new rent is $1,800 Γ— 1.025 = $1,845/month.

The landlord must give you at least 90 days' notice in writing before the increase takes effect. The notice must state the new rent amount and the date it takes effect. A tenant who believes the increase is above the guideline (or that proper notice was not given) can dispute it at the LTB.

Landlords can also apply to the LTB for an "above-guideline increase" (AGI) if they can show extraordinary operating cost increases or capital expenditures. An AGI is not automatic β€” it requires a hearing, evidence, and an LTB order.

Use the Rent Increase Checker to calculate the exact maximum rent after an increase based on your current rent and the applicable guideline percentage.

90-Day Notice Requirement β€” Key Details

The 90-day written notice requirement is stricter than many landlords assume. The notice must be received by the tenant at least 90 days before the effective date of the increase β€” not 90 days from when it is sent. If you deliver the notice late, the effective date of the increase is automatically pushed forward by the number of days of deficiency.

The Notice of Rent Increase (Form N1) is available from the LTB website. While using the form is not strictly mandatory (the RTA says the notice must be in writing and state the required information), using the official form is strongly recommended as it includes all required fields and reduces the risk of a procedural challenge.

A landlord cannot increase rent more than once in any 12-month period, regardless of how many months the tenant has lived in the unit. Skipped guideline increases do not accumulate β€” if a landlord did not take the 2025 increase, they cannot apply a double increase in 2026 to catch up.

What Tenants Can Do If They Dispute the Increase

If you believe your landlord's rent increase is above the guideline, you can file a T1 Application (Tenant Application for a Rent Reduction). You can also file if the landlord charged an illegal increase, failed to give proper notice, or charged a fee the RTA prohibits.

File the application with the LTB as soon as you become aware of the issue. If the increase was illegal, the LTB can order a rent reduction, a rent rebate (repayment of amounts you overpaid), or both. Keep all rent receipts and any written notices from your landlord.

If your landlord did not give 90 days' written notice, the increase is not valid β€” you are entitled to pay your old rent until a valid notice is served.

Contact the LTB at 1-888-332-3234 or visit ltb.gov.on.ca for more information and to file an application.

Frequently Asked Questions

What is the Ontario rent increase guideline for 2026?
The guideline is set annually by the Ontario government based on CPI. For the confirmed 2026 percentage, check ontario.ca/rentincrease β€” the official source updates as soon as the government announces it.
How much can a landlord raise rent in Ontario in 2026?
For units covered by the guideline (most units built before November 15, 2018), the maximum increase is the 2026 guideline percentage, applied once per 12-month period with 90 days written notice.
Does the rent increase guideline apply to all Ontario rentals?
No. Units first occupied for residential purposes after November 15, 2018 are exempt from the guideline. Landlords of exempt units can raise rent by any amount but must still give 90 days written notice.
How much notice does a landlord need to give for a rent increase in Ontario?
At least 90 days written notice is required before the effective date of the increase. The notice must state the new rent amount and effective date. The official N1 form is available from the LTB.
What can I do if my landlord raised my rent above the guideline?
File a T1 Application with the Landlord and Tenant Board (ltb.gov.on.ca). The LTB can order a rent reduction or rebate if the increase was illegal or improper notice was given.