fb

Ontario Rental Freeze for 2021 and Covid-19 Impact on Tenant Payments


The Government of Ontario has passed legislation to freeze rent at the same rental amounts charged in year 2020. This means that rental fees will not increase in 2021 for the vast majority of rented units covered under the Residential Tenancies Act (RTA). Section 136.1 of the RTA defines the term “rent freeze period” as starting on 01 January 2021 and ending on 31 December 2021.


The rent freeze applies to most tenants living in, including but not limited to the following:


  • Rented houses, apartments and condominiums (including units occupied for the first time for residential purposes after November 15, 2018)

  • Affordable housing units created through various federally and/or provincially funded programs

  • Basement apartments

  • Care homes (i.e., retirement homes)

  • Mobile home parks

  • Community housing

Landlords and tenants may agree to increase the rent in exchange for an extra value or service (i.e., lockers, storage areas, parking or air conditioning). The exceptions are extremely limited and very difficult to apply to the vast majority of tenants.

Ontario-Rental-Freeze-for-2021-licensed-paralegal-toronto-aj-law-llp-incresein-2022

Rent Increase in 2022


While the rent freeze will end on December 31, 2021, landlords can give proper 90 days’ notice beforehand for a rent increase that will take effect in 2022. Subject to any potential changes to the RTA, the new amendments allow for the right to provide the Rental Increase Notice in the duration of the freezing period, but to take place after the freeze period has expired. We have yet to discover whether the landlords with exempted properties will decide to doubly increase the rental fees to address the income that they have lost the previous year due to the rental freeze.

Ontario-Rental-Freeze-for-2021-licensed-paralegal-toronto-aj-law-llp-incresein-2022

Rent Increase in 2022


While the rent freeze will end on December 31, 2021, landlords can give proper 90 days’ notice beforehand for a rent increase that will take effect in 2022. Subject to any potential changes to the RTA, the new amendments allow for the right to provide the Rental Increase Notice in the duration of the freezing period, but to take place after the freeze period has expired. We have yet to discover whether the landlords with exempted properties will decide to doubly increase the rental fees to address the income that they have lost the previous year due to the rental freeze.

Covid-19 Impact on a Tenant’s Ability to Pay Rent and Tenants’ Rights


In terms of difficulty to pay rent during the time of Covid-19, we are hereby presenting you your rights as tenants under the Protecting Tenants and Strengthening Community Housing Act, 2020 as follows:


“Landlords are encouraged to try to negotiate a repayment agreement with a tenant before seeking eviction if rent has not been paid during Covid-19. When a landlord applies for an eviction order for rent arrears, the Landlord and Tenant Board must now consider whether the landlord tried to work with the tenant to catch up on rent before seeking eviction. This is to encourage repayment agreements so evictions can be avoided.


If you are struggling to meet a repayment agreement that the board did not approve, your landlord still must apply to the board for an eviction hearing. At the hearing you would be able to explain why you were unable to follow the repayment agreement.


Repayment agreements, whether formal or informal, do not allow landlords to evict a tenant without an order from the board. Tenants will continue to be able to request a hearing at the board. The board can consider the circumstances of each case to determine whether or not an eviction order should be issued.


Landlords cannot impose repayment agreements on tenants, and tenants cannot be evicted for refusing a rent repayment plan. It’s an offence under the Residential Tenancies Act, 2006 for a landlord to harass or threaten a tenant to get them to move out.


The Landlord and Tenant Board may require tenants and landlords to attend a mediation session to discuss their concerns in advance of their hearing. Landlords and tenants are not required to reach an agreement.


If parties are unable to reach an agreement in mediation, a formal hearing would be held.”


AJ LAW LLP’s Filipino Lawyer and Licensed Paralegal will be happy to assist you if you have landlord and tenant issues. Avail of a free consultation with us and let a Filipino Lawyer and Paralegal at AJ Law LLP help you. Call us at +1 416 409-5991 or email us at info@ajlawpartners.ca.

Covid-19 Impact on a Tenant’s Ability to Pay Rent and Tenants’ Rights


In terms of difficulty to pay rent during the time of Covid-19, we are hereby presenting you your rights as tenants under the Protecting Tenants and Strengthening Community Housing Act, 2020 as follows:


“Landlords are encouraged to try to negotiate a repayment agreement with a tenant before seeking eviction if rent has not been paid during Covid-19. When a landlord applies for an eviction order for rent arrears, the Landlord and Tenant Board must now consider whether the landlord tried to work with the tenant to catch up on rent before seeking eviction. This is to encourage repayment agreements so evictions can be avoided.


If you are struggling to meet a repayment agreement that the board did not approve, your landlord still must apply to the board for an eviction hearing. At the hearing you would be able to explain why you were unable to follow the repayment agreement.


Repayment agreements, whether formal or informal, do not allow landlords to evict a tenant without an order from the board. Tenants will continue to be able to request a hearing at the board. The board can consider the circumstances of each case to determine whether or not an eviction order should be issued.


Landlords cannot impose repayment agreements on tenants, and tenants cannot be evicted for refusing a rent repayment plan. It’s an offence under the Residential Tenancies Act, 2006 for a landlord to harass or threaten a tenant to get them to move out.


The Landlord and Tenant Board may require tenants and landlords to attend a mediation session to discuss their concerns in advance of their hearing. Landlords and tenants are not required to reach an agreement.


If parties are unable to reach an agreement in mediation, a formal hearing would be held.”


AJ LAW LLP’s Filipino Lawyer and Licensed Paralegal will be happy to assist you if you have landlord and tenant issues. Avail of a free consultation with us and let a Filipino Lawyer and Paralegal at AJ Law LLP help you. Call us at +1 416 409-5991 or email us at info@ajlawpartners.ca.