What 1.9% looks like
On a $2,500 rent, 1.9% is $47.50, so the new rent would be $2,547.50 a month. On $2,200, it's $41.80. Smaller than recent years, but it compounds.
| Year | Guideline |
|---|---|
| 2027 | 1.9% |
| 2026 | 2.1% |
| 2025 | 2.5% |
| 2024 | 2.5% |
| 2023 | 2.5% |
| 2022 | 1.2% |
The province works the figure out from inflation over the June-to-May year before it, and the guideline itself can't go above 2.5%. The full history is on Ontario.ca.
Does the guideline apply to your unit?
For a lot of Toronto condos, the building's first move-in date decides it. If the unit was first lived in after November 15, 2018 (a new building, an addition, most new basement apartments), the guideline doesn't cap your increase. If you're relying on that, keep records that show it, and consider stating the exemption in the lease. The Board can confirm a unit's status if it's ever disputed.
Between tenants, the guideline doesn't apply either. Rent for a new tenancy is whatever you and the incoming tenant agree to. The guideline then governs increases from there, if the unit is covered.
When you can raise it
At least 12 months after the tenant moved in or after their last increase, with at least 90 days' written notice on the Board's form. Mail counts as delivered five days after you send it. Don't count the day you hand it over.
| Increase takes effect | Hand-delivered by | Mailed by |
|---|---|---|
| March 1, 2027 | December 1, 2026 | November 26, 2026 |
| April 1, 2027 | January 1, 2027 | December 27, 2026 |
| June 1, 2027 | March 3, 2027 | February 26, 2027 |
| September 1, 2027 | June 3, 2027 | May 29, 2027 |
| December 1, 2027 | September 2, 2027 | August 28, 2027 |
A notice that's short of 90 days isn't valid. If you've missed a date, give a fresh notice with a later one.
Which notice to use
The N1 Notice of Rent Increase covers most units, for increases at or below the guideline, or above it where the Board has approved or is considering an application. Landlords of units they consider exempt from the guideline use the N2. If the tenant agrees in writing to an increase above the guideline because you've done capital work or added a service, that's the N10, and no separate N1 is needed.
To go above 1.9% on a covered unit without the tenant's agreement, you apply to the Board for a rent increase above the guideline. Until it rules, the tenant only has to pay the guideline amount.
The deposit moves with the rent
When the rent goes up, you can ask the tenant to top up their last month's rent deposit to match the new rent. The interest you owe on that deposit each year is set at the guideline in force when it's due, and you can use it toward the top-up. There's more on deposits in what you can ask a renter for.
One more date to know: a tenant can challenge an improper increase within 12 months of it first being charged.
Quick answers
What is Ontario's rent increase guideline for 2027?
1.9%. It was 2.1% for 2026 and 2.5% for 2023, 2024 and 2025.
How much notice do I need to raise the rent in Ontario?
At least 90 days' written notice on the Board's form, and at least 12 months must have passed since the tenant moved in or their last increase.
Does the guideline apply to a condo first occupied after 2018?
No. Units first occupied for residential purposes after November 15, 2018 aren't capped by the guideline, but the 12-month and 90-day rules still apply.
Can I raise the rent between tenants?
Yes. Rent for a new tenancy is set by agreement with the incoming tenant.
Can I raise the rent by more than 1.9%?
On a covered unit, only with the Board's approval or the tenant's written agreement for capital work or a new service (Form N10).
Not sure what your unit should rent for?
Tell us about it. We'll come back with a rent for your building, based on what similar units there have actually leased for, and a plan to get it leased.
Sources: Ontario.ca: Residential rent increases (updated June 23, 2026); Tribunals Ontario: Form N1 and its instructions, Form N2, and the LTB notice on units first occupied after November 15, 2018; A guide to the standard lease for rental housing; Steps to Justice (CLEO) on Forms N1 and N2. Current forms are on Tribunals Ontario, and the Landlord and Tenant Board answers questions at 416-645-8080. This guide is general information, not legal advice. nestabode · HouseSigma Inc. Brokerage.