How much can a landlord raise rent in Ontario in 2026?

For most units covered by the Residential Tenancies Act, the maximum is 2.1% for rent increases taking effect in 2026, without applying to the Landlord and Tenant Board for an above-guideline increase. On a $2,000 rent that is a $42.00 increase, for a new rent of $2,042.00.

What is the Ontario rent increase guideline for 2027?

The 2027 guideline is 1.9%, down from 2.1% in 2026. It was announced on June 23, 2026 and applies to rent increases taking effect between January 1 and December 31, 2027. On a $2,000 rent that is a $38.00 increase, for a new rent of $2,038.00.

Does the 2026 or 2027 guideline apply to my rent increase?

The guideline that applies is the one for the calendar year the increase takes effect — not the year you serve the notice. Because the N1 needs at least 90 days' notice, an N1 served in October 2026 or later takes effect in 2027 and uses the 1.9% guideline; an increase taking effect on or before December 31, 2026 uses 2.1%.

When do I have to serve the N1 for a January 1, 2027 increase?

The tenant must receive at least 90 days' notice, so for a January 1, 2027 effective date the N1 must be served (deemed received) by October 3, 2026 — hand-deliver by October 3, send by courier by October 2, or mail it by September 28, 2026 (mail is deemed served 5 days after mailing).

What is an N1 form in Ontario?

Form N1 — Notice of Rent Increase — is the official Landlord and Tenant Board form a landlord must use to legally raise a tenant's rent. It must be given to the tenant at least 90 days before the new rent takes effect.

How often can a landlord raise rent in Ontario?

Rent can only be increased once every 12 months. At least 12 months must pass since the tenant moved in or since the last legal rent increase, and the landlord must provide 90 days' written notice using the N1 form.

Is there a cap on how high the guideline can go?

Yes. The guideline is based on the Ontario Consumer Price Index but is capped at 2.5% by the Residential Tenancies Act, no matter how high inflation runs. It is announced each June for the following calendar year — the 1.9% for 2027 was announced June 23, 2026.

Which rental units are exempt from the guideline?

Units first occupied for residential purposes on or after November 15, 2018 are exempt from the annual guideline, as are most community housing units, long-term care homes, and commercial properties. Landlords of exempt units must still provide 90 days' notice on Form N1.

Can a landlord raise rent above the guideline?

Yes, but only with approval from the Landlord and Tenant Board through an Above Guideline Increase (AGI) application — typically for eligible capital expenditures, extraordinary municipal tax increases, or new security services. AGI applications are filed on Form L5, and for capital expenditures the extra increase is limited to 3% above the guideline per year, spread over up to three years.

Free Tool2026: 2.1% · 2027: 1.9%

Ontario Rent Increase 2026 & 2027: How Much Can You Legally Raise Rent?

The Ontario rent increase guideline is 2.1% for increases taking effect in 2026 and 1.9% for 2027. Enter your current rent, pick the year the increase takes effect, and get the maximum legal increase and new monthly rent — then put it on the official N1 form for free.

Calculate Your Rent Increase

Based on the official Ontario rent increase guideline published annually by the Ministry of Municipal Affairs and Housing — the same rates the EasyServe N1 generator applies.

Current monthly rent

Year of rent increase

Pick the year the increase takes effect, not the year you serve the notice.

N1 Form Generator

Free

Turn this calculation into the official form: fill the Ontario N1 Notice of Rent Increase step by step — the 90-day notice and 12-month rules are checked for you — and get the LTB-ready PDF by email. Completely free.

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2026 vs 2027: which guideline applies to your increase?

The guideline that applies is decided by the calendar year the increase takes effect — not the year you serve the N1. Because the notice needs at least 90 days, N1s served from early October 2026 onward take effect in 2027 and use the lower 1.9% rate.

Guideline	Rate	Applies to increases effective	Announced
2026	2.1%	Jan 1 – Dec 31, 2026	June 2025
2027	1.9%	Jan 1 – Dec 31, 2027	June 23, 2026

Worked examples

What the maximum legal increase looks like in dollars, under each year's guideline:

Current rent	2026 (2.1%)	2027 (1.9%)
$1,800.00	+$37.80 → $1,837.80	+$34.20 → $1,834.20
$2,000.00	+$42.00 → $2,042.00	+$38.00 → $2,038.00
$2,400.00	+$50.40 → $2,450.40	+$45.60 → $2,445.60

N1 timing: the 90-day and 12-month rules

To legally raise a tenant's rent in Ontario, a landlord must use Form N1 — Notice of Rent Increase — issued by the Landlord and Tenant Board. Key rules:

90 days' written notice must be given before the new rent takes effect. Mail adds 5 deemed-delivery days and courier adds 1, on top of the 90.
At least 12 months must have passed since the tenant moved in or since the last legal rent increase.
The increase cannot exceed the annual guideline unless an Above Guideline Increase (AGI) has been approved by the LTB.
The notice must be served using one of the LTB's accepted service methods (hand delivery, mail, courier, etc.).

Planning a January 1, 2027 increase?

Count back 90 days: the N1 must be deemed served by October 3, 2026 — hand-deliver by Oct 3, courier by Oct 2, or mail by September 28, 2026. The free N1 generator checks the earliest effective date for your service method automatically.

What is the Ontario rent increase guideline?

The Ontario rent increase guideline is the maximum percentage a landlord can raise rent for most residential rental units in a 12-month period without applying to the Landlord and Tenant Board. It is set each year by Ontario's Ministry of Municipal Affairs and Housing, based on the Ontario Consumer Price Index and capped at 2.5% by law, and announced each June for the following calendar year. The guideline is 2.1% for increases effective in 2026 and 1.9% for increases effective in 2027.

Historic guideline rates

Year	Guideline	Notes
2027	1.9%	—
2026	2.1%	—
2025	2.5%	—
2024	2.5%	—
2023	2.5%	—
2022	1.2%	—
2021	0.0%	Rent freeze
2020	2.2%	—
2019	1.8%	—
2018	1.8%	—
2017	1.5%	—

Which units are exempt?

Most residential tenancies are covered by the guideline, but some are exempt — most notably, rental units in buildings first occupied for residential purposes on or after November 15, 2018. For those units there is no percentage cap on the increase itself. Community housing, long-term care homes, and commercial properties may also be exempt. Even in exempt units, landlords must still issue Form N1 with 90 days' written notice, and no more than once every 12 months.

Above-guideline increases (AGI)

A landlord can apply to the LTB for an Above Guideline Increase if they have incurred eligible capital expenditures, an extraordinary increase in municipal taxes or utilities, or added new security services. AGI applications must be filed using Form L5, and the increase only takes effect once approved by the Board. For capital-expenditure applications, the extra increase is limited to 3% above the guideline per year, spread over up to three years.

Frequently asked questions

New to the N1 itself? See the complete N1 form guide — the 90-day and 12-month rules, exempt units, and the errors that void an increase. Already need to evict for non-payment? Use our Ontario N4 Notice Generator to create a compliant N4 notice in under 10 minutes.

Disclaimer: This calculator is provided for informational purposes only and does not constitute legal advice. Rent increase rules are governed by the Residential Tenancies Act, 2006. Always confirm the current guideline with the Ontario Ministry of Municipal Affairs and Housing and consult a licensed paralegal or lawyer for advice specific to your situation.