To further safeguard tenants, the Ontario government is maintaining the rent increase guideline for 2024 at 2.5 per cent, significantly lower than the average inflation rate of 5.9 per cent.
The rent increase guideline is the highest amount a landlord can raise rent during the year for most tenants, without the consent of the Landlord and Tenant Board.
The guideline is derived from Ontario’s Consumer Price Index, a measure of inflation computed by Statistics Canada using data that reflects economic conditions over the past year. Without the limit, the recent rate of inflation would have led to an increase of 5.9 per cent in 2024.
However the cap doesn’t apply to newer rental units first occupied after November 15th of 2018. Landlords must also give tenants at least 90 days’ written notice of a rent increase.
