Renting Well Blog

Ontario Landlords Are Now Required To Pay Tenants If They Evict On The Basis of Personal Use

Ontario Landlords Eviction

Tenants are now entitled to a full month’s rent as compensation if units used by landlords or their families

As of September 1st, the provincial law in Ontario has changed. When a landlord ends a tenancy to have family member move in or for their own personal claimed use, people evicted must receive compensation. Alternatively, landlords can offer tenants another acceptable rental unit. Landlords are also required to express an “intent to occupy” for at least a year. These measures are designed to discourage landlords from converting units into short term rentals or re-renting the units at a higher rent as a result of a hot market, like in Toronto. Breaking any aspect of this new law can garner a fine of up to $25,000.

“When a tenant is evicted through no fault of their own, they are forced to scramble to find new accommodations and cover the costs of a sudden move,”  – Housing Minister Peter Milczyn

This has proven to be an extraordinarily busy year of tweaking the Ontario Residential Tenancies Act (formally referred to as the Rental Fairness Act), courtesy of Kathleen Wynne’s Liberal government. The changes are an element of her housing plan announced this spring, which included expanding rent controls to all rental units in the province, not just those built before 1991, per the previous rule.

It’s safe to say that landlords aren’t exactly happy about these new rules, especially in a city like Toronto where the vacancy rate has been hovering at about 1%. There is significantly more demand than supply.

“This will have a very significant impact on small landlords and a very significant impact on condominiums,” – Jim Murphy/Federation of Rental-Housing Providers of Ontario.

Regardless, tenant advocates have been reporting wide spread abuse of the N12 form in the highly sought condo market in Toronto, and many are welcoming this change.

Author: Chris Saracino

Chris is a co-founder of Renting Well and heads up our marketing and communication efforts. He's also the landlord of two buildings and 8 units in Ottawa, Ontario.

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