Advice from Sandy Hutchens on rent guidelines
Are there Rent Controls?
Regulation of the rent applies while you are living in the apartment; This is not considered "Rent Control" by tenant advocates and housing experts though the government is claiming they have "brought back real Rent Controls".
Note, under Section 5, Exemptions from the Act, not all tenants are covered, and additionally under Section 6, Other Exemptions, that tenants such as those who are living in any part of any building, or mobile home park, or land lease community, where that space was never previously occupied for residential purposes before November 1, 1991, are not covered at all by rent controls.
When can my landlord raise my rent?
The landlord can only raise your rent once a year for as long as you live in your unit. Your landlord must give you at least 90 days' notice in writing of a rent increase, or you do not have to pay the increase.
Annual Guideline Increase
The Annual Guideline Increase is an amount set by the government each year. The "Annual Guideline Increase" is 2.6% for 2007. The landlord can apply to the Landlord and Tenant Board for an above-guideline rent increase. They can get annual increases of up to 3% above the "Annual Guideline Increase" amount for things such as repairs or renovations or new security measures, and those increases can be carry-forwarded for an additional two years. And by exclusion from Section 126, subsection 11 it appears landlords can also get rent increases with no maximums for increases in municipal property taxes, municipals fees, or increased utility costs.
The landlord can not charge above the "Annual Guideline Increase" without getting approval from the Landlord and Tenant Board. Legally, the landlord must make a copy available to you of their "Application For An Above Guideline Increase" and inform you of the date for the hearing. You can challenge the landlord's application if you have good reasons. See Part VII - Rents, Rent Increases and Decreases particularly sections 116 through 136.
Many landlords will include bills for items that don't apply, or even work that isn't completed that should not be permitted for an increase, so get advice from your lawyer or legal clinic. If you want to challenge a landlord's application it is usually prudent to do this as a group by forming a building tenants' association.
Raising rent above the level permitted under rental housing regulations. A landlord can ask you but cannot force you sign such an agreement allowing an increase in excess of rental housing regulations. The agreement can not be for more than 3% above the annual guideline under the Agreement Section 121. Be very diligent about what you are agreeing to. If you sign such an agreement, you have 5 days to inform the landlord in writing if you have changed your mind.
You may wish to sign an agreement for an added service the landlord has is offering as in the case of a dishwasher and may want to agree to pay more for that, but you should check the price, you will probably find that it is cheaper to buy it on your own. Some landlords may ask tenants to sign an agreement for an increase in rent to replace faulty refrigerators or stoves. Remember that if your apartment came with these appliances, it is the landlord's responsibility to make sure you have working ones; the landlord does not have to provide you with brand new appliances, only functional ones. Don't offer to pay extra for what the landlord is responsibility to provide.
Rent receipts
Under Section 109 of the law, the landlord must give you a receipt for paying the rent if you request it at no charge. If you pay with cash or the landlord has a bad reputation it is a good idea to demand a receipt upon payment. If the landlord refuses you should contact the IEU at at 1-888-772-9277. You should definitely get a receipt for your last month's rent deposit and for any key or pass card deposits.
Last month's rent deposit and interest
Under the Residential Tenancies Act, if the landlord requested it when you applied for the apartment, you must provide such a deposit. Once you are a tenant, you do not need to provide one, unless you agreed to do so before getting the apartment. See Section 106.
Landlords used to have to pay you 6% on your rent deposit, but under the Residential Tenancies Act, interest will now be set annually at the rate of inflation. This is in spite of the fact that the landlord can easily invest your deposit at rates much higher than the rate of inflation. For more details see Last Month's Rent Deposit and Interest.
Other "deposits" or "fees"
Additional fees or deposits are illegal, except "last month's rent" and the following: Charges that are allowed Under Regulation 516/06, Section 17, include payment for additional keys, remote entry devices or cards requested by the tenant, not greater than their direct costs, and refundable key/card deposits not greater than their direct costs. Be sure to get a receipt for this so that when you return these cards or keys when you are moving out, it will be easier to get your deposit for these back.
Where the tenant has provided a cheque that bounced due to insufficient funds in the account, the landlord may not charge more than any NSF charge the landlord had to pay to the financial institution plus up to an additional $20 "administrative charge". A charge not exceeding $250 for transferring between units, at the request of the tenant.
It is against the law for landlords to demand that you buy furniture, carpeting or draperies in an apartment, or demand that you pay painting fees, damage deposits, locker or parking space registration fees, finder's fees, or application or registration fees to get the apartment. If parking or a locker are not included in the rent, though they can not charge you a registration fee for getting them, they can charge you a monthly fee for those services.