Ontario is introducing a new, simple standard lease that will be mandatory for private residential leases signed on or after April 30, 2018, including tenancies in single and semi-detached houses, apartment buildings, rented condominiums and secondary units (such as basement apartments).

Currently there is no standardized form for rental agreements between landlords and tenants in Ontario. The new lease form is written in easy-to-understand language and is templated to capture basic information such as names and addresses, the total rent and when it’s due, and any rules or terms about the rental unit or building. It also outlines the rights and responsibilities of both tenants and landlords, and explains what can (and cannot) be included in a lease. For example, landlords cannot ban guests or pets.

Summary

Rent Increases
1.8% for 2018, 90 days’ notice – 12 months since last increase – Unless tenant leaves voluntarily
Family reason – 60 days – must be in good faith.
Family means landlord, spouse, child, parent or caregiver to the family
Now requires extra month rent to be paid as compensation
Landlord or family must occupy for at least one year or $25,000 fine

Can you evict tenant before listing home for sale?
Only if you find tenant another place to live – may also have to pay compensation
What if you have a buyer?
3 possibilities
1. Buyer assumes the tenant
2. Buyer wants vacant possession to rent to someone else for more money
3. Buyer moves in on closing
If Buyer assumes the tenant, then just say so in the agreement
If buyer wants vacant possession, then deal must be conditional on seller making a deal with the tenant
If buyer is moving in on closing, no compensation to tenant, but consider the following clause

Qualifying Tenants
Must comply with Human Rights Act
Advertise that you will do credit and reference checks
Get a copy of a current pay stub
Call every reference – especially prior landlord
Google tenant name to see if he comes up as working for the company that he claims
Check social media
Ask tenant to pay utilities
Interview tenants at their current address
How do you turn down a tenant?
“We have preferred another applicant.”
“We are still reviewing applications”

Terminating Tenancies
Tenant must give 60 days’ notice to terminate
Tenant does not need to give a reason

Landlord Notices
Non-payment of rent – 14 days
Conduct – 20 days for bothering other tenants
Conduct 10 days – if serious damage caused
Family Reason – 60 days
Buyer requires vacant possession– 60 days
Demolition, Renovation, Change of use –120 days
All forms can be downloaded from the website
Google Landlord and Tenant Board

Eviction Process
14 days – N4 Notice – the tenant has 14 days to pay the arrears – can be served immediately
30 days – to apply to Board for hearing using L1. Cost = $170
5 days – to get a copy of the order
11 days – given by Board for tenant to pay up
30 days – to go to Sherriff for eviction – Cost approx. $450
Total – average 90 days – can be extended
Use paralegal to assist you
Best to use Form N11 – Agreement to terminate a tenancy – will cost money
Best to find tenant another place to live
If tenant signs the form and then does not move out, what can a landlord do?
Landlord must still apply for eviction to Board, but process is simpler
Condo Rentals
Attach declaration, rules to any lease
Landlord will be responsible for all damages to condominium or legal costs as a result of tenant’s actions.
Even a cease and desist letter from corporation lawyer results in $750 bill plus HST which becomes a lien if you do not pay.
Air BNB
Tenants who sublet onto AirBNB are likely making a profit on their daily rental and this is not permitted
under the Residential Tenancies Act. See section 134 (3) of the Act. Still, there is no case yet saying that
renting for a night is in fact a sublet. So it is not guaranteed you can evict over this issue.