Rent Increase Formula:
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The Rent Increase Calculator determines the maximum allowable rent increase for Ontario tenants in 2022, which is based on the Consumer Price Index (CPI) but capped at 2.5% for this year.
The calculator uses the following formula:
Where:
Explanation: The calculation takes the lower of the actual CPI or 2.5% and applies it to the current rent amount to determine the maximum allowable increase.
Details: For 2022, the Ontario government capped rent increases at 2.5%, regardless of the actual CPI. Landlords must provide proper notice (90 days) before increasing rent.
Tips: Enter the current CPI percentage (will be automatically capped at 2.5%) and your current monthly rent amount. Both values must be positive numbers.
Q1: What is the maximum rent increase allowed in Ontario?
A: For 2022, the maximum increase is 2.5%, regardless of the CPI. This cap applies to most private residential rental units.
Q2: How often can a landlord increase rent?
A: In Ontario, rent can only be increased once every 12 months with proper 90-day written notice.
Q3: Are there exceptions to the rent increase cap?
A: New buildings, additions to existing buildings, and most new basement apartments first occupied after November 2018 are exempt from rent control.
Q4: When does the 2.5% cap apply?
A: The 2.5% cap applies to rent increases between January 1 and December 31, 2022.
Q5: What if my landlord tries to increase rent more than 2.5%?
A: You can apply to the Landlord and Tenant Board to dispute the increase if it exceeds the guideline or if proper notice wasn't given.