Being a landlord in Ontario comes with significant legal responsibilities. Whether you’re renting out a single unit or managing multiple properties, failing to comply with Ontario’s Residential Tenancies Act (RTA) can lead to fines, disputes, or even legal action. To help landlords avoid costly mistakes, this guide covers key obligations, best practices, and legal compliance.

1. Understanding the Residential Tenancies Act (RTA)

The Residential Tenancies Act (RTA) governs rental relationships in Ontario. It protects tenants while outlining landlords' rights and responsibilities. You can review the full RTA here.

✅ Key Takeaways:

• Applies to most rental properties except for some special cases (e.g., university residences, temporary accommodations).
• Landlords must follow legal eviction procedures—self-evictions are illegal.
• Rent increases must follow government guidelines (more on that below).

For a detailed breakdown, check out Understanding Ontario’s Rental Laws.

2. Rental Agreements: What Landlords Must Include

🚫 Mistake: Using informal or verbal rental agreements.

✅ Solution: All residential leases must be in writing and include:

• Tenant and landlord names
• Rent amount and payment schedule
• Rules for rent increases
• Utility responsibilities (who pays for what)
• Term of the lease (e.g., fixed-term or month-to-month)

The Ontario government provides a Standard Lease Agreement that landlords must use. Download it here.

3. Setting and Increasing Rent Legally

Landlords must follow Ontario’s rent increase guidelines and cannot arbitrarily raise rent.

✅ Rules for Increasing Rent:

• Can only be increased once every 12 months.
• 90 days’ written notice must be provided using an official N1 Form.
• The annual rent increase must not exceed the government’s guideline (e.g., 2.5% in 2024).

More details on Ontario’s Rent Increase Guidelines.

4. Maintaining the Rental Property

🚫 Mistake: Ignoring maintenance requests or delaying repairs.

✅ Landlord Responsibilities:

• Keep the rental unit in good repair and comply with health, safety, and maintenance standards.
• Respond to maintenance requests promptly.
• Ensure heating systems function properly (minimum 20°C from Sept 1 - June 15).
• Maintain common areas and provide essential services (e.g., water, heat, electricity).

Tenants can file a claim with the Landlord and Tenant Board (LTB) if maintenance issues are ignored. Read more on Landlord Maintenance Obligations.

5. Tenant Privacy: When Can a Landlord Enter?

🚫 Mistake: Entering a unit without proper notice.

✅ Rules for Entry:

• Landlords must provide at least 24 hours’ written notice.
• Entry is allowed for repairs, inspections, or showings.
• Emergencies (e.g., fire, flooding) do not require notice.
• Entry must occur between 8 AM and 8 PM.

For more details, visit Tenant Privacy Rights in Ontario.

6. Handling Security Deposits and Rent Payments

🚫 Mistake: Charging illegal deposits or fees.

✅ Security Deposit Rules:

• Landlords can only request last month’s rent as a deposit.
• No security deposits for damages.
• No pet deposits or extra fees (unless renting in a condo with specific pet rules).

For more information, check Legal Rent Collection Practices.

7. Legal Evictions: Following Proper Procedures

Landlords must use official Landlord and Tenant Board (LTB) forms for evictions. Common eviction notices include:

✅ N4 – Non-Payment of Rent: Tenant has 14 days to pay or leave.✅ N5 – Damage or Interference: Tenant has 7 days to fix the issue.✅ N12 – Landlord Needs the Unit: Requires 60 days’ notice and compensation.✅ N13 – Demolition or Renovation: Requires 120 days’ notice with a right to return.

🚫 Illegal evictions include:

• Changing the locks without an LTB eviction order.
• Forcing a tenant out without proper notice.
• Using intimidation or harassment.

For more details, read How to Evict a Tenant Legally in Ontario.

8. Addressing Tenant Complaints and Disputes

🚫 Mistake: Ignoring tenant concerns or refusing to negotiate.

✅ Best Practices:

• Communicate in writing and keep records.
• Offer solutions early to avoid formal complaints.
• If disputes escalate, mediation or LTB hearings may be necessary.

Check How to Handle Landlord-Tenant Disputes.

Final Thoughts: Stay Compliant and Protect Your Investment

Being a responsible landlord in Ontario means following the law, treating tenants fairly, and maintaining your property. By understanding your obligations, you can avoid legal trouble and foster a positive rental experience.

For expert advice, book a consultation with Carson Frankum.