Managing Rent Increases
If you wish to increase the rent for the next term, it is essential to inform the tenant 3 to 6 months before the end of the term, if the lease is for a fixed term of 12 months or more. The tenant will have the choice of accepting or refusing the increase. If he refuses, he must give notice to the landlord within one month of receiving notice of the change. If necessary, the landlord can apply to the Rental Administrative Tribunal to have the rent set. Sample notices and a calculation tool are available on the Tribunal administratif du logement website. Please note that a tenant of a dwelling located in a building built less than 5 years ago who refuses the increase announced for year 2, 3, 4 or 5, will have to leave the dwelling at the end of the term and will not be able to apply for the rent to be fixed.
What If the Tenant Wishes to Leave?
The law stipulates that the tenant can apply to the Tribunal administratif du logement to have the lease terminated if the landlord fails to meet his or her obligations and the tenant suffers serious prejudice as a result. If the tenant obtains HLM housing, moves to a retirement home or CHSLD due to ill-health, or can no longer occupy his or her dwelling due to a disability, he or she may terminate the lease two months after sending notice to the landlord, if the lease was for a fixed term of 12 months or more. In this case, the tenant must provide proof of disability, such as an attestation or medical certificate.
Similarly, a lease termination may be obtained if the tenant is experiencing domestic or sexual violence, or if a child living in the dwelling is experiencing violence and his or her safety, or that of the tenant, is threatened.
Ready to become a landlord now? Don’t forget to purchase an insurance policy specifically for rental properties before you start advertising for tenants!