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If you are a renter, prepare for a slight increase next year.

The provincial government will permit rents to increase by no more than 2.5 per cent.

That is lower than the average inflation rate.

“Our government knows the cost of living continues to be a challenge for many Ontarians, including renters, which is why we are holding the rent increase guideline at 2.5 per cent,” said Steve Clark, Minister of Municipal Affairs and Housing.

Any increase is not automatic or mandatory.

Landlords must give renters 90 days’ notice, in writing, of a planned hike, and twelve months must have passed since the last increase or the first day of the tenancy.

Landlords can seek an increase over the cap under certain circumstances by applying to the Landlord and Tenant Board.

The rent increase cap does not apply to rental units occupied for the first time after November 15, 2018, vacant residential units, community housing, long-term care homes or commercial properties.