In the latest move to prevent the escalation of pandemic-induced challenges facing Canadians, the Ontario provincial government has announced it will be implementing a rent freeze in the forthcoming year.
In 2021, Ontario tenants will not be subject to rent increases, as the province moves to put a freeze on residential rents. The new rules will be applicable to a large portion of rental units in the province, such as condos, apartments, and houses. Property owners will no longer be able to raise rents by the otherwise planned 1.5% increase next year. Moreover, the newest legislation will also extend the moratorium on evictions affecting small businesses.
Following news of the impending rent freeze, several of Canada’s major real estate trusts suffered a decline. Minto Apartment REIT, an Ottawa-based real estate trust fell by 3% before recovering by the end of the day. The provincial government decided to impose several additional coronavirus-related measures this week as well, including reducing limits on social gatherings in wake of a sudden and significant increase in cases.
Information for this briefing was found via the Province of Ontario. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.
One Response
On Nov 1, 2020 my rent was raised 1.5%, violating the rent freeze. I complained and was told it would be frozen for 2022 if the freeze was still in effect and would be based on 2021 2022 cost of living