Ontario Rent Rules Change September 21, 2026: What Tenants and Landlords Need to Know

Ontario’s rental rules change again on September 21, 2026. The new provisions shorten the notice period for unpaid rent, define one form of persistent late payment, change what some tenants must do before raising issues at an arrears hearing, and introduce new rules for own-use and renovation evictions.

The changes come from amendments to the Residential Tenancies Act made through Bill 60 and Bill 97, supported by Ontario Regulations 240/26 and 241/26.

An eviction notice still does not allow a landlord to personally remove a tenant or change the locks. Where an eviction order is required, the landlord must apply to the Landlord and Tenant Board, commonly called the LTB, and follow the legal enforcement process.

Ontario rental rules changing September 21

The N4 notice period falls from 14 days to 7

A landlord can serve an N4 notice when a tenant has not paid the full rent by the date it is due.

For monthly, yearly and most other tenancies, the termination date currently must be at least 14 days after the notice is given. Starting September 21, 2026, that minimum falls to seven days.

Daily and weekly tenancies already use a seven-day minimum.

The shorter timeline allows a landlord to reach the point where an L1 application can be filed sooner. It does not produce an immediate eviction order.

A tenant who receives an N4 can still void the notice by paying all rent owing before the landlord files an L1 application. This includes the arrears stated on the notice and any additional rent that came due afterward.

If the landlord has already filed an L1, payment can still resolve the application, although the required amount may include the landlord’s filing fee. Different rules apply after an eviction order is issued.

Landlords should not use the seven-day calculation before September 21. An N4 served before the new rule takes effect must follow the current notice period. A notice with an incorrect termination date can be dismissed, forcing the landlord to start again.

Tenants should treat an N4 as time-sensitive even when they dispute the amount. Check the rent ledger, compare it with payment records and respond in writing. Do not assume that the termination date printed on the notice is the date you will be physically removed, but do not ignore it either.

Three late payments within six months can establish a persistent pattern

Ontario is adding a prescribed definition for one form of persistent late payment.

Starting September 21, persistent late payment includes a situation where a tenant fails to pay rent within seven days after it becomes due on at least three occasions during any six-month period.

A delay does not count under this test when it was caused solely by the landlord applying a payment to another amount owing, such as older arrears, instead of the current month’s rent.

Reaching the threshold does not create an automatic eviction. A landlord must use the proper notice, generally an N8, apply to the LTB and prove the payment history. The tenant can dispute the application at a hearing.

The regulation also allows the LTB to find persistent late payment in other circumstances. The three-in-six-month benchmark is therefore not the only possible pattern the Board can consider.

Both parties should keep a rent ledger showing:

• the date each payment was due;
• the amount due;
• the date and amount actually paid;
• how partial payments were allocated; and
• any written payment arrangements.

Bank records and e-transfer confirmations can help, but they may not show how a landlord applied the money. Rent receipts and a clear ledger provide a better record.

Some tenants must pay half the arrears before raising other issues

At a non-payment hearing, section 82 of the Residential Tenancies Act allows a tenant to raise certain issues that could otherwise be the subject of their own tenant application. These can include maintenance failures, harassment, illegal entry or interference with the tenant’s rights.

Starting September 21, a tenant who wants to raise those issues at the arrears hearing must generally pay 50% of the rent arrears claimed in the landlord’s application. Ontario Regulation 241/26 sets the payment deadline at no later than seven days before the hearing.

This rule does not prevent the tenant from attending the hearing or responding to the landlord’s evidence. It applies to the use of section 82 to bring separate tenant issues into the non-payment proceeding.

Tenants can still file their own applications, such as a T2 application concerning tenant rights or a T6 application concerning maintenance. Those applications have separate requirements and deadlines.

A tenant planning to rely on section 82 should prepare early. Waiting until the hearing date to explain a maintenance problem may no longer be enough. Keep repair requests, inspection records, photographs, emails and other evidence, and review the current LTB instructions as soon as the hearing notice arrives.

Landlords gain a 120-day own-use option without compensation

An N12 notice can be used in limited circumstances when a landlord, qualifying family member or caregiver genuinely needs the rental unit for residential occupation.

Under the standard process, a landlord generally gives at least 60 days’ notice and pays the tenant an amount equal to one month’s rent, or offers another acceptable rental unit. The termination date must fall at the end of a rental period or fixed term.

Starting September 21, a landlord serving an own-use notice under section 48 can avoid the one-month compensation requirement by giving at least 120 days’ notice.

This creates two possible approaches:

• at least 60 days’ notice with one month’s compensation; or
• at least 120 days’ notice without that compensation.

The longer option applies to qualifying landlord own-use notices under section 48. It does not remove compensation for every N12, including purchaser-use notices under section 49.

The landlord must still act in good faith. The person named in the notice must genuinely intend to occupy the unit as a residence for at least one year. Giving 120 days’ notice does not weaken that requirement or eliminate the need for an LTB order if the tenant does not leave.

Tenants are not required to move simply because an N12 was delivered. They can remain in the unit and dispute the application at the LTB.

The named occupant should move in within 60 days

A related rule strengthens the test for bad-faith own-use evictions.

Starting September 21, if the person named in the N12 does not move into the rental unit within 60 days after the former tenant leaves, the law may presume that the landlord served the notice in bad faith.

This is a rebuttable presumption. It does not automatically decide the case, but the landlord may need to provide evidence explaining why the move did not occur within the prescribed period.

A landlord planning an own-use eviction should keep documents supporting the intended move, such as correspondence, moving arrangements, utility records and evidence of occupancy.

A former tenant who believes the notice was used in bad faith should preserve the N12, lease, advertisements, messages and evidence showing how the unit was used after they moved. Tenant applications involving bad-faith termination have strict filing deadlines.

Renovation evictions require more written communication

Tenants displaced by major repairs or renovations can preserve a right of first refusal to return to the unit after the work is complete. The tenant must normally notify the landlord in writing before leaving that they want to exercise this right.

Starting September 21, landlords face stronger communication requirements when that right applies. The new framework requires written information about the expected completion of the work, updates when the timeline changes and notice when the unit is ready for occupancy.

Once the unit is ready, the former tenant has 60 days to exercise the right of first refusal.

Returning tenants are generally entitled to occupy the unit at the rent that would have applied if they had not moved out, subject to lawful increases. A landlord cannot simply complete the renovation and offer the unit to someone else at a higher market rent while ignoring a valid right of return.

Tenants should provide their forwarding address and contact information in writing and keep proof that the landlord received the request. Landlords should maintain a dated communication log throughout the project.

The September changes do not raise everyone’s rent

The September amendments do not create a new general rent increase.

Ontario’s 2026 rent increase guideline remains 2.1% for most rent-controlled units. A landlord generally must provide at least 90 days’ written notice using the correct form, and at least 12 months must have passed since the beginning of the tenancy or the previous increase.

Some units first occupied for residential purposes after November 15, 2018 are exempt from the guideline, although notice and timing rules can still apply.

The September amendments also do not remove the landlord’s duties concerning maintenance, vital services, lawful entry, rent receipts or reasonable enjoyment of the unit.

Canooq’s budget planner can help tenants account for rent and other recurring housing costs. New renters can also review the credit score guide and New to Canada resources before completing a rental application.

Other LTB changes already took effect July 1

A separate group of rental-law changes took effect on July 1, 2026.

The time to request a review of an LTB order was reduced from 30 days to 15 days for orders issued on or after July 1. The Board can extend that deadline when it considers an extension just and appropriate, but parties should not rely on receiving one.

Other July changes included:

• mandatory use of the LTB Payment Agreement Form for qualifying repayment agreements under section 206;
• new rules for tenant-installed window and portable air conditioners;
• shorter service deadlines for certain above-guideline increase documents; and
• higher maximum fines for offences under the Residential Tenancies Act.

The maximum court fine increased to $100,000 for an individual and $500,000 for a corporation. These are maximum penalties for prosecuted offences, not automatic amounts awarded in an ordinary LTB case.

What tenants should do before September 21

Pay rent by the due date whenever possible and keep proof of every payment. If payment will be late, communicate in writing and propose a realistic repayment plan.

Tenants should also:

• request a clear rent ledger if the amount owing is disputed;
• open and read every N-form and LTB notice immediately;
• record maintenance requests and landlord responses;
• seek help early if an N4, N8, N12 or N13 is received;
• keep proof of any right-of-first-refusal request; and
• remember the 15-day deadline for requesting review of a recent LTB order.

Important housing and payment dates can be added to Canooq’s Canada money calendar.

What landlords should update

Landlords and property managers should replace outdated notice templates and verify that staff understand which rules apply before and after September 21.

Before serving a notice:

• confirm which version of the law applies;
• use the current LTB form and instructions;
• calculate the termination date carefully;
• verify the rent ledger and payment allocation;
• keep proof of service;
• choose the correct N12 notice and compensation approach; and
• create a written notification process for renovation files.

The shorter N4 timeline does not protect an application containing the wrong rent amount, service method or termination date. Proper records remain central to every LTB proceeding.

Sources

• Landlord and Tenant Board legislative update
• Ontario Residential Tenancies Act
• Ontario Regulation 241/26
• Ontario Regulation 240/26
• Bill 60, Fighting Delays, Building Faster Act, 2025
• Ontario’s 2026 rent increase guideline
• LTB guide for unpaid rent

Last updated August 29, 2026. This article provides general information, not legal advice. The form, service date, application date and facts of a tenancy can change which rules apply. Check the current LTB instructions before serving a notice, making a payment or filing an application.