Real Estate

The Ford government removed rent control on new units. A year later tenants are reporting double-digit increases

  • Last Updated:
  • Nov 26th, 2019 12:07 am
Deal Addict
Dec 4, 2016
1797 posts
829 upvotes
onlineharvest wrote: And FYI, the yearly renter turnover rate across the country is roughly 19-20%, but I believe it's below the national average in Toronto.

It is true that some people are in an enviable position with below market rates, but to bank on that trend considering the avenues landlords have to evict you is not something I would count on indefinitely. Owner occupied claims have sky rocketed, and if landlords are expected to run their investment property as a business (as they should), they won't stomach being in the red for long.

It's a can that has been kicked down the road for some, but it will eventually affect you. Either from a lack of mobility, or realizing a much higher rate if you do (which has a compound effect, higher for you to leave, and higher for the next tenant who takes over your unit).
Ontario seem to still have decent number of institution owned apartments, which are easy targets for RTA and activists. BC basically stopped building rentals decades ago, unless the builder is basically paid to build them (via density and zoning concessions).
Member
Sep 7, 2018
410 posts
292 upvotes
Sennzy wrote: lol. The rent on my Harbour Plaza unit in 2017 was $2150. 2018 $2300. 2019 $2450. All tenants found thru MLS in under 10 days. Multiple offers and apps every time. I get to choose the pick of the litter.

Rent def not up tho.
Unfortunately my tenants have stayed put, it's good because of the steady income but I'm missing out on at least $500 extra per month with current rental trends in the city.
Deal Guru
Feb 29, 2008
10903 posts
6115 upvotes
onlineharvest wrote: And FYI, the yearly renter turnover rate across the country is roughly 19-20%, but I believe it's below the national average in Toronto.

It is true that some people are in an enviable position with below market rates, but to bank on that trend considering the avenues landlords have to evict you is not something I would count on indefinitely. Owner occupied claims have sky rocketed, and if landlords are expected to run their investment property as a business (as they should), they won't stomach being in the red for long.

It's a can that has been kicked down the road for some, but it will eventually affect you. Either from a lack of mobility, or realizing a much higher rate if you do (which has a compound effect, higher for you to leave, and higher for the next tenant who takes over your unit).
Bingo. A landlord isn't going to sit back and get $500 under-value rent for a decade. He/she is going to legally do what they can to get the tenant to pay that rent or get them out (again, legally). Anyone who thinks that they can corner their landlord into accepting well below market rent is extremely naive.

I'm not all for rents rising to the moon either. But limiting supply will do just that. Renters who are in a good situation right now are not really thinking about having to one day pay market rent. They will, and they can't complain about it now.

I've always said I'm here for solutions that help both sides.
Banned
User avatar
Oct 30, 2019
193 posts
246 upvotes
Toronto
JayLove06 wrote: Bingo. A landlord isn't going to sit back and get $500 under-value rent for a decade. He/she is going to legally do what they can to get the tenant to pay that rent or get them out (again, legally). Anyone who thinks that they can corner their landlord into accepting well below market rent is extremely naive.

I'm not all for rents rising to the moon either. But limiting supply will do just that. Renters who are in a good situation right now are not really thinking about having to one day pay market rent. They will, and they can't complain about it now.

I've always said I'm here for solutions that help both sides.
I know people who brag about the amazing deal they have with their condo apartments because they are locked in due to rent controls.

But there will be a day when their landlord either moves in a family member, or heck, they may even sell the darn thing. What then? Unfortunately, these same people aren’t putting away their rental savings. They are spending it.

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