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Lease Terms

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  • May 17th, 2015 6:51 am
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[OP]
Newbie
Jan 18, 2008
39 posts
1 upvote

Lease Terms

Renting our our apartment. Signing a lease with tenant for 18 months. Is there a clause that I can add into the lease that states I have the option to increase rent after 12 months passes with 90 day notice? How would I word that? Thanks.
6 replies
Deal Fanatic
User avatar
Jan 31, 2006
8029 posts
2357 upvotes
Toronto
Why not just sign a one year deal then an option for 6 months extension with rent increase provision (which is allow under the law). That way you are better safe than sorry.
Banned
Jan 16, 2015
869 posts
86 upvotes
Toronto, ON
You can only raise the rent about 1.6% per year regardless if he sign his first born to you after 12 months.
Deal Addict
Oct 29, 2010
4395 posts
743 upvotes
The only way to really raise it is to find someone else. 1.6% after 12 months is like nothing.
Deal Addict
Dec 21, 2010
1748 posts
1058 upvotes
GTA
You are signing him at the rate of $xxx for the 18 months. After that you can increase the rent. Otherwise, make the tenancy agreement for a twelve month term.
Award Winning Realtor - I LOVE MY JOB!!
At the end of the day, you're the boss and need to make sure I'm worth your rate of pay!
Deal Expert
User avatar
Feb 8, 2014
26915 posts
11356 upvotes
Socially Distanced
Assuming the OP is in Ontario:

1.6% is not set in stone, the government allows you to raise the rent at the previous year rate of inflation which they publish each year. Any increase above that is not legal unless your building is newer then a set date (i forget what year, you'll have to look that up)
Also you can't enforce a lease thats more then 1 year by law.

Make sure you have fully background checked your tenant, and look into other resources that can prepare you for being a landlord, its not fun and games, and make sure your using a bulletproof lease because in Ontario landlords have very few rights and tenants can legally abuse you in ways you can't imagine.
In fact in Rand McNally they wear hats on their feet and hamburgers eat people
Deal Addict
User avatar
Dec 12, 2006
4354 posts
578 upvotes
Messed Up Area
You can actually raise rent more than the 1.6% if you have done major repairs( roof, plumbing, etc.... NOT COSMETIC ) since tenant moved in. But as well if inflation rate lowers means its lower than 1.6% without repairs.

But as well landlord allowed to increase rent 12 months in even if not in contract, and lease turns to a month to month versus yearly tenant. Just make sure you have delivered rent increase via signatured mail 90 days prior to year.

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