Real Estate

N12 question

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  • Mar 7th, 2022 8:24 am
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[OP]
Deal Addict
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Nov 30, 2003
2693 posts
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Nepean

N12 question

I have tenants who have been renting my house for a few years now and renewing yearly leases. Their lease ends June 30th and I plan to move back into the house myself July1. I was told I have to provide the tenant with an N12 notice to evict them rather than just letting the lease end and not renewing it. With the N12 comes having to pay them 1 months rent.

I've been told there is no way around it and not renewing their lease is the same as evicting them thus the need for the N12 and costs associated.
Just want to make sure that I'm understanding this correctly. I'm a fist time landlord.
5 replies
Newbie
Apr 6, 2009
88 posts
88 upvotes
Kanata
-When fixed term lease expires, it becomes month to month, with all the previous terms in place. Tenancy does not automatically end. Ontario have Security of Tenure.

-N12 can only be used after fixed term lease has expired. You must give it at least 60 days notice and the termination date must be on the end of a rental period. Ie, if they pay their rent on the 1st of the month, the termination date must be on the last day of the month.

-If the tenants do not wish to move or believe the N12 is in bad faith, they have the right to wait for a hearing at the LTB, which can take months and months, you will need to show the adjudicator that you do intend to move in and live there in good faith. While waiting for LTB hearing, the tenant should be paying their rent as normal. You also must give them their 1 month compensation regardless or otherwise the N12 becomes invalid. So if you think this may happen, plan accordingly.

-You will want to make sure your N12 is filled in properly with basically zero mistakes. LTB do not tolerate paperwork mistakes from the landlord, where as tenants are allowed to amend any mistakes prior to the hearing. If you get any paperwork wrong or the process incorrect, then you will need to start again.

Good luck, give your tenant their 1 month compensation and hopefully they move out on their own. Most would, but some may fight the landlord tooth and nail. So yea.
Newbie
Dec 25, 2021
48 posts
89 upvotes
^Dimeron covered most of it. It's not possible to not renew a lease in Ontario from the landlord side, when a 1 year deal expires it automatically becomes a month-to month tenancy. You must give the tenants at least 60 days notice and the termination date must be on the end of a rental period, so if they moved in on the 30th, the N12 is due 60 days from the 29th, i.e. April 29th is the latest you can give it. If you give it after April 29th, it's invalid. If you make a mistake on the date or spelling, it's invalid. You must pay them 1 month's rent, but they must continue to pay rent after the notice is given. At the key exchange, give them the 1 month's rent via cheque. Don't pay them till they give you the keys. I might suggest filing an L3 for the eviction process as soon as you give them the N12, but I don't know your tenants. They can rightfully and legally ignore your N12 (they have to keep paying rent) and you would have to take it to the LTB. You'll win, but it's currently a 6-8 month wait after an L3 is filed. So my advice is have alternate plans in case they fight it. Whether they move voluntarily or you successfully win the LTB hearing for the N12, the tenants are entitled to 1 month's rent so make sure you've set that money aside.
[OP]
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Nov 30, 2003
2693 posts
411 upvotes
Nepean
Thanks for the clarification. The tenants have been great thus far and have known for well over a year that I will be needing to move back into my house. I will make sure to issue the N12 before the 60 days in order to make sure there isn't any way that it can go wrong on that side.
Deal Addict
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Dec 13, 2016
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southnam wrote: Thanks for the clarification. The tenants have been great thus far and have known for well over a year that I will be needing to move back into my house. I will make sure to issue the N12 before the 60 days in order to make sure there isn't any way that it can go wrong on that side.
I'm following this as I may need to do the same.

Please update.
Deal Addict
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Jan 2, 2012
4454 posts
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Toronto
fmrrecoemployee wrote: Don't pay them till they give you the keys. I might suggest filing an L3 for the eviction process as soon as you give them the N12, but I don't know your tenants. They can rightfully and legally ignore your N12 (they have to keep paying rent) and you would have to take it to the LTB. You'll win, but it's currently a 6-8 month wait after an L3 is filed.
Small correction, it's the L2 form that should be filed to LTB as soon as you give the N12.

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