Learn the New Regulations, Current Market Conditions, and Your Rights as a Landlord
By
Nick Labrosse
Looking to generate extra income with a second property? Rental properties remain an excellent way to do just that! With demand for rental units staying high in Ontario, especially in cities like Ottawa where rents increased 1.9% annually to an average of $2,200, there’s significant opportunity for landlords.
However, regulations have changed dramatically since 2022. This updated guide will help you navigate new laws, understand current market conditions, and maximize your returns while staying compliant with all provincial regulations.
Landlord insurance remains essential, but costs have increased. In Ontario, landlord insurance costs approximately 15%-25% more than standard homeowner’s insurance, averaging $1,435-$1,560 annually.
Many insurance providers now offer discounts for landlords whose tenants carry their own insurance policies.
The rent increase guideline for 2025 is 2.5%, the same as previous years. According to Ontario’s official guidelines, there are important new rules:
The Landlord’s Self Help Centre provides detailed guidance on calculating and applying rent increases properly.
Laws have become much stricter since 2022. Bill 97 introduces stronger tenant protections and new eviction processes for 2025, with detailed evidence required for eviction claims and stronger anti-renoviction measures.
Only the Landlord and Tenant Board can enforce eviction orders – landlords cannot personally remove tenants or change locks.
The screening process remains critical, but there are now more tenant protections and new standardized forms.
The Ontario Human Rights Commission provides detailed guidelines on fair screening practices that comply with current legislation.
Record keeping is more important than ever, especially with new tax regulations outlined by the Canada Revenue Agency.
Proper documentation helps you claim legitimate deductions and protects you during LTB hearings if disputes arise.
Ottawa has implemented comprehensive rental housing regulations since 2021, creating some of the most detailed municipal requirements for landlords in Ontario.
Rental Housing Property Management By-law (2020-255):
Short-Term Rental By-law (2021-104):
Ottawa-Specific Compliance Requirements:
Additional Ottawa Standards:
Ontario continued to post the largest annual decrease in average apartment rents (-2.7% to $2,338), although rents in the province moved up by 0.5% from March, according to recent market reports.
The CMHC’s latest rental market report shows Ottawa experienced record rental apartment completions, pushing vacancy rates higher while maintaining strong rental demand.
The regulatory landscape continues evolving with new legislative proposals in process through the Legislative Assembly of Ontario.
Stay informed through government updates and consider joining professional organizations like the Ontario Real Estate Association for ongoing education.
Bill 97 introduces stricter tenant protections and new eviction processes for 2025, including:
Landlords of most private residential rental units must use the standard lease template for all new leases, as required by the Residential Tenancies Act.
New 2025 Contract Features:
Ontario continued to post the largest annual decrease in average apartment rents (-2.7% to $2,338), although rents in the province moved up by 0.5% from March, according to national rental data.
Key Trends 2024-2025:
Ottawa presents a unique situation compared to other Ontario cities, as detailed in recent market analysis:
Ottawa Statistics 2025:
The Ottawa Real Estate Board reports continued market resilience despite broader economic challenges.
This decision is more complex in 2025 due to changing market conditions and new regulations.
Current Market Advantages:
Financial Considerations:
2025 Landlord Challenges:
Evaluate Your Situation:
Consider consulting with professionals as Labrosse Real Estate Group for personalized advice.
Read More About Nick
Renting your property in Ontario in 2025 can be profitable, but requires navigating a more complex regulatory landscape than in previous years. New tenant protections, stricter eviction processes, and evolving municipal regulations require landlords to be well-informed and organized.
If you decide to proceed, Ottawa’s market shows promising signs with sustained demand and moderate price growth anticipated. However, ensure you have the resources and knowledge to meet all legal obligations before committing to being a landlord.
If you’re interested in renting out a second suite apartment or condo in Ontario, schedule a call today.
Legal Disclaimer: This guide provides general information updated to June 2025. Landlord and tenant laws can change frequently.
Labrosse Real Estate Group
4366 Innes Road
Ottawa, ON, K4A 3W3
Direct: 613-227-6409
Email: Hello@LabrosseRealEstate.com
Office: 613-590-3000
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Nicholas Labrosse Courtier Immobilier Inc
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