Toronto: Proposed changes to Ontario’s rental rules will double the maximum fine for offences under the Residential Tenancies Act, 2006 – to $50,000 for an individual and $250,000 for a corporation.
The changes are aimed to better protect tenants by preventing unlawful evictions.
Tenant compensation is being increased for “no fault” and “bad faith” evictions by up to one month’s rent and 12 month’s rent, respectively, said a recent provincial government media release.
“We’ve heard the concerns from tenants who’ve been forced to leave their homes due to renovations. That’s why we are taking action to increase fines, raise tenant compensation and tighten the rules to encourage everyone to follow the law,” said Steve Clark, Minister of Municipal Affairs and Housing.
“Our government cares about the well-being of Ontarians and we want to ensure the system is fair for both tenants and landlords,” he said.
Dispute resolution process being streamlined
The statement said the proposed changes would also make it easier to be a landlord by modernizing and streamlining dispute resolution processes over time at the Landlord and Tenant Board and allowing alternatives to formal hearings to resolve certain issues and encourage negotiated settlements.
The changes would also shift many disputes such as unpaid utility bills from the Small Claims Court to the Landlord and Tenant Board, making the resolution process simpler and more streamlined.
The proposed changes build on More Homes, More Choice: Ontario’s Housing Supply Action Plan by making renting easier for both landlords and tenants.
Quick Facts
• More Homes, More Choice: Ontario’s Housing Supply Action Plan, makes it faster and easier to build housing, including rental housing, and to build the right types of homes in the right places.
• Last year, in August, new rental construction outpaced condominiums for the first time in 15 years.
• Home builders had more than 57,000 new units of rental housing planned for the Toronto area as of the end of 2019, an increase of 40 per cent over 2018.
• Ontario’s second suite and tiny home guides help people create more rental housing and navigate complex design and building processes.
Ontario passes Trust in Real Estate Services Act, 2020
The Trust in Real Estate Services Act, 2020 passed Third Reading in the Ontario legislature with unanimous support. Once in force, it will modernize the rules for registered real estate brokerages, brokers and salespersons.
Ontario will continue consulting with consumers and the real estate industry over the coming months to develop the regulations that must be put in place before the act is brought into force, said a government statement.
Once proclaimed into force, the proposed changes to the act will:
- Enable regulatory changes to improve the information consumers receive about what a real estate professional and brokerage must do for them, and that would give consumers more choice in the real estate purchase and sale process.
- Improve professionalism among real estate professionals and brokerages by allowing for regulatory changes to enhance ethical requirements.
- Update the Real Estate Council of Ontario’s (RECO) regulatory powers, including allowing it to levy financial penalties (also known as administrative penalties) to promote compliance with the act — and allowing RECO’s registrar to take into account a broader range of factors when considering eligibility for registration.
- Create a stronger business environment by laying the foundation for allowing real estate professionals to incorporate and be paid through the corporation while maintaining measures that protect consumers, as well as by enabling the creation of a specialist certif ication program that may be developed by government or by RECO.
- Bring the legislation up to date and reduce regulatory burden.
There are more than 90,000 registered real estate salespersons, brokers and brokerages in Ontario.
Ontario helping communities build more homes
Ontario government says it is reducing red tape to help communities across the province build more homes for families and create a more competitive business environment.
The new Provincial Policy Statement (PPS), released recently, sets the rules for land use planning in Ontario and guides decision-making to manage growth and development, while protecting the environment, public health and safety.
Changes to the PPS were informed by feedback from municipalities, stakeholders and the public.
The changes will:
- Give municipalities greater flexibility and control over local decision-making to support new housing and economic development
- Encourage more and different types of housing
- Help ensure an adequate supply of land on which to build more housing.
These changes will not impact the Greenbelt, ensuring that it will continue to be protected for future generations.
The Provincial Policy Statement was updated following a 90-day consultation with municipalities and stakeholders including development and business, aggregates and resources, agriculture, environment and planning sectors, as well as the public. The government also undertook direct engagement with Indigenous communities.