Above-Guideline Rent Increase (AGI) in Ontario: What Tenants Can Do
Your landlord served you with notice of a rent increase well above the annual guideline. They can apply to the LTB to do that — but only on narrow grounds, a...
Frequently Asked Questions
How is an AGI different from the regular annual rent increase?
The annual guideline (set by the Ministry of Municipal Affairs and Housing) is the rent increase a landlord can pass through automatically each year. An AGI is an LTB-approved increase ABOVE the guideline, allowed only for specific categories: extraordinary tax increases, eligible capital expenditures, or new security-service costs.
Do I have to keep paying rent during the AGI hearing?
Yes — pay the original rent (or the guideline-only increase if applicable). Do NOT pay the AGI portion until the LTB issues an order. Withholding all rent can lead to an L1 eviction application.
How long does an AGI application take to resolve?
AGI applications are typically scheduled within 6-12 months of filing, sometimes longer. Complex cases with many capital items can take a year or more.
Can my landlord apply for an AGI every year?
In theory yes, but the same expenditures cannot be claimed twice and the regulations amortize capital costs over a useful-life period. Repeat AGIs every year for the same building category will face scrutiny.
What if my landlord is in newer rental construction (built after Nov 15, 2018)?
Most newer rental units are exempt from the rent-increase guideline under section 6.1 of the RTA, meaning the landlord is not capped by the annual guideline at all. Whether the AGI process applies in those cases depends on the specific exemption and contract terms.
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