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UPDATE – Effective December 31, 2012, rents will be reduced by 0.71%. For more information refer to our post “Automatic Rent Reduction in 2013” https://eastyorktenantsgroup.com/2012/12/13/automatic-rent-reduction-in-2013/

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Annual Rent Increase Guideline for 2013 will be 2.5%.  The 2.5% guideline represents  the maximum percentage by which a landlord can increase rent in 2013.

Tenants should note that the Ontario government bases the calculation of the annual rent increase on the Consumer Price Index (CPI) which is compiled annually by Statistics Canada.  The CPI which is currently calculated at 2.6% is higher than 2.5% approved for the 2013 annual rent increase. This decrease was the result of legislation passed by the Ontario Government on June 13, 2012 and which  resulted in an amendment to the Residential Tenancies Act, 2006. This amendment ensured that the Annual Rent Increase Guideline for 2013  will be capped at 2.5 per cent.  Is it possible that the government is acknowledging that the CPI formula is flawed and does not reflect the actual cost of living expenses?  Will leave that question for the economists to ponder.

We tenants are grateful that rent increases have been capped and, compared to the 2012 Rent Increase Guideline, there will be a decrease in the annual rent increase guideline for 2013.  However, we must keep in mind that landlords can apply to the Landlord and Tenant Board for an Above Guideline Increase. Landlords will have to make a successful application to the Landlord and Tenant Board in order to raise rents above the capped increase of 2.5%.

Once again the Federation of Rental-Housing Providers of Ontario (FRPO) have indicated they are not enthused by the level of the annual rent increase. The FRPO argued for a much higher increase in their submission to the Ontario government. Refer to this link: http://www.frpo.org/documents/FRPO%20Bill%2019%20Deputation1.pdf  Fortunately for tenants the legislation passed by the Government of Ontario reflected the current economic realities facing renters and set a cap of 2.5% on the 2013 annual rent increase.

For more detailed information on the 2013 Rent Increase Guideline check these links:

http://news.ontario.ca/mah/en/2012/06/2013-rent-increase-guideline.html

http://news.ontario.ca/mah/en/2012/06/the-2013-rent-increase-guideline.html

IMPORTANT NOTICE ON LAST MONTH RENT (LMR) – The landlord must pay the tenant interest on the rent deposit every year. Under the Residential  Tenancies Act the interest charged on your last month’s rent will be equal to that year’s Annual Rent Increase Guideline amount. Landlords have the option to add that interest to your last month’s rent deposit or that interest can be applied as a reduction in your annual notice of a rent increase. Check this link: http://www.ltb.gov.on.ca/en/Key_Information/STDPROD_098894.html

Recently tenants at both 165 and 195 Barrington Avenue apartment buildings became aware of changes to the security system implemented by Ranee Management. Effective the end of May the security guard services will cease.  Instead, tenants will have to rely entirely on the electronic surveillance system that was installed. The installation of the security system is reputed to have cost approximately $50,000 per building.  We need to look carefully at how that stacks up in the long term against the annual salary of $20,000 – $25,000 for security guards monitoring apartment buildings. Any savings should be passed on to tenants in the Continue Reading »

UPDATE: A reduction in rent will also apply for the year 2013. For more details refer to this link: http://www.eastyorktenantsgroup.com/2012/12/13/automatic-rent-reduction-in-2013/
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The decrease in municipal property taxes will result in a reduction in rent for tenants in residential properties. This means that  tenants can look forward  to a small reduction in their monthly rental payments effective December 31, 2011.  Although the decrease in rent of 0.79% seems to be an insignificant amount most of us will welcome any reduction in rental payments in these troubled economic times. This modest decrease comes at an opportune time for tenants since the 2012 Rent Increase Guideline of 3.1% is a substantial increase compared to what was allowed in recent memory.

Tenants should note that they do not require permission from the landlord or the Landlord and Tenant Board to reduce their rent by 0.79%.  However, as a courtesy, you should discuss how the reduction will be done with your landlord.

Incidentally, not all residential properties are affected by this rent reduction. Information about this decrease in property taxes and the reduction in rent has been mailed out by City of Toronto only to tenants who qualify for the reduction.  The  properties excluded from the reduction include public housing, non-profit housing, etc.  For more details on how this reduction is to be applied and to see if you qualify for a rent reduction you should check:  http://www.toronto.ca/housing/rent-lower.htm.   For your convenience a sample calculation is provided at that website.  You can also phone City of Toronto hotline 311 if you have questions.

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NOTES
1.  The Federation of Metro Tenants’ Associations (FMTA) has posted a Q & A that provides clarification about the rent reduction. Check this link:  http://www.torontotenants.org/news/automatic-rent-reductions-2012-questions-and-answers
2. This reduction in rent is covered under Section 131 of the Residential Tenancies Act. Refer to this link:  www.ltb.gov.on.ca

The recent fire at 500 Dawes Road once again raises the issue of adequate fire safety regulations in apartment buildings, especially older buildings that might not meet current City of Toronto building regulations

According to news reports, the fire started in the elevator shaft of the building where the superintendent and a maintenance man were working on the elevators with a soldering gun. There was an explosion and a fire started in the elevator sending plumes of black smoke up to every floor.  This particular building is an older building with no roof hatches to vent the smoke so thick plumes of smoke wend their way through apartment units, windows, hallways and balconies. Some tenants were unable to exit the building quickly and had to be treated for smoke inhalation. Those in the elevator in question received serious injuries and had to be treated in hospital.  Clearly this building needs to be evaluated for fire safety code compliance.

Recently there was also a serious fire occurring on one of the balconies at 165 Barrington Avenue. That fire has been attributed to discarding lighted cigarette butts over balconies. Damage to the balcony in question was extensive and the heavy smoke emanating from that fire inconvenienced tenants on several floors. Fortunately there were no injuries but several tenants who were affected by the smoke seeping into their units and the hallways remain very concerned about this incident.  Tenants in this building frequently complain of finding butts on their balconies. Notices have been posted by management cautioning tenants about discarding lighted cigarette butts over their balconies and also encouraging tenants to forward any information they have about this incident.

Most us in the GTA  recall that massive fire that occurred at a TCHC apartment building on Wellesley Street last year.  Many of the residents were stranded for days and unable to return to their units.  That fire was also attibuted to a lighted cigarette butt that landed on a balcony packed with various items that included combustible materials stored there.  Massive hoarding of all kinds of stuff in apartments and balconies is neither safe nor healthy and has become somewhat of an epidemic nowadays. In addition to being  a serious fire hazard there are unpleasant outcomes from this practice.  Many of the hoarded items are scavenged either from the street or from items discarded at the rear of apartment buildings. These scavenged items often bring unwanted visitors such as bed bugs, cockroaches, and who knows what else, to apartments !  All the excess items that tenants hoard should be stored either in apartment lockers or in a public storage facility.

The fires caused by careless discarding of cigarette butts brings us back to the issue of the rights of  ‘smokers’ versus ‘non-smokers’. (Refer to our post on this issue:  Smoke Free Housing).  This is not only safety issue but also a health issue as it is well-documented that smoking can damage a person’s health.  Cigarette smoke infiltrating through electrical outlets and other crevices in poorly insulated buildings exposes non-smoking tenants to second-hand smoke.  Perhaps it is time reconsider whether or not tenants have a right to smoke in their unit or on their balcony since that activity can compromise both the safety and health of other tenants.

Tenants should take note that the property managers/landlords are required to perform  annual fire safety checks to ensure the building meets the municipal building code. If buildings are up to code and the fire/smoke alarms are operating then tenants are assured that they will be made aware of a fire in a timely manner and can protect themselves accordingly.

For your own benefit and safety it is recommended that  you check out the City of Toronto fire Safety and Fire prevention tips http://www.toronto.ca/fire/prevention/

The 2011 Ontario Provincial election will take place October 6, 2011

At this time of fiscal constraints, inflation, jobless rate, environmental concerns and continuing economic uncertainties, the daily lives of many Ontarians are affected adversely.  In particular, many tenants seeking affordable housing face tough choices trying to keep a roof over their heads and feeding their families.  In this election it is critical that candidates seeking your support find creative Continue Reading »

(UPDATE – Check this link for details about the Annual Guideline Increase for 2013:  http://wp.me/pia0J-TX)

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The announcement by the Ontario Government of a 3.1% rent increase in 2012 is cause for concern among most tenants, especially those tenants surviving on modest incomes.  Landlords can increase rents by 3.1% without making an application to the Landlord and Tenant Board in 2012.
Refer to this link: http://www.ltb.gov.on.ca/stdprodconsume/groups/csc/@ltb/@keyinfo/documents/resourcelist/stdprod_088485.pdf

The explanation for this dramatic increase in the annual rent increase guideline has been attributed to the increase in the Consumer Price Index (CPI). Rick Bartolucci, Minister for Municipal Affairs and Housing, has acknowledged that this sharp increase in annual Continue Reading »

 

The 41st federal election will take place on Monday May 2, 2011.
 
Candidates from the various political parties are now soliciting for your vote. Nowadays we all have to become more engaged in politics and pay close attention to what our politicians are saying versus what they are doing. It is very important for voters to get informed on where a political party and a candidate stand on issues of vital importance. These issues often have a real short- or Continue Reading »

Special contribution by I. Aagaard

Today I discussed the upcoming federal election with a friend of mine. We talked about the growing voter apathy and bounced around possible reasons for this most serious problem.

I am in the wine business, so taking a quick look at our current political parties and their leaders and compare them to common Continue Reading »