As of September 21, 2026, Ontario's rental landscape has shifted in meaningful ways. Whether you own an investment property, rent out a basement unit, or are a tenant in Guelph and the surrounding area, these updates affect how tenancies are managed, how disputes are resolved, and how quickly timelines move.

Here is a clear overview of what has changed and what it means for you.

The Background

The second wave of amendments under Bill 60 and Bill 97 took effect on September 21, 2026, introducing shorter eviction timelines, a codified definition of habitually late rent, financial prerequisites for raising certain issues at hearings, and revised compensation rules for personal use evictions. These follow an earlier round of changes that came into force on July 1. The province's stated goal is to reduce backlogs and speed up disputes at the Landlord and Tenant Board (LTB). Immigration News Canada

Unpaid Rent: A Shorter Notice Period

When rent goes unpaid, a landlord serves an N4 notice. For an N4 given on or after September 21, 2026, the notice period has been shortened from 14 days to 7 days. Any N4 served before that date must still use the previous 14 day period to be legally valid.

A Clear Definition of Persistent Late Payment

For the first time, the rules spell out what "persistently late" means. A tenant can now be considered persistently late if they fail to pay rent within seven days of the due date on at least three separate occasions within six months. This gives landlords a specific standard when documenting late payments and pursuing an N8 notice. For tenants, repeated late payments can now create a clearer basis for a landlord to seek to end a tenancy, even if the rent is eventually paid. blogTOMoneySense

New Conditions at Non Payment Hearings

Tenants facing an arrears hearing have traditionally been able to raise their own concerns, such as maintenance problems, harassment, or illegal entry. For landlord applications made on or after September 21, 2026, a tenant who wants to raise those issues at the hearing must generally pay 50% of the rent arrears claimed. Applications filed before that date continue under the previous rules, even if the hearing happens later. That payment must be made no later than seven days before the hearing. CanooqCanooq

Own Use Evictions: A New 120 Day Option

Previously, a landlord ending a tenancy so that they or a close family member could move in had to file an N12, give at least 60 days' notice, and pay one month of rent as compensation. Landlords now have a choice. They can continue using the 60 day process, or provide at least 120 days' notice and avoid paying that compensation. NOW TorontoblogTO

There are important conditions. To qualify, the N12 must be given on or after September 21, the termination date must be at least 120 days later, and it must fall at the end of a rental period or fixed term. The waiver also has limits: notices where a purchaser intends to move in remain subject to the existing one month compensation requirement. This matters for anyone selling a tenanted property, since the buyer's move in does not qualify for the new exemption. Immigration News CanadaImmigration News Canada

The province has also added safeguards against misuse. The landlord or other person named on the N12 must generally occupy the unit within 60 days of the date on the notice. If they do not, the former tenant can bring a bad faith eviction application, and the N12 is presumed to have been given in bad faith unless the landlord can rebut the claim. Moving2Canada

Renovations and the Right to Return

Some of the new rules give tenants additional rights if they are asked to leave for major renovations or repairs. A tenant who states in writing that they want to return after the work is finished triggers a process the landlord must follow. Moving2Canada

Changes That Took Effect July 1

Several updates have already been in place since the summer. For an LTB order issued on or after July 1, 2026, a request to review must generally be made within 15 days rather than 30. Tenants also gained the right to install a window or portable air conditioner with written notice, a mandatory LTB Payment Agreement Form was introduced for repayment plans, and maximum fines doubled to $100,000 for individuals and $500,000 for corporations. PowerhousepmOntarioLandlord

What Has Not Changed

Two points are worth emphasizing. First, an eviction notice still does not allow a landlord to personally remove a tenant or change the locks. Where an eviction order is required, the landlord must apply to the LTB and follow the legal enforcement process. Second, rent control remains in place. The 2026 rent increase guideline is 2.1% for most rent controlled tenancies, and landlords must generally provide at least 90 days' written notice. Many units first occupied after November 15, 2018 may be exempt from the guideline. CanooqPowerhousepm

Practical Steps

For landlords, now is the time to update your forms, keep a detailed rent ledger, and review any N12 carefully before serving it, particularly if a sale is involved. For tenants, setting up automatic payments, keeping records of all communication with your landlord, and understanding your rights around renovations and own use notices will help you stay protected.

We're Here to Help

If you own a rental property, are considering an investment purchase, or are weighing whether to sell a tenanted home, these changes can affect your timing and your strategy. The team at Coldwell Banker Neumann Real Estate is happy to walk you through how the new rules apply to your situation.



This article provides general information only and does not constitute legal advice. For guidance on a specific tenancy matter, please consult a licensed paralegal or lawyer.