Anticipated Significant Rent Hikes for Tenants in Quebec

Anticipated Significant Rent Hikes for Tenants in Quebec

Quebec tenants may face significant rent hikes in 2025, with the Administrative Housing Tribunal (TAL) potentially recommending a minimum adjustment of 5.8%, up from last year’s 4%. Éric Sansoucy from CORPIQ cautions that this figure is based on incomplete data and advises waiting for further updates. Landlords can set rents below the tribunal’s suggestions, but additional costs could push total increases to 6% or higher. Concerns about rising housing-related inflation and its impact on tenants were also raised by FRAPRU’s Véronique Laflamme.

Anticipated Rent Hikes for Quebec Tenants in 2025

Quebec renters should prepare for significant rent increases anticipated in 2025. Recent insights reveal that the Administrative Housing Tribunal (TAL) may propose a new minimum adjustment of 5.8%, a notable rise from the 4% adjustment rate suggested last year. This projected increase is outlined in a report by the Corporation of Real Estate Owners of Quebec (CORPIQ), as highlighted by La Presse.

Understanding the Factors Behind Rent Increases

Éric Sansoucy, CORPIQ’s board chairman, advises caution regarding the 5.8% figure, emphasizing that it is based on incomplete data from December. He urges stakeholders to await further clarification from the tribunal next week. The current 4% adjustment does not include various costs incurred by landlords, such as municipal and school taxes, insurance premiums, and maintenance or renovation expenses. As Sansoucy points out, the minimum increase for tenant-heated units stands at 4%, but landlords may also adjust rents upwards based on other incurred costs.

He elaborates that landlords have the discretion to set rents below the tribunal’s recommendations but generally, the 5.8% figure serves as a baseline from which additional costs can be calculated. In some cases, total increases might reach between 6% and 7% or even higher if substantial renovations, like a complete kitchen overhaul, are undertaken.

Véronique Laflamme from the Front for Popular Action in Urban Redevelopment (FRAPRU) noted that the 4% floor established last year was unprecedented in over three decades. She expressed concerns about the TAL’s calculation methods amid rising housing-related inflation. Laflamme highlights a troubling cycle where increasing housing costs contribute to higher inflation, which in turn perpetuates further rent hikes, creating a challenging environment for tenants.

For more insights, watch the full interview in the video above.