Rental property owner - Key tips and important dates

You’re a new owner of a rental property and have a ton of questions. We probably have a few answers for you!

Let’s start with the important dates to remember, then we’ll look at some examples.

Lease renewal and rent increase

Residential leases are generally renewed automatically under the same conditions. But if you want to make changes, such as a rent increase, you must notify your tenant in writing within specific deadlines.

Rent increases must comply with the law. Contrary to popular belief, there is no fixed rate for rent hikes. The Tribunal administratif du logement (TAL) provides a calculation form that allows you to determine the allowable increase by entering the required data.

For 2026, the Tribunal administratif du logement (TAL) recommends a base rent increase of 3.1% for units that have not undergone major renovations.
This rate, which will serve as a reference for landlords, is based on a new simplified calculation using four indicators, replacing the former method of 13 indicators that had been used for nearly 40 years and was considered ill-suited to an inflationary context. As a result, a monthly rent of $1,200 would increase to $1,237.20, representing an annual increase of $446.40. By comparison, in 2025, the TAL had projected an average rent increase of 5.9%, compared to 4% in 2024.

Download the Rent Increase and Lease Modification Notice Form >>
Download other notice templates >>

Taking Back a Rental Unit

If the lease you signed with your tenant ends on June 30, you have until December 31 (six months before the lease ends) to notify your tenant in writing if you wish to take back the unit for:

• yourself;
• an immediate family member (children, father, or mother);
• a spouse from whom you are separated or divorced, or another dependent family member you support financially.

Note: You cannot take back the unit if your tenant meets all the following conditions: 

• 70 years old or older;
• has lived in the unit for at least 10 years;
• income is equal to or less than the maximum eligibility for low-income housing.

Download the Notice of Unit Repossession Form >>

Relevé 31

If your unit is occupied on December 31 and rent has been paid, you must file the Relevé 31 and provide it to both your tenant and Revenu Québec. 

You can submit it online starting December 1 and must do so before February 28.

What is it for?

The Relevé 31 declares occupancy information as of December 31 of the given year. By filing this, you provide your tenants or subtenants with information they need to claim the solidarity tax credit on their income tax. Even if they are not eligible, you must still file the form.

What if my tenant left in October?

If the unit is vacant on December 31, you do not need to file this form for the former tenant. It is the responsibility of the new owner to do so.

Download the explanatory guide by Revenu Québec >>

Can you refuse to rent a unit? 

A landlord can rent their unit to anyone, provided they do not refuse a tenant for discriminatory reasons.

In principle, a landlord may refuse to rent to someone who:

• has a criminal record;
• failed to meet obligations as a tenant in the past;
• is unable to pay the rent.

Note: It is the tenant’s ability to pay that matters. Being unemployed or receiving social assistance does not automatically mean the tenant cannot pay rent.

Source: Éducaloi

Can a tenant break their lease? 

Contrary to popular belief, a tenant cannot “break their lease” with three months’ notice at any time and for any reason.

Only four specific situations allow a tenant to terminate an active lease:

• The tenant is assigned a low-rent unit;
• The tenant can no longer occupy the unit due to a disability;
• An elderly person is admitted permanently to a senior residence or long-term care facility (CHSLD);
• The tenant’s or their child’s safety is threatened by a situation of violence.

Other reasons, such as buying a home, divorce, roommate disputes, forming a new household, needing a larger unit, financial issues, or relocating for work, do not allow the tenant to force lease termination.

Three options are available to the tenant:

• Attempt to reach an agreement with you to terminate the lease, preferably in writing;
• Assign their lease*, with your consent, meaning they will not return and waive their rights;
• Sublet temporarily with your consent, retaining tenant rights in case they want to return.

However, Law 31, adopted in February 2024, changes the rules on lease assignment. Previously, a landlord could only refuse an assignment for a serious reason, such as the new tenant’s insolvency. Now, a landlord can refuse without justification, terminating the lease without fees on the date indicated in the assignment notice. These changes aim to offer more flexibility for landlords while allowing tenants to leave a lease.

Learn more about Law 31 changes >>
More info: Tribunal administratif du logement >>

Need Help?

Would you like to discuss this with us or need guidance on how to proceed?

Feel free to call us at 514 388-9333 or write to us. We’ll explain everything.

Original text: December 20, 2020 / Updated January 21, 2025