Above Guideline Rent Increase (AGI) in Ontario: What Landlords Must Know
Push past the usual cap — legally and smartly.
Rising operating costs may qualify you for an Above Guideline Increase (AGI). But AGIs are not automatic. Ontario law requires landlords to follow a strict legal process, and mistakes can lead to delays, refusals, or reversals. This page gives you clear, practical guidance to help you determine eligibility, prepare a compliant application, and avoid costly errors — so you can recover eligible costs with confidence.
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“He did all of the necessary forms and preparation to effectively represent us.”
—
Malou T., Former Client
What is an AGI?
An AGI (Above Guideline Increase) is an increase in rent higher than the government’s annual guideline. Normally, landlords can only raise rent once every 12 months and only up to the guideline.
But under certain conditions, Ontario’s Residential Tenancies Act (RTA) allows landlords to go beyond that cap if approved by the LTB.
Not Sure If You Qualify for an Above Guideline Increase (AGI)?
Our licensed Ontario paralegals can assess your situation and guide you through the legal AGI application process with the Landlord and Tenant Board (LTB).
When Can You Apply for an AGI?
You can apply for AGI if one or more of the following apply:
- Extraordinary increases in municipal taxes or charges — when your taxes/charges rise by an amount larger than what the guideline normally accounts for.
- Capital expenditures — significant, infrequent work (repair, replacement, major renovation, or additions) that benefit the building or rental units, and whose benefit lasts at least 5 years.
- Security services — either new security services or substantially higher costs for existing ones (if provided by someone not employed by the landlord).
Your Investment Deserves Fair Rent Returns.
Let our Ontario paralegals help you apply for an Above Guideline Increase the right way — maximizing your lawful rent income.
Key Rules & Timelines
| Requirement | Details |
|---|---|
| Notice Period | Must give tenants at least 90 days’ written notice using the N1: Notice of Rent Increase form, with “above guideline” checked off. |
| Frequency | Rent can be increased only once every 12 months. |
| Effective Date | The First Effective Date (FED) must be clearly specified. Your application must be filed at least 90 days before this date. |
| Work / Cost Completion Time Frame | For capital expenditures, work must be done and paid for within an 18-month period ending 90 days before FED. |
AGI Applications Are Time-Sensitive —
One Mistake Can Void Your Increase.
Our licensed Ontario paralegals ensure your forms, timelines, and notices are fully compliant before filing with the LTB.
How Much Increase Can You Get?
The LTB places limits based on what kind of AGI it is:
- For capital expenditures + security services:
- Generally up to 3% above the guideline per year, which may be spread over multiple years.
- For extraordinary municipal tax/charge increases:
- There is no specific cap above guideline.
Make Sure You Get Every Dollar You’re Entitled To — Legally.
Our licensed Ontario paralegals calculate your AGI accurately, file with the LTB, and help you maximize your lawful rent increase.
What You Need to Include in Your Application
To successfully get AGI, your application must be rock‑solid.
Prepare:
- Forms: L5 application (for AGI) + N1 notice to tenants with above‑guideline stated.
- Evidence of costs: invoices, receipts, proof you paid, etc. For capital expenditures, proof they meet the 5‑year benefit requirement.
- Schedule/list of affected units and tenants.
- Documentation that the work or cost is not just cosmetic or routine maintenance.
Make Sure Your AGI Application is Complete and Legally Sound.
Our licensed Ontario paralegals will prepare your forms, review your evidence, and ensure your submission meets LTB standards for approval.
Ready to Apply for an AGI? Start Here.
If your operating costs, tax bills, security service expenses or major repairs have pushed you beyond the guideline, now is the time to act.
Let Us Handle the Heavy Legal Lifting:
- Evaluate your eligibility
- Collect & organize proof and cost documentation
- File your N1 + L5 correctly
- Represent you at your LTB hearing
Contact us today for a free case review. Don’t let AGI denials cost you time or money.
What Happens at the Hearing?
Once you file, here’s what to expect:
- Tenants receive the Application + Notice of Hearing.
- Landlord and Tenant Board (LTB) Hearing takes place.
- You present your evidence; tenants can raise objections or question your proof.
- LTB issues an order: approve full requested AGI, approve partial, reduce, or deny.
Don’t Face the LTB Hearing Alone
Our licensed Ontario paralegals prepare your case, organize your evidence, and represent you professionally to maximize your AGI approval.
How Cordaie Paralegal Services Can Help You Get an AGI
We guide landlords through AGI smoothly, so you maximize what you can claim and minimize risk.
Our professional services include:
- Review whether your building and expenses qualify under RTA definitions
- Help you assemble evidence (invoices, useful life calculations, tax increase documentation)
- Draft and serve compliant notices
- Prepare and file the L5 Application with the LTB properly and on time
- Represent you or support you at the hearing, ensuring your case is clearly presented
Let Professionals Handle Your AGI From Start to Finish
Our licensed Ontario paralegals manage every step — from qualification review to filing and LTB representation — so your AGI is approved quickly and legally.
“Damian Cordaie is an outstanding paralegal. We cannot say enough about his knowledge of LTB legal issues, his compassion and his responsiveness. When as small landlords, we were dealing with terrible circumstances, he took the time to listen, provide support and reassurance. He did all of the necessary forms and preparation to effectively represent us at the hearing. We are very pleased with the outcome and with Damian helping us through the process, our stress was much more manageable than it would have been otherwise. We would highly recommend anyone looking for a great paralegal for LTB problems.”
Malou T., Former Client
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Serving Landlords Across Ontario
Whether you own property in Toronto, Ottawa, Hamilton, London, Windsor, or anywhere in between — our licensed Ontario paralegals are here to help.
We proudly serve landlords across the entire province, offering virtual and in-person legal support for Above Guideline Increase (AGI) applications, LTB hearings, and rent dispute resolution.
No matter where your rental unit is located, you’ll receive the same professional, timely, and compliant service trusted by landlords throughout Ontario.
Frequently Asked Questions About Above Guideline Increases (AGI) in Ontario
Navigating Above Guideline Increase (AGI) applications in Ontario can be confusing — even for experienced landlords.
Here are the most common questions we hear from clients about AGI eligibility, documentation, and Landlord and Tenant Board procedures.
Our licensed Ontario paralegals have helped landlords across the province secure legal rent increases and avoid costly filing mistakes.
1. What if my building is new or partially new?
Units first occupied after November 15, 2018 are generally exempt from rent control (guideline rules). That means different rules apply for increases.
2. Can tenants refuse paying the AGI before the LTB approves?
Yes. Tenants do not have to pay rent above the guideline until the AGI is approved by the LTB.
3. How long will the AGI process take?
It depends — usually several weeks to a few months, depending on how complete your evidence is, whether there is a hearing backlog, and whether there are objections. Good preparation speeds things up.
4. What if I missed the filing deadline relative to First Effective Date (FED)?
If you file after the required deadline (90 days before FED), your application may be rejected or delayed. You might need to adjust the start date of your requested increase.
5. Can I get retroactive increases?
Only in limited cases and depending on when the costs were incurred and whether the LTB approves backpay. There are strict rules about timing of expenditures.
Common Mistakes That Get AGI Denied or Delayed
Here are pitfalls landlords fall into — avoid them:
- Filing AGI for costs not yet incurred or not yet paid
- Missing the 90‑day notice requirement
- Claiming work that is regular maintenance or cosmetic only
- Using unclear or incomplete applications or failing to include required evidence
- Ignoring eligibility rules (for example, tenants who moved in after the eligible capital expenditure was completed may not be included)
Don’t Let Simple Mistakes Cost You Your Rent Increase
Our licensed Ontario paralegals review your AGI documents, fix errors, and file your application correctly — so you get approved the first time.
