logo
Toronto's renoviction bylaw a 'huge win' and already making an impact, advocates say

Toronto's renoviction bylaw a 'huge win' and already making an impact, advocates say

CBCa day ago
A new bylaw aimed at reducing renovictions in Toronto is already having noticeable effects, according to tenant and anti-poverty advocates, though some say it's too early to tell if it will be well-enforced.
The Rental Renovation Licence Bylaw was implemented on July 31 and is designed to protect tenants from "bad faith" evictions by their landlords under the guise of a renovation — an increasingly common tactic critics say is used by landlords to evade rent control and increase rent prices.
Toronto landlords must now obtain a licence from the city before carrying out repairs or renovations that force tenants to move out, and must apply for this licence within seven days of giving a notice of ending tenancy — known as an N13 notice — to the renter.
With the new bylaw in effect, some tenant advocates say they are already noticing a difference in landlords' actions.
"We're seeing far fewer calls regarding renovictions leading up to the implementation date of July 31, so it's already had a positive impact in that sense," said Douglas Kwan, director of advocacy and legal services at the Advocacy Centre for Tenants Ontario.
"We're going to monitor how that goes for the rest of the year, but we anticipate that we're going to see a gradual decline with the number of N13s or renoviction calls to our organization and others in Toronto," Kwan said.
Renovictions have been on the rise in Toronto: advocate
Renovictions have been on the rise in Toronto and the province for the past decade, and became a "massive" issue in the last five or so years, said Alejandra Ruiz Vargas, president of ACORN Canada.
Since 2017, there has been a nearly 50 per cent increase in the number of N13 notices filed in Toronto, according to a 2024 renoviction report by ACORN.
"I know a couple that has been renovicted three times last year," Ruiz Vargas said, adding that the bylaw's implementation is a "huge win" for renters.
People in lower-cost rentals are commonly targeted by renovictions, and they face immense difficulties in finding places they can afford to move into after being evicted, anti-poverty advocates say.
"The huge increase in evictions has fuelled a massive increase in homelessness in Ontario," said Jeff Schlemmer, executive director of Community Legal Clinic of York Region.
"Thank goodness municipalities are stepping up."
New West, B.C. 1st municipality to take action
New Westminster, B.C., was the first municipality to adopt a renoviction bylaw in 2019, with several other municipalities in Ontario, such as Hamilton and London, following in its footsteps.
These bylaws are beneficial not only for renters but the entire housing system in a city as they help preserve affordable housing stock and are a simpler and quicker solution than putting shovels into the ground to build more affordable housing, said Kwan.
"It doesn't mean that legitimate landlords who have to renovate their units are prevented from doing so. It's really to capture situations or people who aren't even considering renovating their unit and it gives them pause," he said.
There are several requirements under Toronto's new bylaw that make it especially strong, such as the need for a landlord to have an architect or engineer confirm that the unit must be empty for the renovation work, and the requirement for the landlord to make rent gap payments if the tenant has to move elsewhere and pay higher rent, said Kwan.
"The rent gap payments ensure that a landlord mitigates the work. In other words, they don't sit on their hands," said Kwan.
Though the bylaw does not apply retroactively to tenants who have already received N13 notices, advocates say it strengthens their fight as it puts the burden on landlords to prove their renovations require vacant units.
Toronto to take 'education-first approach' to issue
The City of Toronto says on their website that they will use an "education-first approach" to encourage compliance, with enforcement action to follow when appropriate.
According to the bylaw, landlords could face fines of up to $100,000 if they force a tenant to leave and re-rent the unit to someone else for financial benefits, or if they fail to comply with other aspects of the new licensing requirements.
"The fines are quite high and I think they might be sufficient disincentive for these corporate landlords from acting," Kwan said.
"I think if there is a concern, it would be uneducated, smaller landlords who perhaps unknowingly or knowingly are just trying to take the risk of renovicting their tenant. That's probably the group of landlords that should be more of a concern than the larger corporate ones."
Chiara Paravani, co-chair of York South-Weston Tenant Union, said she is aware of several landlords who are particularly "aggressive" in pursuing renovictions.
The particularly relentless actors may be willing to take a financial hit, Paravani said.
"Absorbing those fines is just part of the cost of doing business in terms of evicting people and replacing them with higher paying tenants, she said, adding that provincial fines were already in place and didn't do much to change landlords' actions.
Province doubled fines for unlawful evictions 5 years ago
The provincial government doubled maximum fine amounts for unlawful evictions in 2020, setting the fine rates at $50,000 for individuals and $250,000 for corporations.
But the Ministry of Housing was "vastly overwhelmed" with requests to enforce the violations, said Schlemmer, from the community legal clinic.
"You can make the penalty capital punishment, but if the person knows they're not gonna get caught, they're still gonna try it, which is what we have for renovictions," Schlemmer said, stressing the importance of enforcement.
"I really hope that the City of Toronto does allocate meaningful resources to enforcement, because if they do, they could make a real dent in these unlawful evictions and significantly reduce the ongoing increase in homelessness."
Orange background

Try Our AI Features

Explore what Daily8 AI can do for you:

Comments

No comments yet...

Related Articles

BoC officials considered whether interest rate already low enough to weather tariffs
BoC officials considered whether interest rate already low enough to weather tariffs

CBC

time19 minutes ago

  • CBC

BoC officials considered whether interest rate already low enough to weather tariffs

Newly released documents show some members of the Bank of Canada were wondering last month whether the central bank's benchmark interest rate is already low enough to support the Canadian economy through U.S. tariffs. The Bank of Canada on Wednesday released the summary of deliberations from the meetings leading up to its decision on July 30 to hold the policy rate steady at 2.75 per cent. Those minutes show the central bank's governing council was fixed on how U.S. tariffs and the global trade "rewiring" were affecting inflation and the wider Canadian economy. The central bank's decision arrived just a couple days before U.S. President Donald Trump ratcheted base tariffs on Canada up to 35 per cent, while maintaining an exemption for goods compliant with CUSMA. Despite the ongoing uncertainty, monetary policymakers noted there were some signs of economic resilience heading into the rate decision. Rate cuts 'sufficient' to support economy The deliberations show some members wondered if the Bank of Canada had already provided "sufficient support" to guide the economy through its tariff transition. The central bank cut its policy rate seven consecutive times from June 2024 to March of this year in a bid to boost the economy as inflation showed signs of coming back under control. Economists say much of the impact from a monetary policy decision tends to take effect a year or more after the move, so many of those rate cuts are just now starting to stimulate the economy. WATCH | Bank of Canada held rates again in July: Bank of Canada 'ready to respond to new information,' Macklem says after holding rate 14 days ago Bank of Canada governor Tiff Macklem, when asked Wednesday if he sees the need for a rate cut this year, declined to forecast — but stressed that the bank is always watching for new information, especially around the Canada-U.S. trade situation. In that vein, the Bank of Canada governing council wondered whether cutting rates now, only for the economy to recover on its own, would only end up fuelling inflation down the road. "Given the lagged effects of monetary policy, there was a risk that further easing might take effect only as demand was recovering, which could add to price pressures," the summary read. Some forecasters, including RBC, have no further interest rate cuts in their base-case outlooks. Others on the Bank of Canada's governing council felt that signs of slack emerging in the economy could warrant additional rate cuts, particularly if the labour market started showing more weakness. If incoming data showed inflation wasn't straying too far from the central bank's target of two per cent, there could be a need for a lower policy rate, those members argued in the deliberations. No sharp rise in inflation with U.S. tariffs Alongside the rate decision, the Bank of Canada issued three scenarios for how the U.S. tariff situation could evolve: the status quo persists; there's a de-escalation in trade restrictions; and tariffs ramp up. The governing council noted that none of those scenarios showed a "sharp rise in inflation." Monetary policymakers said in deliberations that the impact of tariffs on consumer prices "appeared to be modest so far," but those effects were only just starting to show up in the data. "Members judged the risks to inflation to be elevated given evident pressures on underlying inflation and the uncertainty around the impacts that tariffs and trade disruptions could have on Canada's economy over time," the summary read. The Bank of Canada will get a fresh look at inflation figures for July and August ahead of its Sept. 17 interest rate decision.

DOWNLOAD THE APP

Get Started Now: Download the App

Ready to dive into a world of global content with local flavor? Download Daily8 app today from your preferred app store and start exploring.
app-storeplay-store