New Rent Control Rules

I would say only the 1991 loophole elimination is correct but most of the new restrictions are ridiculous, they are unfair and punitive for landlords.

• Expanding rent control to all units, including those built after 1991.

• Annual rent increases for existing tenants can be no higher than the rate of inflation.

• Rent increases will be capped at 2.5 per cent, even if the rate of inflation is higher.

• Change becomes effective as of April 20, regardless of when legislation is passed.

• A standard lease will be developed in multiple languages.

• Tenants will be adequately compensated if asked to vacate for "landlord use."

Rent control should be focused on the fairness between landlord and tenant, but not on how to balance the demand and supply of property market. The quick decision looks like more political-motivated rather than problem-solving. From now on, landlords' rental income will run behind the inflation and they can only expect the "capital gain" to compensate their investment.

Also, the new legislation does not encourage landlords and old tenants to build a long term relationship because only new tenants, like students and contracted employees, will be more welcome by the landlord for inflation adjustment.