Quebec rent increase 2027: calculation, deadlines and notices

In short

Since January 1, 2026, rent fixed by the Tribunal administratif du logement (TAL, Québec's housing tribunal) follows a new method: a base rate, plus tax and insurance increases above that rate, plus 5% of major work.
The base rate was 3.1% in 2026; the 2027 rate will be published in January 2027 and is not yet known.
For a 12-month lease ending June 30, 2027, the rent increase notice must be given between January 1 and March 31, 2027.
The tenant has one month after receiving the notice to refuse; silence counts as acceptance (art. 1945 C.C.Q.).
After a refusal, the landlord has one month to ask the TAL to fix the rent; otherwise the lease renews at the same rent (art. 1947 C.C.Q.).

The calculation method in force since 2026

The government amended the Règlement sur les critères de fixation de loyer (the regulation on rent-fixing criteria) by Order in Council 1455-2025, published in the Gazette officielle du Québec on December 17, 2025. The new method applies to notices of modification given since January 1, 2026. It replaces the twelve old criteria with simpler ones:

The base rate, applied to the rent: the three-year average of inflation in Québec (consumer price index). A negative result counts as zero.
Municipal taxes, school taxes and insurance: only the part of the increase above the base rate is added.
Capital expenditures (roof, windows, drains, kitchen, insulation, heat pump…): 5% of their cost per year, minus grants and insurance or other payouts received.
A new service, accessory or outbuilding: its full yearly cost.

Except for the base rate, each criterion is shared according to the unit's portion of the building's rents. Work that benefits only some units is shared among those units only.

The TAL does not set a maximum increase

The Tribunal publishes criteria, not a cap. You can propose the increase you choose; the criteria come into play when the Tribunal has to fix the rent after a refusal (art. 1953 C.C.Q.).

The 2027 base rate is not yet known

In 2026, the base rate is 3.1% and capital expenditures count at 5%. These rates apply to rent periods starting between April 2, 2026 and April 1, 2027; the TAL announced them on January 19, 2026.

A lease renewed on July 1, 2027 therefore depends on the 2027 base rate, which will be published in January 2027. As of September 30, 2026, it is not known: any "allowed percentage for 2027" you see before then is an estimate. Budget with 3.1% as an assumption, then redo the calculation in January. Our rent increase calculator suggests the latest published rate and lets you change it.

The deadlines: notice, reply and Tribunal

A fixed-term lease renews automatically on the same conditions (art. 1941 of the Civil Code of Québec, C.C.Q.). To raise the rent, you give a written notice of modification within the period set by art. 1942 C.C.Q.:

Lease	Give the notice
12 months or more	between 6 and 3 months before the lease ends
Less than 12 months	between 2 months and 1 month before the lease ends
Indeterminate term	between 2 months and 1 month before the proposed change
Room	between 20 and 10 days before the lease ends, or before the change if the term is indeterminate

The tenant has one month after receiving the notice to refuse the increase or tell you they are leaving (art. 1945 C.C.Q.). If they don't reply, they are deemed to have accepted.
If they refuse, they keep the unit, except in a housing co-operative or in a building covered by section F of the lease (built or converted 5 years ago or less).
You have one month after receiving the refusal to ask the TAL to fix the rent. Without an application, the lease renews at the same rent and on the same conditions (art. 1947 C.C.Q.).

Tribunal fees

You pay the fees for your application. The TAL can order the tenant to reimburse them, notably when it grants at least the increase you asked for and you had given the tenant access to the relevant figures before applying.

The free Renewal notice deadlines tool works out these three dates for any lease.

What the rent increase notice must contain

The notice is in writing, sent to the address given in the lease and written in the language of the lease (art. 1898 C.C.Q.). It states the new rent in dollars, or the increase in dollars or as a percentage; any other change, and the new term if it changes; and the tenant's one-month delay to refuse.

Since December 26, 2024, it must also reproduce the mandatory text in Annex I of the Règlement sur le contenu obligatoire de l'avis de modification du bail d'un logement (the regulation on the mandatory content of the notice, Order in Council 1733-2024). This change comes from Bill 65, not from Bill 31, which it is often credited to. The text explains the tenant's three options (accept, refuse and stay, or leave at the end of the lease), the silence rule, the section F exceptions, your recourse before the TAL and the Tribunal's fees.

A plain letter is no longer enough

A letter that only announces the new rent does not contain the mandatory mentions. Start from the regulation's text, published by the TAL, and deliver the notice in a way that proves receipt, such as registered mail.

Example: a lease ending June 30, 2027

In a triplex, the unit rents for $1,200 a month and the three rents total $3,000, so its share is 40%. The 12-month lease ends June 30, 2027.

Step	Date
Period to give the notice	January 1 to March 31, 2027
Notice received by the tenant (example)	Friday, January 15, 2027
Tenant's reply	no later than Monday, February 15, 2027
Refusal received (example)	Wednesday, February 10, 2027
Application to the TAL	no later than Wednesday, March 10, 2027
Renewed lease begins	Thursday, July 1, 2027

Since the 2027 rate isn't published yet, the calculation uses 3.1% for illustration. For a lease renewed in July 2027, 2027 municipal taxes are compared with 2026, and major work done in 2026 is counted.

Criterion	Calculation	Per month
Base rate	$1,200 × 3.1%	$37.20
Municipal taxes: $4,000 in 2026, $4,164 in 2027 (up 4.1%)	(4.1% − 3.1%) × $4,000 = $40 a year, × 40%, ÷ 12	$1.33
School taxes and insurance, up less than 3.1%	nothing to add	$0
Roof redone in 2026: $24,000, no grant	$24,000 × 5% = $1,200 a year, × 40%, ÷ 12	$40.00
Total increase		$78.53

The proposed rent would be $1,278.53, about 6.5% more; without the roof, about 3.2%. Redo the calculation with your own figures in the free calculator, then check one unit against the TAL's own calculation tool (in French only), which is the reference.

Common questions

What is the allowed rent increase in Quebec for 2027?

There is no maximum. The 2027 base rate used in the TAL calculation will be published in January 2027; it was 3.1% in 2026.

When do I send the rent increase notice for a lease ending June 30, 2027?

Between January 1 and March 31, 2027 for a lease of 12 months or more; between 2 months and 1 month before it ends for a shorter lease.

My tenant didn't answer the notice. What happens?

One month after receiving the notice, they are deemed to have accepted: the lease renews at the new rent.

My tenant refused the increase. Do they have to move out?

No, except in a co-operative or a building covered by section F. You have one month after receiving the refusal to ask the TAL to fix the rent.

Can I send the notice in English if the lease is in French?

No. The notice must be written in the language of the lease (art. 1898 C.C.Q.).

Glossary terms

Official sources

General information, not legal advice

This page summarizes the rules in force in Québec on the update date shown, for information only. It does not replace advice from a lawyer, notary or accountant, nor the official texts: when in doubt, rely on the sources above and on the Tribunal administratif du logement.