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Quebec housing tribunal recommends 3.1% rent increase for 2026

On Monday the Tribunal administratif du logement recommended a 3.1% guideline for leases renewing between April 2, 2026, and April 1, 2027, after revising its previous 5.9% projection.
Adopting a new method, the TAL decided to use four indicators including municipal and school taxes, insurance costs, and Quebec CPI average to replace previous 13 indicators and avoid sharp spikes.
In serviced units, the TAL recommends allowing rents to rise by 6.7%, while for leases renewing April 1, 2026 or earlier, the suggested increase is 4.5.
Regulations now permit adding 5% of renovation costs and property tax and insurance pass-throughs, while tenants retain the right to refuse increases under the new rent-control regulations.
RCLALQ warned that the 3.1% base rent increase will lead to significant hikes, with CMHC data showing Montreal rents rose by 4% last year and turnover-driven increases at least 17.2%.

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