Thursday, December 17, 2009

Low Apartment Vacancy Rate in Ottawa, Ontario

A booming housing market normally gives rise to increased vacancies as renters become owners. Statistics compiled by Canada Mortgage and Housing Corp. suggest that vacancies in Ottawa have only risen to 1.5% from 1.4% last year. The average rent of a two bedroom apartment in Ottawa has risen almost 3% to $1030 per month. Depending on one's perspective--from that of a landlord or a tenant--this trend may be viewed both positively or negatively. One thing is for sure though, this time represents a good time for landlord's to increase rents for units as they become vacant. Vacant units, for the most part, have no rent control and landlord's may charge whatever the market will bear for that unit. Recent experience suggests that in this kind of market landlords are becoming less tolerant of certain behaviours and the foibles of some of their tenants and are indeed proceeding with eviction steps at the Ontario Landlord and Tenant Board. Tenants and Landlords are increasingly represented by lawyers at the Landlord and Tenant Board. While the Landlord and Tenant Board proclaims a model that is responsive to self represented parties, the reality is that the informal hearing process and the packed dockets (long lists of cases to be heard) favours the position of those parties that retain lawyers experienced in the process. In many ways, the Ontario Landlord and Tenant Board's informal procedure actually prejudices the self represented party as the fullness of the case is not actually ascertained until it is too late. For the unrepresented tenant this late revelation manifests itself in eviction and homelessness. For landlord's, the strict requirements of the law and the technical issues pertaining to the burden of proof often results in a tenant, who has an experienced lawyer, having the landlord's case dismissed. The cost to the landlord is the loss of the $170 application fee and sometimes a permanent inability to evict the tenant for the grounds alleged which can include illegal acts, impaired safety, non-payment of rent, and interference with reasonable enjoyment of the premises by other tenants or the landlord. Landlord's and Tenants should be represented by experienced counsel at hearing given the seriousness of what is at stake.

Michael K.E. Thiele, Lawyer practicing extensively in residential tenancies law before the Ontario Landlord and Tenant Board.

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