Would an RTO have to comply with the LTB rules?

Submitted by francois.lanthier@live.ca on Thu, 11/12/2020 - 22:45

Would an RTO have to comply with the LTB rules? I heard that RTOs are treated differently, what's the difference?

- March 16, 2021

You'll get a different answer depending on whom you talk to. Alfonso uses the standard Ontario Lease with his tenant-buyers...so I'm guessing this means he would need to go to the LTB to evict them. Me I use a 9-page Occupancy Agreement that talks about occupants paying an occupancy fee and we never use the words tenant, rent, landlord, etc. I've not had to evict a TB yet but my lawyer tells me that if I had to it would be a case of breach of contract that I'd take to a regular court...not the LTB...

- March 16, 2021

There are definately different ways of doing this. However, remember that at the end of the RTO term the tenant buyers lender is going to want to see a Lease Agreement outlining the difference between market rent paid and the additioanl credits. As long as your agreement has this in it then you should be good to go