Fixing of Rent in Quebec For a Balanced and Fair Housing Reform in Quebec

The Association des propriétaires du Québec (APQ) wishes to respond to statements by the Regroupement des comités logement et associations de locataires du Québec (RCLALQ) regarding the housing crisis and the draft regulation on rent increases.

The APQ stresses that landlords also face major challenges in the current context:
• A marked rise in operating costs (insurance, municipal taxes, renovations, etc.)
• Procedures required of landlords at the Tribunal administratif du logement (TAL) to obtain a rent increase when a tenant refuses
• Growing obligations for maintenance and regulatory compliance without government support
• The proposed method does not take into account that the owner must pay interest on borrowed sums used for major work
• The payback period for the investment is too long — 20 years — without accounting for interest costs, while equipment lifespans are often much shorter than 20 years

According to the APQ, the current method for fixing rents in Quebec does not work because it relies on a system that is too rigid and poorly adapted to the economic realities of the rental market. The criteria used by the Tribunal administratif du logement do not sufficiently account for inflation, rising maintenance costs, major renovations, or municipal taxes.

Landlords often find themselves unable to adjust rents to maintain profitability and keep buildings properly maintained, which discourages investment and delays upgrades to the rental housing stock. The APQ calls for a reform that better recognizes the real costs borne by landlords.

Contrary to what the RCLALQ implies, the government’s proposed regulation is not a “handout” to landlords.

“Many struggle to keep their buildings in good condition while absorbing exploding costs. Housing reform must acknowledge this reality and aim for balance,” says Martin Messier, president of the APQ.

The APQ reiterates that landlords must be enabled to properly maintain their buildings, which also benefits tenants. The APQ emphasizes the need to encourage investment rather than discourage landlords.