B.C. Rent Increase 2025: Everything Tenants and Landlords Need to Know About the New 3% Cap

B.C. Rent Increases 2025

The B.C. Rent Increase 2025 are officially capped at 3%, as announced by the Residential Tenancy Branch. This means that landlords across British Columbia cannot raise rents beyond this amount for existing tenants, regardless of rising property costs, utility bills, or inflation.

Whether you’re a tenant worried about affordability or a landlord managing rising expenses, it’s essential to understand your rights and obligations. Here’s a comprehensive breakdown of what the 2025 rent cap means, how increases are calculated, and how to navigate rent disputes or special agreements.


What is the Rent Increase Limit in B.C. for 2025?

The 2025 rent increase limit in British Columbia is 3%, down from the 3.5% cap set in 2024. This percentage is the maximum amount that a landlord can increase the rent for an existing tenancy over a 12-month period.

Important Highlights:

  • Only one rent increase is allowed every 12 months.
  • Landlords must give at least three full months’ notice in writing.
  • Rent cannot be increased retroactively or by unused amounts from prior years.

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When Can Rent Be Increased in B.C.?

Rent can only be increased if 12 full months have passed since:

  • The start of the tenancy, or
  • The last legal rent increase

This rule remains in effect even if a new landlord takes over or if the tenancy is assigned to another person.

Example:

If a landlord increased rent on March 1, 2024, they cannot raise it again until March 1, 2025—even if the unit is sublet or reassigned during that time.


Here’s how to calculate the allowable rent increase:

  1. Multiply current rent by 0.03 (3%)
  2. Add the result to the current rent
  3. Do not round up — exact amounts must be followed

Example:

If monthly rent is $1,500:

  • $1,500 x 0.03 = $45
  • New legal rent = $1,545

A landlord cannot round this up to $1,550.


Notice Requirements for a Rent Increase

To legally raise rent, landlords must provide:

  • Three full months’ notice
  • A completed RTB-7 Notice of Rent Increase Form
  • The exact dollar amount of the new rent
  • The effective date of the increase

Tip: Notice given on January 1, 2025, means the increase starts April 1, 2025.


Utilities and Fee Increases in B.C.

Even if utility costs have risen, landlords cannot raise rent above 3% to recover additional expenses. Any increase in:

  • Utilities
  • Service charges
  • Parking or storage fees

…must be mutually agreed upon in writing. Tenants should always request a copy of the utility bill before accepting any new charges.


Can a Tenant Dispute a Rent Increase?

Yes. If the rent increase:

  • Exceeds the 3% cap
  • Was given without proper notice
  • Was not done using the correct form

…then the tenant can dispute it through the Residential Tenancy Branch (RTB).

Steps to Take:

  1. Talk to your landlord and attempt to resolve the issue.
  2. If unresolved, apply for dispute resolution through the RTB.
  3. Withhold overpayment if you already paid an unlawful increase and document your actions in writing.

What If a Tenant Agrees to a Rent Increase Over the Limit?

Tenants can agree to a higher rent increase, but it must be voluntary and clearly documented in writing.

The agreement must include:

  • The exact dollar amount of the rent increase
  • The effective date
  • Any conditions for the increase
  • The tenant’s signature

Reminder: Tenants are under no obligation to accept a higher increase.


Subletting and Rent Increases

If a unit is sublet:

  • The original tenant (now acting as landlord) may pass on a rent increase to the subtenant
  • They must follow the same rules: one increase per 12 months and 3 months’ notice

Historical B.C. Rent Increase Limits

YearAnnual Rent Increase Limit
20253.0%
20243.5%
20232.0%
20221.5%
20210% (COVID freeze)
20202.6%
20192.5%
20184.0%
20173.7%
20162.9%
20152.5%

Did you know? B.C. had a rent freeze in 2021 to help tenants recover from pandemic-related economic stress.


Key Takeaways for B.C. Rent Increases 2025

  • Rent increase cap for 2025 is 3%
  • Only one increase per year is allowed
  • Three months’ notice must be given with the correct form
  • Tenants can dispute unlawful increases
  • Written agreements are required for increases above the legal limit
  • Utility increases are not allowed without tenant consent

Need Help?
Visit the B.C. Residential Tenancy Branch for forms, dispute resolution info, and rent increase calculators.

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