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2025 Rent Increase Guidelines in Alberta

Key Takeaways

  • Similar to 2024, there’s no limit on how much you can raise your rent for a residential property in Alberta in 2025.
  • You can only increase your rent price after 12 months since the last rent increase or the start of the tenancy, whichever comes later.
  • Under a periodic tenancy, you must notify your tenant of a rent increase in writing 90 days before it takes effect. There’s no legal requirement to serve a notice for fixed-term tenancies.

Published on Oct 9, 2024 | Updated on Oct 9, 2024

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Are you an Alberta landlord planning on raising your rent in 2025? If so, you’ll want to become familiar with the province’s laws surrounding rent increases. Compared to other provinces, Alberta has fewer restrictions on property owners’ ability to adjust rent prices. However, there are still rules in place that you must follow to avoid legal trouble and minimize disputes with tenants.

In this guide, we’ll cover everything you need to know about Alberta’s 2025 rent increase guidelines, including how often you can raise your rent, how and when to notify your tenant, and how the province’s tenancy laws impact different lease agreements.

2025 updates to Alberta rent increase guidelines

Under Alberta’s residential tenancy laws, a landlord can choose how much to raise a tenant’s rent. However, you can only do so if one year has passed since your last rent increase or the start date of the tenancy. In other words, you’re limited to one rate increase every 12 months.

The rules for periodic tenancies, which have no end date, differ from fixed-term tenancies. Under a fixed-term tenancy, the tenant agrees to rent the unit for a specific time period (e.g., 12 months). If the tenancy is periodic, you must provide your tenant with at least 90 day’s notice before the rent increase takes effect. On the other hand, for a fixed-term tenancy, there’s no legal requirement for giving your tenant notice.

How to raise rent by lease type

Below are the steps for raising the rent price for an Alberta rental property in 2025, both for fixed-term and periodic leases.

Fixed lease
Step 1: Determine your new rent price

Start by figuring out your ideal rent price. The key is choosing a price that allows you to stay profitable while ensuring your unit remains appealing to renters.

Your new rent price must cover your operating expenses (plus any renovations), so assess how much those costs have changed throughout the year. You’ll also need to evaluate current rent prices of similar properties in your area to ensure your new rent is competitive.

Step 2: Prepare the notice of rent increase

In Alberta, you’re not required to inform your tenant of a rent increase if they’re under a fixed-term lease. However, it’s still worth doing so as a courtesy.

Prepare a document that states the rent price for the upcoming year, including when it will take effect. Be sure to include your signature and the date you created the notice. 

Step 3: Notify your tenant of the rent increase

A good rule of thumb for a fixed-term lease is to provide your tenant with at least three months’ written notice. 

How you send your notice to your tenant is up to you. You can use certified mail, email, or hand it to them in person. But whatever method you choose, you must establish proof that you attempted to deliver it using all reasonable means, even if your tenant didn’t see it. Otherwise, if the rent increase is disputed, the court will consider the rent increase unlawful.

Periodic lease
Step 1: Determine your new rent price

Before doing any paperwork, decide what your new rent will be. Consider how much you’ve spent over the past year on operating expenses and property improvements (such as a kitchen renovation). If your costs have increased, calculate how much you’d have to raise your rent to maintain your current profit margin. Second, research current rental rates in your area for properties comparable to yours. Are prices rising or falling and by how much? 

Step 2: Prepare the notice of rent increase for your tenant

In Alberta, you’re legally required to inform your tenant of an upcoming rent increase only if the tenancy is periodic. If you’d like to raise your rent for a periodic tenancy, your notice must be in writing and include the following details:

  • The date 
  • The effective date of the increase
  • Your signature

While there’s no specific form you have to use to prepare your notice, this Notice of Rent Increase template is a good place to start.

While not mandatory, it’s wise to explain reasons for the rent increase. You can also break down the rising operating costs and list details about local rent prices for similar units. 

Being open and transparent will help your tenant understand why you’ve chosen the rent price you did.

Step 3: Notify your tenant of the rent increase

The amount of notice you must provide to your tenant depends on the type of tenancy:

  • For a month-to-month tenancy, you must give your tenant at least three months’ notice before the rent increase takes effect.
  • For a week-to-week tenancy, you must give your tenant at least 12 weeks’ notice before the rent increase takes effect.
  • For tenancies of any other periodic term, you must give your tenant at least 90 days’ notice before the rent increase takes effect.

Mac's Pro Tip

If your notice doesn’t contain the legally required information, it’s invalid. As a result, your tenant will have no obligation to pay the increased rent. Even if your tenant pays the new rent fee, they can still apply with the Alberta Court of Justice or Residential Tenancy Dispute Resolution (RTDRS) to obtain a refund. 

Resolving issues about rent control

If you’re entangled in a dispute about rent prices with your tenant, you can contact the RTDRS to help resolve it. The RTDRS is a tribunal that deals with residential tenancy cases and issues judgments. It’s an alternative dispute-resolution system to the Alberta Court that can lead to faster hearings and resolutions. You can apply online through the organization’s eFiling service

While there’s no cap on how much you can raise your rent in Alberta, a tenant can still file a complaint against you under the Residential Tenancy Act of Alberta (RTA) if they feel your price is excessive. 

Our final thoughts

Just as it was in 2024, there’s no maximum allowable rent increase in 2025 for residential rental properties in Alberta. As a landlord or property owner, you can raise your rent as much as you deem appropriate. Keep in mind that you want to be fair to your tenant and not increase their rent unreasonably.

You must also wait at least one year before increasing your rent price, regardless of whether the tenancy is fixed or periodic. And you can only do so if you submit a written notice to your tenant that contains all the legally required information. 

Visit the Government of Alberta website to learn more about Alberta’s 2025 rent increase guidelines. Also, check out our Alberta rental documents page, where we’ve compiled every document you need to notify your tenant of changes to their lease agreement, including rent increases.

Learn more about resources in Alberta

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