Bill 60 and the Future of Ontario’s Rental Housing System

Bill 60, The Fighting Delays, Building Faster Act, 2025, marks one of the most significant procedural shifts to the Residential Tenancies Act (RTA) in recent memory. While its stated purpose is to reduce delays at the Landlord and Tenant Board (LTB), the legislation reaches far deeper—reshaping timelines, redefining procedural rights, and altering the balance of incentives between landlords and tenants. In a housing landscape strained by high rents, low vacancy rates, and a tribunal system overwhelmed by caseloads, Bill 60 attempts to re-engineer the system for greater speed and predictability. Whether this improves the rental environment or creates new pressures depends largely on one’s position in the housing ecosystem.

At its core, Bill 60 targets the parts of the LTB process that have traditionally been the slowest and most prone to gridlock. For landlords, the most consequential change is the reduction of the non-payment termination notice from fourteen days to seven. This compresses the early stage of rent enforcement and signals a move toward quicker resolution of arrears cases. Landlords often cite lengthy arrears timelines as a financial hardship—especially smaller property owners who rely on rental income to cover mortgages and operating costs. A shorter notice period helps address this concern and aligns Ontario more closely with other jurisdictions that use fast-track non-payment processes.

Tenants, however, may feel pressure from this accelerated timeline. While the LTB process itself is not shortened by seven days, the psychological and financial runway to respond to early notices is significantly reduced. For households living paycheque to paycheque—many of whom already struggle with rising rents and stagnant wages—the margin for error narrows. If a tenant is one or two weeks behind and receives a seven-day notice instead of fourteen, the window to secure funds, negotiate payment plans, or seek social supports is cut in half. Critics argue this may increase the likelihood of formal eviction applications being filed, even if tenants ultimately pay.

A second major reform is the requirement for tenants to pay half the arrears before raising counter-claims or repair issues at an L1 (non-payment) hearing. Supporters view this as a fairness measure: landlords should not be dragged into procedural detours unless tenants demonstrate good faith by contributing toward outstanding rent. Opponents counter that this rule may silence legitimate concerns about maintenance, safety, or landlord conduct—issues that, realistically, often arise in the same households experiencing arrears. There is a risk that power imbalances between landlords and vulnerable tenants may deepen if counterclaims become harder to raise.

Perhaps the most controversial change involves N12 notices—landlord’s own-use evictions. Bill 60 creates an exemption that allows landlords to avoid paying the standard one month’s compensation if they provide 120 days’ notice and align the termination date with the end of a rental period or lease term. Landlords appreciate the flexibility and reduced financial burden; many argue that the compensation requirement unfairly penalizes those genuinely moving into their own homes. Tenant advocates, on the other hand, warn that this exemption could increase displacement and incentivize strategic use of N12 notices, even where genuine intent exists but the financial cost previously acted as a deterrent.

Where Bill 60 is undeniably transformative is its effort to clean up procedural clutter at the LTB. The introduction of defined criteria for “persistent late payment,” limits on set-aside motions, firmer deadlines for review requests, and constraints on the Board’s discretion collectively signal a shift toward consistency and efficiency. For landlords, this offers predictability—something the system has sorely lacked. For tenants, it means fewer avenues to pause or challenge proceedings, which reduces delay but may heighten the consequences of procedural missteps.

Overall, Bill 60 rebalances the system by prioritizing speed and procedural clarity. Landlords will likely experience smoother, more reliable processes. Tenants will find themselves navigating a system with fewer delay mechanisms and higher expectations for timely action. Whether this ultimately leads to a healthier rental environment will depend on implementation, regulatory details, and the LTB’s capacity to handle cases faster, not just differently.