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| Shayna Wise-Till |
Bill 31 was proposed as a way to “re-establish balance between renters and landlords and increase housing supply.” Many housing advocates argue that this bill transfers power away from the tenants and into the hands of the landlords. It remains unclear whether these measures will result in more availability of rental housing in Quebec.
Before Bill 31, lease transfers were used as a form of de facto rent control in Quebec. Although landlords enjoyed some protections, generally speaking, they had to prove serious concerns to justify rejecting a lease transfer.
In essence, instead of signing new contracts every time the tenants changed, many Quebec residents simply transferred the name on the lease to the incoming tenants. This meant that landlords were severely limited in how much, if at all, they could raise rent in between contracts.
The practice of lease transfers also served as a mechanism to protect tenants from discriminatory housing practices. In Ontario, for example, the grounds on which a landlord can refuse a lease transfer are much broader. In Quebec, up until Bill 31 became law, the only reason a lease transfer could be denied was if the tenant could not pay the rent and/or had bad references.
Landlords will now enjoy a much broader scope to deny lease transfers. According to a CBC article, “now, a landlord can do so for any reason — and can terminate the lease if a tenant asks to transfer it.” This will most certainly make the rental market in Quebec much less tenant-friendly.
Lease transfers as a form of rent control have made Montreal one of the most affordable cities in Canada to live in. Many students and young people have been drawn to the city over the years, with the cost of living being a major driving factor. Coupled with the significant increase in tuition fees non-Quebecers will be facing, the increasingly stringent regulations around lease transfers may suggest a shifting landscape for newcomers in Quebec. As the province aims to rebalance the rental market, some observers note a growing sentiment that Quebec is becoming less welcoming to those from out of town, prompting concerns about accessibility and inclusivity within its communities.
The new law does include relevant protections for tenants. One example of this is the requirement for a landlord to compensate tenants during an eviction. This compensation is to include "reasonable moving expenses" and one month's worth of rent for every year the tenant lived there.
The motivation behind the government’s desire to weaken lease transfers remains unclear. A housing critic for the Quebec Liberal Party went as far as to say that there is nothing in the law to effectively address the housing crisis, and that the change in lease transfers may actually worsen the crisis.
Quebec's new housing bill, Bill 31, shifts power from tenants to landlords by allowing broader grounds for lease transfer denials. This change may make the rental market less tenant-friendly and affect Montreal's affordability. As the government pledges to monitor its impact, the full consequences of Bill 31 on Quebec's housing market remain uncertain.
Shayna Wise-Till is an NCA candidate currently living and working in Toronto. She can be reached on LinkedIn or by email at shaynawisetill@gmail.com.
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