LandlordBC Raises Concerns About BC’s 2026 Rent Increase

The British Columbia government has announced that the maximum allowable rent increase for residential tenancies in 2026 will be 2.3%, a reduction from the 3% limit set for 2025. The announcement, posted by the province’s Residential Tenancy Branch, aligns allowable rent increases with the current rate of inflation and reflects ongoing efforts to maintain housing affordability for tenants across the province.

This new limit is set to take effect September 26, 2025, and applies to all residential tenancies governed by the Residential Tenancy Act, including both standard rental units and manufactured home sites. Landlords are required to provide tenants with at least three months’ written notice prior to implementing a rent increase, and increases may not occur more frequently than once every 12 months. The rules for manufactured home tenancies permit landlords to adjust rent further to account for regulated utility and levy costs, provided proper notice is given.

While the 2.3% cap is intended to protect tenants from rapid rent growth, it has drawn attention from LandlordBC, the provincial organization representing rental housing providers. In a response to the announcement, LandlordBC expressed concern that the relatively low increase could exacerbate financial pressures on landlords, particularly small-scale and “mom-and-pop” operators who are contending with rising maintenance costs, property taxes, and utility fees.

LandlordBC acknowledged the government’s decision but emphasized the importance of returning to a more predictable formula for rent increases. Prior to 2019, the allowable increase was linked to the consumer price index (CPI) plus 2%, a method the association argues better balances tenant affordability with landlord sustainability. Without such adjustments, LandlordBC warns, landlords may face challenges in maintaining existing rental units and investing in new 

rental housing, potentially putting additional pressure on the province’s rental supply.

The organization has also highlighted broader policy measures it believes are necessary to ensure a stable rental housing market. These include reducing property tax burdens, moderating utility cost increases, supporting sustainability retrofits, and minimizing municipal interference in tenancies. LandlordBC argues that such measures would help landlords remain financially viable while continuing to provide secure, well-maintained housing for tenants.

For tenants, the 2.3% increase cap offers a measure of relief in a housing market where affordability remains a significant concern. LandlordBC, however, stresses that at the same time, landlords face the challenge of covering rising operational costs within a constrained increase.