Not every rent increase above Ontario’s annual guideline goes through a contested hearing at the Landlord and Tenant Board. In some cases, the landlord and tenant simply agree to it, in writing, using Form N10. It’s one of the least talked-about forms in the LTB system precisely because it depends on both sides being willing — but for landlords planning capital work, or tenants weighing an upgrade against a rent bump, understanding how it actually works matters before signing anything.
This guide breaks down what an N10 is, how it differs from a standard N1 or a contested Above Guideline Increase application, what the increase can legally include, and the built-in protection every tenant has before the agreement locks in.
Quick answer: Form N10 — Agreement to Increase the Rent Above the Guideline — is a voluntary, signed agreement between a landlord and tenant that allows a rent increase larger than the province’s annual guideline, typically tied to capital improvements or new services. It replaces the need for a Notice of Rent Increase, takes effect at least six days after signing, and gives the tenant five days to cancel simply by giving written notice.
What Is an N10 Notice in Ontario?
Form N10 is titled Agreement to Increase the Rent Above the Guideline, published by Tribunals Ontario for the Landlord and Tenant Board. Unlike an N1 or N2, it isn’t a one-sided notice — it’s a contract that only takes effect once both the landlord and tenant sign it. In exchange for agreeing to a higher increase, the tenant typically receives something concrete: a capital improvement to the unit or building, or a new service being added to the tenancy.
Because it’s a mutual agreement rather than a unilateral notice, the N10 legally takes the place of a standard Notice of Rent Increase. If a landlord had already served an N1 for the same period and then the landlord and tenant sign an N10, the earlier N1 becomes void for any increase taking effect on or after the N10’s effective date.
The form requires:
- The tenant’s and landlord’s names and the rental unit address
- The current rent and the new, higher rent amount
- A description of the capital work or new service justifying the increase
- The effective date of the increase
- Signatures from both the landlord and the tenant
Is There a Limit on How Much the Rent Can Go Up?
Yes — even with mutual agreement, the N10 isn’t unlimited. The increase permitted under this type of agreement is generally capped at the current guideline plus an additional 3%. So if the guideline for a given year is 2.1%, an N10-based increase could reach up to roughly 5.1%, depending on how the calculation is applied to the current rent. This distinguishes the N10 from a formal Above Guideline Increase (AGI) application to the Board, which doesn’t carry the same fixed ceiling but requires a hearing and evidence rather than the tenant’s simple agreement.
How the N10 Differs From an AGI Application
| Index | N10 Agreement | AGI Application |
Requires tenant’s consent | Yes | No |
Requires an LTB hearing | No | Yes |
Typical increase ceiling | Guideline + 3% | No fixed cap, but tied to documented costs |
Speed | As fast as both parties can sign | Can take months through the Board process |
Best fit | Smaller, mutually agreeable upgrades | Larger capital projects, disputed increases |
Landlords weighing which route makes more sense for a specific capital project — a quick mutual agreement versus a formal AGI application — often benefit from a landlord paralegal walking through which approach fits the scope of the work and the likelihood the tenant will actually agree.
A 2026 timing update worth knowing: under Bill 60, the deadline for landlords to serve supporting AGI documents has been shortened from 14 days to 7 days, in force since July 1, 2026. This makes the AGI process faster than it used to be — narrowing the gap between the two routes — but it also means landlords have less runway to assemble their evidence package once an AGI application is filed. For a project where the paperwork isn’t fully ready, an N10 agreement can still be the more practical near-term option.
The Tenant's Right to Cancel
This is the protection that makes the N10 meaningfully different from a standard rent increase notice: after signing, a tenant has five days to cancel the agreement simply by giving the landlord written notice. No reason is required. If the tenant cancels within that window, the agreement has no effect and the rent stays as it was.
The increase itself also can’t take effect immediately — the effective date must be at least six days after the date the agreement is signed, which effectively builds the cancellation window directly into the timeline.
What If the Landlord Doesn't Follow Through on the Work?
An N10 agreement is only as good as the work or service it’s tied to. If the agreement isn’t cancelled within the five-day window, but the landlord never actually completes the capital work or provides the promised service, the tenant can apply to the Landlord and Tenant Board to have all or part of the above-guideline portion of the increase declared invalid. This is a meaningful check on the process — a landlord can’t use an N10 to secure a higher rent and then simply skip the renovation. Tenants in this position, or who signed an N10 without fully understanding what it committed the landlord to, can get support through our tenant paralegal services.
When Landlords Typically Use an N10
An N10 tends to come up in situations such as:
- A landlord wants to install upgraded appliances, improved climate control, or better security in exchange for a modest additional increase
- A building owner is adding a new amenity or service tenants specifically want, like in-suite laundry
- A landlord and a cooperative tenant would rather settle on a number together than go through a lengthier AGI hearing
Because the agreement depends entirely on both sides being willing, it works best in situations where the tenant sees clear, tangible value in what’s being offered — not as a way to sidestep a tenant’s objections to a rent increase.
What Happens If There's No Agreement
If a tenant isn’t interested in signing an N10, a landlord can’t force the issue through this form — there’s no way to compel agreement. The landlord’s remaining options are either sticking to a standard guideline increase using Form N1, or pursuing a formal Above Guideline Increase application through the Board, which involves a different process entirely and doesn’t require the tenant’s sign-off. Landlords and tenants who reach an impasse over proposed capital work sometimes benefit from broader Landlord and Tenant Board guidance to understand which path actually fits the situation.
Frequently Asked Questions About the N10 Notice in Ontario
Is an N10 the same as a rent increase notice?
No. An N1 or N2 is a one-sided notice from the landlord. An N10 is a mutual agreement that both the landlord and tenant sign voluntarily, and it takes the place of a standard notice.
Can a tenant be forced to sign an N10?
No. The agreement is only valid if the tenant signs it voluntarily. A tenant can decline and the landlord cannot use non-agreement as grounds for ending the tenancy.
How much can rent go up under an N10?
Increases are generally limited to the annual guideline plus an additional 3%, though the specific calculation depends on the current rent and guideline in effect.
Can a tenant change their mind after signing an N10?
Yes. A tenant has five days after signing to cancel the agreement in writing, with no reason required.
What if the landlord doesn’t do the promised work?
The tenant can apply to the Landlord and Tenant Board to have the above-guideline portion of the increase declared invalid.
How soon can the rent increase take effect after signing?
At least six days after the agreement is signed.
Has Bill 60 changed anything about the N10?
The N10 agreement itself — the 3% ceiling, the 5-day cancellation right, the 6-day effective-date minimum — is unchanged. What did change under Bill 60, effective July 1, 2026, is the AGI application process: the document-service deadline was shortened from 14 days to 7 days, making the formal AGI route somewhat faster than before.
Considering an N10? Get the Details Right
Whether you’re a landlord structuring a capital-improvement agreement or a tenant deciding whether a proposed increase is actually worth the trade-off, the details in an N10 are worth reviewing closely before anyone signs. Kippel & Associates Legal Services helps landlords and tenants across Toronto and the GTA navigate these agreements with confidence. Book a free consultation or visit our FAQ page for more on Landlord and Tenant Board matters.
This article is provided for general information purposes and does not constitute legal advice. For guidance on a specific N10 notice or Landlord and Tenant Board matter, consult a licensed paralegal.
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