A Canadian Lease Renewal Agreement is a written contract between a landlord and tenant that formally extends or continues an existing residential tenancy beyond its original term. This document is used when both parties wish to maintain the rental relationship, whether by entering a new fixed-term lease or by transitioning to a month-to-month periodic tenancy, while specifying any changes to the existing terms.

Canadian tenancy renewal rules vary significantly across provinces, making a clear written agreement essential. In Ontario, the Residential Tenancies Act, 2006 (S.O. 2006, c. 17) provides that a fixed-term tenancy automatically converts to a month-to-month tenancy on the same terms if neither party takes action (s. 38). Recent amendments under Bill 60 (November 2025) may affect automatic conversion rules, giving landlords additional options regarding lease renewal. In British Columbia, the Residential Tenancy Act (S.B.C. 2002, c. 78) similarly converts fixed-term tenancies to month-to-month at their expiration (s. 44), and landlords cannot force tenants to sign a new fixed-term agreement. In Alberta, the Residential Tenancies Act (R.S.A. 2000, c. R-17) takes a different approach: a fixed-term lease ends on its stated date, and continuation requires either a new agreement or the tenancy converts to periodic if the tenant remains and the landlord continues accepting rent.

A written renewal agreement provides clarity on critical terms such as the renewed rent amount, any lawful rent increase, deposit adjustments, and changes to occupancy or maintenance obligations. Without a signed renewal, disputes over terms frequently end up before provincial tenancy tribunals, where verbal arrangements carry little evidentiary weight.

When a fixed-term residential lease is approaching expiration and both parties wish to continue the tenancy for another defined period with clear start and end dates, rather than allowing the tenancy to automatically convert to a month-to-month arrangement.

When a landlord wishes to implement a lawful rent increase coinciding with the lease renewal and needs to document the new rent amount, the notice date, and compliance with provincial rent increase guidelines such as Ontario's guideline rate or BC's maximum allowable increase.

When the parties want to transition from a fixed-term lease to an explicit month-to-month periodic tenancy with clearly documented termination notice requirements, ensuring both sides understand the notice periods mandated by their province.

When adjustments to the rent deposit or security deposit are required to reflect a lawful rent increase. In Ontario, the last month's rent deposit must be updated annually to match the current rent. In provinces that permit security deposits, the renewal agreement documents the adjusted amount.

When either party wishes to modify terms of the original lease during renewal, such as adding parking privileges, changing utility payment responsibilities, updating occupancy rules, or clarifying maintenance obligations, while preserving all other original terms.

When the original lease did not adequately address governing law, dispute resolution, or notice provisions, and the renewal provides an opportunity to formalize these terms in writing.

Identification of Original Lease — The renewal agreement must reference the original lease by execution date, property address, and the full legal names of all parties. This establishes which tenancy is being renewed and prevents ambiguity.

Renewal Type — Clearly state whether the tenancy is being renewed for a new fixed term (with specific start and end dates) or is continuing as a month-to-month periodic tenancy. Each type carries different termination notice requirements under provincial law.

Rent Amount and Payment Terms — Specify the monthly rent for the renewed term, the due date, and the accepted payment method (Interac e-Transfer, cheque, PAD, etc.). If the rent has changed, include the previous amount, the effective date of the change, and the date notice was provided.

Compliance with Rent Increase Rules — If the rent is being increased, the agreement must confirm compliance with provincial legislation. Ontario requires 90 days' notice on prescribed Form N1 and caps increases at the annual guideline (RTA s. 116-120). BC requires three full months' notice on Form RTB-7 with a provincial cap. Alberta requires three tenancy months' notice with no cap but a minimum 365-day interval between increases.

Deposit Adjustment — Document any change to the rent deposit or security deposit. Ontario permits only a last month's rent deposit, adjusted annually with interest (RTA s. 105-106). BC caps the security deposit at 50% of one month's rent at tenancy start. Alberta caps deposits at one month's rent held in trust.

Modified Terms — If any terms of the original lease are being changed (parking, pets, utilities, occupancy), each modification must be stated clearly and precisely to avoid disputes at the provincial tenancy tribunal.

Original Lease Survival Clause — A provision confirming that all terms of the original lease remain in effect except as specifically modified by the renewal agreement.

Governing Law and Dispute Resolution — Identify the province whose residential tenancy legislation governs the agreement, including the applicable tribunal (LTB in Ontario, RTB in BC, RTDRS in Alberta).

Mutual Execution — Both parties must sign and date the agreement. A lease renewal cannot be imposed unilaterally. Each party should retain a signed copy for their records.