The rent-increase rule
CMHC’s wording, from the MLI Select page:
“For the full length of the commitment, base affordable rents for the designated affordable units must not increase by an amount greater than the annual increase permitted under applicable legislation/regulations (including any binding rulings, directives, or decisions issued by the applicable provincial or territorial rent regulation authority). If no legislation or regulations apply, annual rent increases are limited to the applicable consumer price index (CPI).”CMHC MLI Select pageas of Oct 15, 2026(opens official source in a new tab)
“CMHC publishes the permitted CPI percentages applicable to each province and territory each year.”CMHC MLI Select pageas of Oct 15, 2026(opens official source in a new tab)
2027 permitted CPI percentages
CMHC’s 2027 permitted CPI percentages are the lowest available positive CPI for each province and territory between September 2025 and August 2026.CMHC MLI Select pageas of Oct 15, 2026(opens official source in a new tab)
| Province or territory | CPI % to use when applicable |
|---|---|
| Alberta | 0.1% |
| British Columbia | 1.8% |
| Manitoba | 0.8% |
| New Brunswick | 2.4% |
| Newfoundland and Labrador | 1.3% |
| Nova Scotia | 4.9% |
| Ontario | 0.7% |
| Prince Edward Island | 0.2% |
| Quebec | 3.0% |
| Saskatchewan | 1.8% |
| Northwest Territories | 2.4% |
| Nunavut | 2.4% |
| Yukon | 2.4% |
CMHC’s note under the table: “For properties where annual rent increases for designated affordable units are subject to the applicable CPI, the applicable rent increase must not exceed these percentages.”CMHC MLI Select pageas of Oct 15, 2026(opens official source in a new tab)
Which rule applies in Alberta?
- In Alberta, rent can be increased only after at least one year (365 days) since the last increase or the start of the tenancy.Service Alberta, Information for Landlordsas of Oct 15, 2026(opens official source in a new tab)
- Alberta’s guide for landlords states: “There is no limit on the amount by which the landlord may raise the rent.”Service Alberta, Information for Landlordsas of Oct 15, 2026(opens official source in a new tab)
- CMHC’s 2027 permitted CPI percentage for Alberta is 0.1%.CMHC MLI Select pageas of Oct 15, 2026(opens official source in a new tab)
Other commitment-period rules
| Rule | What CMHC says |
|---|---|
| Length | Affordability criteria apply for a minimum of 10 years. Borrowers who commit to 20 years receive an additional 30 points. |
| Start date | The period begins at the date of first occupancy for new construction or major renovation, and at the interest adjustment date for existing buildings. |
| Threshold | Affordable units rent at a maximum of 30% of median renter income for the market. |
| At application | The lender submits the pro forma rent roll (new construction) or the current rent roll (existing) showing the affordability level. |
| Ongoing proof | Documentation is required to support on-going compliance throughout the affordability period. |
| Annual certificate | Each year the borrower gives the Approved Lender a certificate of compliance, supported by a copy of the rent roll in a form acceptable to CMHC. |
| Swapping affordable units | The certificate lets the borrower report that existing affordable units were replaced by new affordable units, on a replacement schedule. |
The affordable threshold itself, 30% of median renter income, is covered on the median renter income lookup.
What CMHC does not publish
- A penalty schedule for breaching the affordability covenant. The covenant terms sit in a “Social Outcome Covenant” that CMHC’s certificate references and that is not public.CMHC annual certificate of complianceas of Oct 15, 2026(opens official source in a new tab)
- Whether the median renter income threshold is re-indexed during the commitment period. The workbook is dated March 2021.CMHC median renter income workbookas of Oct 15, 2026(opens official source in a new tab)
CMHC’s own note: “This information is subject to change at any time. Please verify with CMHC that you have the most up to date information before the loan is processed.”CMHC MLI Select fact sheetas of Oct 15, 2026(opens official source in a new tab) See the disclaimer.