Moving out of a rental unit in Ontario brings relief but also some important responsibilities—especially if you want your rental deposit back. As a tenant, understanding the Ontario rules around deposits, proper notice, inspections, and the claims process will help you recover your money fully and on time. The information below follows the Residential Tenancies Act, 2006, providing you with clear, current guidance.

Types of Rental Deposits in Ontario

In Ontario, landlords are permitted to collect a rent deposit, often called a "last month’s rent deposit" (LMR). Security deposits for damages are not allowed. Your rent deposit covers your final month's rent but is not intended for repairs or cleaning.

For a full breakdown of rental deposits, see Understanding Rental Deposits: What Tenants Need to Know.

Steps to Get Your Rent Deposit Back When Leaving

Getting your deposit back starts well before moving day. Here’s how to prepare and what to expect:

1. Give Proper Notice

• Notify your landlord in writing at least 60 days before moving out, coinciding with your rental period (usually the end of the month).
• Use the official Ontario N9: Tenant's Notice to End the Tenancy (download here) if you are ending a month-to-month lease.
• Keep a dated copy for your records.

Example: If your rent is due on the 1st, provide notice before the end of the preceding month for a move-out at that month's end.

2. Prepare the Unit for Final Inspection

• Clean the rental thoroughly: floors, appliances, walls, bathroom, and storage.
• Remove all personal belongings and garbage.
• Document the unit’s condition with photos or a walkthrough video.
• Repair minor damages (e.g., nail holes) to avoid disputes.

Consider using the The Final Inspection: What Tenants Need to Know Before Moving Out for a handy checklist.

3. Rent Deposit and Interest

Once you have provided proper notice and fulfilled your tenant obligations, your rent deposit will be used as your last month’s rent. Landlords must also pay you any interest earned on your deposit every 12 months, at the prescribed rate in Ontario. If you have not received this, request it in writing.

4. Resolving Disputes Over Deposits

If your landlord tries to withhold your deposit for reasons other than last month’s rent, they are not following Ontario law. The proper way to resolve disputes includes:

• Contact your landlord in writing, state your concern, and include supporting documentation.
• If there is no resolution, apply to the Landlord and Tenant Board (LTB).
• Use Form T1: Tenant Application for a Rebate when seeking a deposit return (official form here).

The LTB will review the case under the Residential Tenancies Act, 2006.

What Deductions Are Permitted?

Landlords in Ontario:

• Cannot use the rent deposit for damages or cleaning
• May apply the deposit only toward the final month’s rent
• Are required to pay interest annually on the deposit

Any other use or deduction must be taken to the Landlord and Tenant Board for a decision.

For a more detailed guide to moving out, see Moving Out Tips: A Tenant's Guide to a Smooth Rental Exit.

Key Forms You Need

• N9: Tenant’s Notice to End the Tenancy Form
  • Official Ontario form used to provide notice to your landlord
  • Find it on the LTB Forms page
  • Submit in writing and keep proof of delivery
• T1: Tenant Application for a Rebate
  • Apply if your landlord refuses to return your deposit or pay interest
  • Download T1 here

Both forms are submitted to the Ontario Landlord and Tenant Board.

Remember, you are protected under Ontario’s Residential Tenancies Act, 2006 throughout this process.

Read more about Tenant Rights in Ontario to ensure you know your full protections as a renter.

For more options, Browse apartments for rent in Canada on Houseme's trusted rental platform.

Frequently Asked Questions

1. Can my landlord withhold my rent deposit for damages?
   No. In Ontario, your landlord can only use the rent deposit for the last month's rent—not for damages or cleaning. If they claim otherwise, you can apply to the Landlord and Tenant Board.
2. What if I forget to provide 60 days’ notice before leaving?
   If the required notice isn't given, you may be liable for the next rental period. However, you can discuss solutions with your landlord or file with the LTB for guidance.
3. How do I request the annual interest on my rent deposit?
   Write your landlord a short request. If they refuse, file Form T1 with the LTB for the interest owed.
4. What is the process if my landlord does not return my deposit?
   Submit a written request. If unresolved, file Form T1 with the Landlord and Tenant Board for a formal decision.
5. Are security deposits for damages allowed in Ontario?
   No, only the last month’s rent deposit is allowed. Any other deposit for damages or keys is strictly regulated.

Summary: Getting Your Deposit Back in Ontario

• Always provide proper written notice using official forms
• Prepare your unit for inspection and document its condition
• If disputes arise, use the Landlord and Tenant Board to resolve them legally

Keep communication professional and maintain records to protect your rights.

Need Help? Resources for Tenants

• Landlord and Tenant Board (LTB) – For disputes, applications, official forms, and tenant rights
• Government of Ontario: Renting in Ontario – Rights and responsibilities of tenants and landlords
• Community Legal Clinics – Free legal advice for tenants (find local clinics via Legal Aid Ontario)
• Tenant Rights in Ontario – Practical info for Ontario renters

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1. Residential Tenancies Act, 2006: Ontario.ca - Residential Tenancies Act, 2006
2. Landlord and Tenant Board (LTB): tribunalsontario.ca/ltb
3. N9, T1 Forms: LTB Tenant Forms
4. Government of Ontario Tenant Rights: Ontario Government Guide

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