Can my landlord evict me right away if I don't pay the new rent in PEI?

No, your landlord must serve you a written notice and give you 20 days to pay before eviction can proceed.

What should I do if I can't afford my new rent in Prince Edward Island?

Contact your landlord, seek payment arrangements, and consider reaching out to tenant support services for guidance.

How do I challenge a rent increase in PEI?

You must submit a written objection to IRAC before the rent increase starts. Use the official form found on IRAC's website.

Will partial payments prevent eviction for unpaid rent?

Not necessarily. If the full amount isn’t paid, you may still be subject to eviction unless your landlord agrees to accept the partial payment.

Consequences of Not Paying Increased Rent in Prince Edward Island

Affordable Housing & Subsidies Prince Edward Island published June 13, 2025

Rent increases can be stressful for tenants, especially in Prince Edward Island (PEI) where affordable housing is limited. If you’re facing a rent increase and aren't sure what will happen if you don’t pay the new amount, understanding your rights and responsibilities can help you avoid bigger issues like eviction or debt.

How Rent Increases Work in Prince Edward Island

In PEI, rent increases are regulated under the Residential Rental Act (PEI).¹ Landlords can only increase rent:

Once in a 12-month period
By an amount allowed by law (the “allowable amount” or special approval from the Island Regulatory and Appeals Commission)
With proper written notice (minimum 3 months in advance using the correct form)

To understand the basics of paying rent and your responsibilities, visit Tenant's Guide to Paying Rent: Rights, Responsibilities, and Tips.

What If You Disagree With the Rent Increase?

Tenants have the right to challenge a rent increase with the Island Regulatory and Appeals Commission (IRAC), which governs tenancies in the province. To contest an increase, tenants must file a written objection before the increase takes effect.

What Happens If You Don’t Pay the New Rent?

If you continue paying your old rent after an allowable increase and do not pay the full new amount, you may fall into arrears. Here’s what could happen:

Arrears Accumulate: The landlord may consider the difference as unpaid rent.
Notice to Quit: The landlord can serve you a "Form 4: Notice to Quit – Non-payment of Rent" if rent isn't paid in full.
Eviction Risk: If you do not pay the outstanding balance within 20 days after receiving the notice, the landlord may apply for an order to end the tenancy through IRAC.
Negative Record: Unpaid rent can affect your rental history and future ability to rent elsewhere.

Paying the full increased rent by the due date can help you avoid eviction and other legal problems. If you can’t afford the new rate, seek help early.

PEI Official Forms for Rent Payment and Disputes

Form 4: Notice to Quit – Non-payment of Rent
Used by landlords when rent isn’t paid on time. If you receive this, you must pay the full amount due or vacate the unit. Find the official form and details on when/how to use it on the IRAC Rental Forms page.²
Tenant Application for Review of a Notice to Quit
Tenants can contest a Notice to Quit if they believe it's not justified. Download the form at the IRAC Rental Forms section and submit it promptly if disputing eviction.

For a full breakdown of both landlord and tenant duties after the rental agreement is signed, see Obligations of Landlords and Tenants: Rights and Responsibilities Explained.

Steps to Take If You Can’t Afford the New Rent

Not everyone can handle a sudden rent increase. If you think you can’t afford your new rent, here’s what to do:

Contact your landlord as soon as possible. Open dialogue can help find solutions, such as a payment plan.
Review your rent increase notice to ensure it meets legal requirements.
If you think the increase is unlawful or too high, file an objection with IRAC before the increase starts.
Seek support from local tenant advocacy groups or social services for help with rent arrears.
Explore alternative housing using Affordable homes for rent in Canada on Houseme.

Keep a record of all communication with your landlord and copies of any notices or forms.

Legal Protections for Tenants in PEI

Your rights as a tenant are protected under the Residential Rental Act (PEI).¹ Evictions for non-payment must follow strict legal procedures—it’s never automatic. If you receive a Notice to Quit, you have options to pay, negotiate, or contest the notice.

For more on tenant rights in the province, review Tenant Rights and Landlord Rights in Prince Edward Island.

Summary of Consequences

Unpaid rent after a legal increase leads to arrears.
Continued arrears may result in a 20-day eviction notice.
Timely action, either in paying or responding, is crucial to avoid legal complications.

If you're unsure about your rent increase or how to respond, get advice before missing payments or ignoring notices.

FAQ: PEI Rent Increase and Non-Payment

Can my landlord evict me immediately if I don't pay the increased rent?
No, PEI law requires a formal notice (Form 4) and a 20-day grace period before further action. See above for details on how to respond.
How do I challenge a rent increase I think is unfair?
You can file a formal objection with IRAC using their rental forms before the increase takes effect.
What if I pay partial rent—will I still be evicted?
Partial payments may not stop eviction if the full new rent is not paid; always communicate with your landlord and consider applying for a review if you dispute the amount.
Where do I get copies of PEI tenancy forms?
All official forms are on the IRAC Rental Forms page.
Will unpaid rent affect my rental history?
Yes, outstanding arrears can make it harder to rent in the future. Resolve issues as soon as possible.

Need Help? Resources for Tenants

Island Regulatory and Appeals Commission (IRAC)
Handles rental disputes, rent increases, and eviction hearings. Website: PEI IRAC Residential Rental Office, Phone: 902-892-3501
PEI Tenant Support Centre (Community Legal Information)
Offers free legal information and support for tenants. Website: legalinfopei.ca
Government of PEI – Residential Rental Act
Official legislation: Residential Rental Act (PEI)

Legislation: Residential Rental Act (PEI)
IRAC Rental Forms and Applications