Top 50 Rent & Deposit Questions for Tenants in Prince Edward Island

How much can my landlord increase my rent in PEI?
The annual rent increase limit is set by the Island Regulatory and Appeals Commission (IRAC). For 2024, the limit is 3%. Special approvals may allow more. Learn more.
How much notice must my landlord give for a rent increase?
Landlords must give at least 3 months' written notice before increasing rent.
Is there an official form for rent increases?
Yes. Form 10: "Notice of Increase of Rent" is used. Your landlord must provide this form. Download Form 10.
Can I dispute a rent increase in PEI?
Yes. You can apply to IRAC within 20 days of receiving the rent increase notice using Form 2. Download Form 2.
What is the maximum security deposit a landlord can charge?
Security deposits cannot be more than one month's rent in Prince Edward Island.
Does my landlord have to give me a receipt for my deposit?
Yes. Landlords must provide a written receipt for any security deposit received.
When should my deposit be returned after I move out?
Deposits must be returned within 10 days of you moving out, unless there is a dispute.
Can my landlord keep my security deposit?
Only for unpaid rent, damages beyond normal wear and tear, or unpaid utilities you agreed to pay.
What should I do if my landlord doesn’t return my deposit?
File a claim with IRAC using Form 2: "Application by Tenant." Get Form 2.
Can my landlord ask for more than one month's rent as deposit?
No. Only one month's rent is allowed as a maximum security deposit.
Can I use my deposit to pay last month’s rent?
No. The security deposit cannot be used for rent unless the landlord agrees in writing.
Are pet deposits legal in PEI?
No. Only a single security deposit is allowed; separate pet deposits are not permitted.
Is rent allowed to be paid in cash?
Yes, but always ask for a receipt for any rent paid in cash.
Can a landlord charge late fees if I pay rent late?
Only if late fees are set out in your lease agreement and are reasonable.
What happens if I miss a rent payment?
Your landlord can serve an eviction notice. You may use Form 6: "Notice to Quit" if needed. See forms.
Can landlords require post-dated cheques?
No. Payment methods must be agreed by both parties, but landlords cannot require post-dated cheques.
What can my deposit legally be used for?
Only for damage beyond normal wear, unpaid rent, or unpaid agreed utilities.
Can I get interest on my security deposit?
Yes. Landlords owe simple interest at government-set rates; IRAC provides these rates annually.
Does my lease need to be in writing?
A written agreement is preferred but not required by law. Verbal leases are also valid, but written is better for clarity.
Do I have to pay a key deposit?
No. Only a regular security deposit is allowed. Extra deposits like key deposits are not permitted.
Do rent increases apply during a fixed-term lease?
No. Rent can only be increased at lease renewal unless the agreement allows otherwise.
How often can rent be increased?
Once every 12 months, with proper notice.
What if my lease says something different from PEI law?
PEI's Rental of Residential Property Act overrides any lease clauses that are not allowed by law.
Is direct deposit for rent payments allowed?
Yes, if you and your landlord both agree.
Must my landlord keep my deposit in a separate account?
Yes, security deposits must be placed in a trust account by law.
Can I ask IRAC to guide my rent or deposit dispute?
Yes. The Island Regulatory and Appeals Commission (IRAC) handles all rental disputes. Visit IRAC.
Can a landlord ask for multiple months’ rent upfront?
No. Only one month’s rent as deposit is legal.
What legislation covers rent and deposits in PEI?
The Rental of Residential Property Act governs all rental matters in PEI. See the Act.
Can rent be increased above the guideline amount?
Only if the landlord applies to IRAC for special approval and it is granted.
Does my landlord have to provide a receipt for every rent payment?
Yes. Receipts are mandatory for all payments made.
Can a landlord raise the rent as retaliation?
No. Retaliatory rent increases are not allowed and can be challenged at IRAC.
Are utility charges included in "rent"?
Only if your lease says so. Otherwise, rent is for the unit only; utilities are separate.
My rent includes parking. Can the landlord increase just the parking fee?
Only if separate in the lease. Otherwise, the rent increase applies to the total amount.
Can landlords ask for a cleaning deposit?
No. Only a regular security deposit is allowed by law.
Can I pay rent by e-transfer?
Yes, if your landlord accepts this method and you both agree.
If I move out before lease end, can my deposit be kept?
Yes, if you owe rent or cause damages. Otherwise, it should be returned.
What happens if my landlord doesn’t serve proper rent increase notice?
The increase is invalid, and the previous rent amount stays in effect.
Can my landlord apply my deposit to routine cleaning?
No. Only damages above normal wear can be deducted, not regular cleaning.
How do I request my deposit back?
Ask your landlord in writing. If not returned in 10 days, apply to IRAC using Form 2.
Is a deposit required for every new lease?
Only if you did not pay a deposit for the previous lease with the same landlord.
Can rent be paid weekly in PEI?
Yes, if your lease is set up for weekly terms. Most are monthly.
Am I entitled to an inspection before moving out?
Yes. You can request a move-out inspection with your landlord to review any potential damages.
What if I can’t pay rent due to COVID-19 or emergency?
Reach out to your landlord and IRAC as early as possible. Exceptional measures may apply.
Can rent be increased on subsidized units?
Only as permitted by housing authority or IRAC rules; special rules may apply for government-assisted units.
Can I negotiate a payment plan for unpaid rent?
Yes, if both you and your landlord agree in writing. IRAC can help if needed.
What does “normal wear and tear” mean for security deposits?
Everyday use that doesn’t damage the unit, like minor scuffs, is normal wear and tear and can’t be deducted.
Can my deposit be kept for unpaid utility bills?
Only if your lease says you are responsible and the bills are unpaid.
What proof does my landlord need to deduct from my deposit?
Landlords must show written estimates, receipts, or photos of damages beyond normal wear.
Can IRAC help me recover unpaid deposit or overpaid rent?
Yes, by applying with Form 2 for a decision. Form 2.
What is the Island Regulatory and Appeals Commission (IRAC)?
IRAC is PEI’s official tribunal for all residential tenancy questions and disputes. Visit IRAC.
Bob Jones
Bob Jones

Editor & Researcher, Tenant Rights Canada

Bob writes and reviews tenant law content for various regions. They’re passionate about housing justice and simplifying legal protections for tenants everywhere.