Updated October 3, 2026 · DF Property Management
Two different grounds on one form
Form N12 covers two situations under the Residential Tenancies Act (RTA), and the rules differ between them.
| Landlord's own use (s. 48) | Purchaser's own use (s. 49) | |
|---|---|---|
| Who can move in | The landlord, their spouse, a child or parent of either, or a caregiver for one of them | The buyer, their spouse, a child or parent of either, or a caregiver for one of them |
| Which properties | Any rental unit owned in whole or part by an individual — corporations can't use this ground | Only a building with three or fewer residential units, or a condominium unit |
| Other conditions | The person must intend to live there for at least one year | A signed agreement of purchase and sale that is reasonably certain to close |
Where the occupant is a caregiver, the person receiving care must live in the same residential complex.
Notice period and termination date
The termination date must be at least 60 days after the notice is given and must fall on the last day of a rental period — or, for a fixed-term lease, the last day of the term. An N12 can't cut a lease short. Once served, the tenant may leave earlier by giving you at least 10 days' written notice.
Compensation, and the new 120-day exception
The standard rule: pay the tenant an amount equal to one month's rent, or offer another rental unit they accept, no later than the termination date. The LTB won't issue an eviction order if compensation hasn't been paid, and an unpaid amount after the termination date usually means the application is dismissed.
From September 21, 2026, a landlord's-own-use N12 doesn't require compensation if all of these are true:
- the notice was given on or after September 21, 2026;
- the termination date is at least 120 days after the notice is given; and
- the termination date is the last day of a rental period or of the fixed term.
According to the LTB, the exception doesn't apply to purchaser's-own-use notices — a seller serving an N12 for a buyer still owes one month's rent or an acceptable unit. That obligation sits with the landlord who served the notice, not the buyer.
Compensation can also be given as a rent waiver, but the LTB expects it to be express, for a specific month, and clearly communicated to the tenant before the termination date.
The affidavit or declaration
If the tenant doesn't move out, you apply on Form L2. The person who will move in must swear an affidavit — or sign a declaration, which the LTB also accepts — certifying that they genuinely need the unit for their own residential use (for at least one year, on a landlord's-own-use notice). It should be filed with the application; LTB rules allow five calendar days if it can't be filed at the same time.
The L2 must also disclose every N12 and N13 notice you have given to any tenant in the previous two years, even for other units or buildings you no longer own. In 2026 the Court of Appeal confirmed that leaving one out means the application must be dismissed.
Good faith is the whole case
At the hearing you must show, on a balance of probabilities, that the named person genuinely intends to move in. Whether the plan is wise isn't the test; whether it's real is. The LTB can weigh what happened after the notice was served, earlier N12s that ended with a re-rented unit, and any history of conflict with the tenant. Even if you prove your case, the LTB still considers whether to refuse or delay the eviction.
Step by step
- Confirm eligibility — Right owner, right occupant, right property type, and a genuine intention to live there.
- Pick the date — End of a rental period or term, at least 60 days out; 120 or more if you're relying on the new exception.
- Serve the N12 — Use the current LTB form, name the intended occupant and their relationship, and keep proof of service.
- Pay compensation if owed — By the termination date, by a traceable method.
- File an L2 if needed — No later than 30 days after the termination date, with the affidavit or declaration and the two-year notice history.
- Move in, and stay — The named person should move in promptly and live there for at least a year.
Bad faith: what it costs
A former tenant can file a T5 application within one year of moving out. For landlord's-own-use notices, bad faith is presumed — and you must prove otherwise — if, between the notice and one year after the tenant leaves, you advertise the unit for rent, rent it to someone else, advertise the unit or building for sale, demolish it, or take steps to convert it. For T5s filed after September 21, 2026, bad faith is also presumed if the named person doesn't move in within 60 days of the termination date (or of the tenant's actual move-out, if later).
If bad faith is found, the LTB can order the landlord — and in purchaser cases, the buyer — to pay:
- the rent difference the tenant faces for up to one year;
- reasonable moving, storage and similar costs;
- general compensation of up to 12 months' rent;
- a rent abatement and an administrative fine.
Separately, maximum fines for offences under the Act rose on July 1, 2026 to $100,000 for individuals and $500,000 for corporations.
Plexes, condos and sales
For a tenanted duplex, triplex or condo you plan to sell, the N12 timeline should be built into the agreement of purchase and sale: closing aligned with a valid termination date, and room for an LTB hearing if the tenant doesn't leave. If the timelines don't work, a negotiated cash-for-keys agreement is sometimes the cleaner route.
How we can help
We manage condo rentals and plexes across the GTA and track lease terms, notice dates and compensation so nothing is missed. See our compliance service and the walkthrough of the LTB process.
General information, not legal advice. N12 cases turn on their facts; get advice from a lawyer or licensed paralegal before serving.