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A second suite in your Toronto home

Having a secondary rental unit as an option in a house will enable homebuyers to manage a mortgage and will also increase its resale value. While the second suite zoning bylaws permits second suites in all single and semi-detached houses, certain conditions apply.

Many have not been fully informed regarding these regulatory changes. Nor are they aware of the benefits and challenges that can be generated by creating a second suite. Ensuring that landlords are aware of what is required and that communities are made aware of the realities will ultimately benefit neighbourhoods. The City of Toronto has produced an easy-to-read information kit that may help you. Educating yourself on the responsibilities and understanding the legalities and regulations required, as well as ensuring that you have good referencing when considering potential tenants will help make you better equipped to handle the experience.

• Income potential of an existing rental unit will attract purchasers.

• Compliance with established health, safety and property standards will increase the marketability of the property.

The Second Suite Information Hub was developed by Landlord's Self-Help Centre to promote the creation and upgrade of Second Suites in Toronto. It feature a broad array of information that is aimed at helping homeowners, tenants and communities better understand the value of Second Suites.

Ontario Landlord & Tenant Board:
the 2008 Rent Increase Guideline (pdf) is 1.4 percent.

What is a second suite?

A second suite is a self-contained unit (rental or rent-free) in a single-detached or semi-detached house. Most second suites are basement apartments. They have also been called granny flats, in-law suites and accessory apartments.

Are second suites new?

No! In the past, second suites were permitted in some areas of the City (York, East York, and parts of former Etobicoke, North York and Toronto). Some parts of the City have had a long experience with this form of housing. As well, provincial legislation, in force between July 1994 and November 1995, allowed for the creation of second suites in all areas of the province.

When did Toronto's second suites by-law to come into effect?

In July 1999, City Council adopted the second suites by-law. This by-law was appealed to the Ontario Municipal Board (OMB) by a number of residents' groups and individuals. The OMB held a hearing on the appeals in February 2000. The OMB issued a decision in April approving the City's by-law but directed that two amendments be made. The amendments dealt with: (1) parking provisions in some neighbourhoods in the former Toronto, and (2) building alterations.

The final by-law was approved by Order of the OMB on July 6, 2000. As a result of the Order, the second suites by-law (including the amendments) is now in effect.

Where are second suites permitted in the City?

The new by-law permits second suites in all single-detached and semi-detached homes throughout the new City of Toronto — with certain conditions. Some of the conditions include:

• the second suite must be self-contained with its own kitchen and bathroom.
• the house, including any additions, must be at least 5 years old;
• the floor area of the second suite must be smaller than the remaining unit;
• in most cases, homes with a second suite must have at least 2 parking spaces and parking can be in tandem (one behind the other). There is an exception for parts of the former City of Toronto (R2, R3 and R4 districts) where only 1 parking space is required for a house with a second suite. Please contact the City of Toronto's Urban Planning and Development Services Department to determine if a property is located in a R2, R3, or R4 district.
• Before planning any changes to the outside appearance of a dwelling the homeowner should contact the City of Toronto's Urban Planning and Development Services Department; and
• all new second suites must comply with the Ontario Building Code and require a building permit. Existing second suites must comply with the Fire Code as well as zoning and property standards.

How can I find out if an existing second suite complies with the regulations?

The unit will have to be inspected by Fire Department staff. There is a fee for the inspection and you may be required to upgrade the suite to meet the code requirements and other standards. Contact the City's Urban Planning and Development Services Department for more information (see the phone number below).

Does the City provide grants or loans to encourage the creation of second suites?

The Residential Rehabilitation Assistance Program (RRAP) is a Canada Mortgage and Housing Corporation affordable housing program for low-and-modest income households which provides funding for housing repairs, housing modifications for disabled residents, creating secondary suites and converting non-residential buildings into new rental housing. The City of Toronto delivers RRAP funding to eligible property owners in Toronto. For information, go the City of Toronto website here.

Will a second suite impact property taxes?

In most cases, there will be little impact on property taxes. A major exception would be where the second suite is created by constructing an addition, thereby significantly adding to the value of a house.

For specific zoning, property standards, or fire and building code questions please contact the City of Toronto's Urban Planning and Development Services Department: 416.392.7522 (Old City of Toronto)