The Ontario government recently announced that the allowable increase that landlords can charge their tenants this year is 1.8% of the base rent. Some years have seen larger increases, and some smaller, but this figure seems to be right in line with increases that we have seen over the past few years. Rental increases are allowable only after the first twelve months of a tenancy.
Remember that when a tenant leaves and a new one comes in that you can set your rent at whatever the market will bear. What the previous tenant was paying has no bearing on what the new rent might be. The allowable 1.8% increase will only apply to pre-existing tenants.