Legal suites in Ontario have become commonplace. Homeowners across Toronto, Hamilton, Mississauga, the Greater Toronto Area (GTA), and Durham, among others, are now converting unused basement and accessory structures into secondary suites.
In 2021, CHMC’s Housing Market Insights study discovered that 1 in 6 ground-oriented homes have secondary units. This study also found that basement apartments for rent are the most common type of secondary suite. Toronto also had the most significant number of secondary units at 75,000. Ontario’s new land legislature is also increasingly making adding second and third units to your property more accessible.
Even so, many homeowners are adding secondary suites for two reasons. One, it’s an opportunity to create a space for multi-generational living. Second, it’s a fantastic way to generate supplementary rental income.
So, if you’ve recently purchased a home with a secondary suite, it’s not a novelty. But you want to make sure that the secondary suite is legal. Illegal secondary suites come with many legal problems, some of which carry penalties. This post will help you determine how to validate your secondary unit as a legal suite. We will also provide a roadmap to navigating the legalities of secondary suites in your Ontario property!
Legal Suites: What is a Secondary Suite?
Let’s start at the beginning. Picture this: you have a self-contained residence within your house. This second unit has a kitchen, living, dining, bedroom, and bathroom. That is a secondary suite. You can have a secondary unit in your basement or garage.
Legal secondary suites are accessory dwelling units in a house with one or more rooms. When you create them, the intended use is as an independent and separate residence.
However, while every unused space can seem inviting to convert into a secondary unit, not all of them meet the requirements.
The Ontario Building Code(which contains the Fire Code) and municipal zoning by-laws dictate restrictions and rules. You can convert that unused space into a legal suite when done right. This self-contained suite becomes a financial cushion and skyrockets the value of your property! If ignored, several problems wait at your doorstep. Some include property value, tenant challenges, and insurance claims.
Ontario Secondary Suite Requirements
So, how do you ensure you’re on the right side of the law? Complying with zoning by-laws and providing building code regulations is the baseline for an Ontario property.
It’s not a one-size-fits-all situation, but the variations are vast and specific to each region. For instance, your secondary suites may be allowed in detached, semi-detached, and townhouses in Toronto. But move to Hamilton, Mississauga, GTA, or Durham, and the premises may “Suiteability” may be dictated by parking provisions. Here are other aspects you want to consider:
- Entrance: Your legal suites must have a separate or shared entrance. It is essential that whoever occupies the legal secondary suite can access the primary dwelling without passing through or accessing the primary residence.
- Fire safety: Fire safety is an inescapable requirement. Your suite must meet standards for the path of egress, smoke alarms, and fire separation. For instance, it must have a smoke-tight separation heating system equipped with duct-type smoke detectors. Spatial separation is another important requirement that ensures that fire doesn’t spread to adjacent buildings. And it has both bylaw and building code considerations.
- Room Sizes: All rooms, excluding the bathroom, storage, and kitchens, require natural light and ventilation. This is critical to the interior layout. Further, ceiling heights can vary depending on city-specific internal policy and the building code.
Steps to Verify Your Legal Secondary Suite in Ontario
Not all secondary suites are legal. If your second unit was built after July 14, 1994, it must have building permits. That said, many existing secondary suites were made without authorisation, and many still need to meet requirements for legal rental accommodation. Property owners have a legal obligation to ensure that they get authorization from their municipality and follow the Ontario building codes and other zoning bylaws regulations. So, if you are buying a property with an existing secondary suite or you plan to renovate and build your own, here are the steps you want to take:
-
- Check the zoning rules: Each municipality in Ontario has set zoning rules specifying where secondary suites are allowed, and you need to ensure your property complies.
- Check documents: Request documents that verify that you are dealing with a permitted suite. You can also confirm with the local building department office or check your building permit status online or through the secondary suite registry.
- Speak with Neighbours: In most cases, a neighbour would be able to verify if the property previously had tenants. This is an excellent place to start to gain rapport with the community. Also, if the property is a legal non. Conforming, the legalisation process is very different.
- Hire an experienced architect or BCIN designer: These professionals can help you create professional property drawings and assess the need for permits.
- Get a courtesy inspection: The Building department will offer an inspection that can help you determine your next steps. This step is especially useful if unpermitted work on the property you’ve purchased is obvious. This inspection can be done by a third-party fire inspection firm or a BCIN designer specializing in this type of secondary suite project.
- Don’t overlook insurance: Another resource is checking the Insurance company and property tax agency. The entities have a vested interest in the property status and can provide insight into the property operation.
What happens if you have an illegal secondary suite?
Let’s not dress it up; owning an illegal suite is a liability! You could face substantial fines and prison time and even risk invalidating your insurance if caught up in legalities.
Plus, let’s remember the potential of neighbours blowing the whistle on you, disgruntled tenants making a fuss, or getting caught red-handed by a bylaw enforcement officer is a common reality. You can get caught if you place illegal secondary suite apartments for rent. The authorities are often monitoring these types of ads. In Ontario, these fines go up to $25,000 for individuals and $50,000 for corporations. Tenants may also take legal action, requiring you to pay for their accommodation while you resolve the issue with your property.
So, you must make that second unit a legal suite by getting authorization. Read this article on the steps to getting a building permit after the fact.
Are secondary suites worth the investment?
Yes, the price tag to make a legal secondary suite can be a steep one. But viewing it as a long-term investment changes the perspective. You’re setting up a passive income stream that could be particularly fruitful in areas with high rental demand.
You may also use those extra living quarters to house a family member or a live-in caregiver.
The increased property value and potential tax deductions from rental income expenses also sweeten the deal. Even so, your secondary suites can help qualify you for a larger mortgage. Furthermore, adding a secondary suite is a sustainable way of providing housing.
Seeking Professional Help For Your Legal Suites in Ontario
Sometimes, it’s good to call in the cavalry. Navigating complex zoning by-laws or meeting with building inspectors might need that professional touch. Ontario professionals—like real estate lawyers, building contractors, designers, or property inspectors can be your guiding light through this venture. They can simplify the verification process and iron out any potential violations. They can even advise you on the best modifications if you intend to add a third unit in the future.
Conclusion
Verifying if you have a legal suite even before purchase is essential. Verification might seem like an unwelcome step. But it ensures the property is safe, protects you from liability, and gives you peace of mind.
The perks of having a legal secondary suite far outweigh the problems of dealing with an illegal one. If you’ve got an illegal secondary suite to deal with, contact the right professionals and get started on the steps to get your building up to code.
For trusted designers and building permit experts to assist in legalizing your secondary suite or any home improvement needs, contact Property Pathways. We can work you through getting your second apartment units aligned to provincial and municipal regulations. So, put on your curiosity hat and let us guide you through the twists and turns of secondary suite legality. Get in touch right away.
