What Realtors Should Know Before Advising on N12 and Tenant Removal
The N12 is one of the most misunderstood notices in Ontario, and the rules changed on September 21, 2026. Before anyone suggests serving one, here is what realtors need to know, and where the line between information and legal advice sits.
Key points
- An N12 needs a genuine intention by an eligible person to move in.
- A purchaser N12 only works for complexes with three units or fewer, or condo units.
- Purchaser N12s always require one month’s rent compensation. The 120-day exemption is only for own use.
- The tenant doesn’t have to leave without an LTB order.
An N12 served for the wrong reasons can cost a client far more than it saves. Here are the rules every realtor should know before the topic comes up.
Genuine intention
An N12 can’t be used as a tactic to remove a tenant. The person named must genuinely intend to live in the unit. If a former tenant proves bad faith, the Board can order up to 12 months’ rent in general compensation, plus rent differences, moving costs and an administrative fine. In a sale, both the seller and the buyer can be held responsible.
Who can move in
For own use: the landlord, their spouse, a child or parent of either, or a caregiver. For a sale: the purchaser, their spouse, a child or parent of either, or a caregiver. A corporate landlord can’t serve an N12 for its own use. If the buyer is a corporation, there is no eligible individual for whom it can require the unit in the same way, so get legal advice before relying on an N12.
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For purchaser N12s, the landlord who served the notice must pay one month’s rent, or offer another acceptable unit, by the termination date, no matter how much notice is given. For own-use N12s served on or after September 21, 2026, at least 120 days’ notice removes that requirement. If required compensation isn’t paid on time, the Board won’t issue an eviction order.
The timeline
The tenant gets at least 60 days’ notice, ending on the last day of a rental period or fixed term. The tenant doesn’t have to file anything to stay. The landlord must file an L2, with an affidavit from the person moving in, and wait for a hearing. That can push vacant possession past a planned closing.
This is legal advice
Telling a client whether, when or how to serve an N12 is legal advice. Connect them with a licensed paralegal or lawyer before the agreement is signed if vacant possession depends on an N12.
Frequently asked questions
Can a buyer who isn’t moving in use an N12?
No. The buyer or an eligible family member or caregiver must genuinely intend to live there.
Can a corporate buyer use a purchaser N12?
It’s risky, because the N12 depends on an individual needing the unit. Get legal advice first.
Does the 120-day rule apply in a sale?
No. Purchaser N12s always require compensation.
Does the tenant have to leave on the termination date?
Not without an LTB order. The landlord files an L2 if the tenant stays.
Who is liable for a bad-faith purchaser N12?
The former tenant can name both the seller and the buyer.
About Robert Di Lisi
Robert is a paralegal licensed by the Law Society of Ontario and co-founder of Stonegate Legal Services, a landlord-only firm. He leads client intake and speaks at landlord seminars across the GTA. Like the rest of the team, he is a landlord himself.
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