How to Legalize Unpermitted Work in Ontario

Unpermitted work is frustrating for any Ontario landlord. It is even worse when the work was done by a tenant without permission.

Maybe the tenant added a wall, changed plumbing, installed electrical wiring, finished part of the basement, built a deck, altered a bathroom, or created an extra living space. Even if the tenant caused the issue, the landlord is usually the person who has to deal with the city, inspectors, insurance concerns, safety risks, and future resale problems.

This is not something to ignore. Work done without a required permit can lead to extra fees, delays, stop-work orders, repairs, inspections, or even removal of the completed work. In Toronto, the city warns that building without a required permit can result in administrative fees, delays, and possible removal of work already completed.

What Is Unpermitted Work in Ontario?

Unpermitted work means construction, renovation, demolition, electrical work, plumbing work, or other major alterations were done without the required approval.

In Ontario, building permits are usually handled by the local municipality. A permit may be needed before construction, demolition, additions, structural changes, or major renovations begin. The purpose is to make sure the work meets the Ontario Building Code, local zoning rules, and other safety requirements.

For landlords, the important question is not whether the tenant thought the work was “minor.” The real question is whether the work affected the structure, plumbing, heating, electrical systems, fire safety, exits, room layout, or legal use of the property.

Painting a wall is one thing. Adding a bedroom wall, changing wiring, moving plumbing, or creating a basement suite is very different.

Common Tenant Changes That May Require a Permit

Tenants sometimes make changes because they think they are improving the space. That does not mean the work is legal, safe, or allowed.

In Toronto, a building permit may be required for work such as adding or removing walls, changing room sizes or uses, finishing a basement when the work includes structural changes, heating, plumbing, a basement entrance, or a second suite, and building a deck more than 60 centimetres above ground.

For landlords, the biggest red flags are tenant-built bedrooms, basement conversions, added bathrooms, plumbing changes, electrical changes, laundry installations, kitchens, separate entrances, decks, and anything that changes how the property is being used.

These changes can quickly become more than a lease issue. They can become a building code, fire safety, zoning, insurance, and resale issue.

Why Tenant-Caused Unpermitted Work Is Still a Landlord Problem

This is the part landlords usually hate, but it matters: even if the tenant did the work, the property owner may still have to deal with the municipality.

The city is mainly concerned with whether the property is safe and compliant. If work was completed without a required permit, the owner may need to apply for an after-the-fact permit, expose hidden work, hire professionals, complete repairs, or remove the work completely.

This does not mean the tenant has no responsibility. Ontario’s Residential Tenancies Act says a tenant is responsible for repairing undue damage caused by their wilful or negligent conduct, or by someone they allow into the rental unit or residential complex.

How to Legalize Unpermitted Work Done by a Tenant

Step 1: Stop the Work and Put It in Writing

If the tenant is still doing the work, tell them in writing to stop immediately.

Be clear and professional. State that they do not have permission to continue construction, demolition, electrical work, plumbing work, installations, or alterations of any kind.

Do not rely only on a phone call. You want a written record showing when you discovered the issue and what you did about it. This record may matter later if there is an insurance issue, city inspection, legal dispute, or Landlord and Tenant Board application.

Step 2: Document the Changes Before Anything Is Repaired

Before anyone removes, repairs, paints, or covers anything, document the condition of the property.

Take clear photos and videos. Save texts, emails, lease clauses, inspection notices, contractor names, neighbour complaints, and any message where the tenant admits or discusses the work.

Good documentation should show what changed, where it happened, when you found it, whether the tenant had permission, and what damage or safety concern appears to exist.

This is not just about proving blame. It is about protecting yourself if you later need to explain the issue to the city, ESA, your insurer, a contractor, your lawyer, or the Landlord and Tenant Board.

Step 3: Contact the Local Building Department

Do not guess whether the work needs a permit. Contact the local building department and explain what was done.

The municipality may ask for photos, drawings, measurements, or a description of the work. Depending on the situation, they may confirm that no permit is needed, or they may tell you to apply for a permit after the fact.

This is especially important if the tenant changed walls, rooms, bathrooms, kitchens, plumbing, heating, basement space, entrances, decks, or the use of the property.

If the work created a second suite or changed the building from one type of use to another, take it seriously. A change in use can trigger permit and zoning issues even when the actual construction seems limited.

Step 4: Check Whether ESA Review Is Needed for Electrical Work

Electrical work needs separate attention.

In Ontario, the Electrical Safety Authority says almost all electrical work must be reported by filing a notification of work, often called an electrical permit. ESA also makes it clear that an electrical notification is separate from a building permit. In many cases, both may be needed.

If electrical work was done, do not cover it up quickly. ESA says electrical work creates a permanent record through the notification process, and the work is reviewed for safety. If you hire a Licensed Electrical Contractor, they arrange the required ESA notifications and can provide a Certificate of Acceptance for your records.

This matters because unsafe electrical work can create fire, shock, insurance, and liability risks.

Step 5: Hire the Right Professionals

If the work is more than cosmetic, bring in qualified help.

Depending on the issue, you may need a licensed electrician, plumber, contractor, engineer, architect, or designer. If the tenant dispute is serious, you may also need legal advice.

Do not use a handyman to “make it look fine” if the issue involves wiring, plumbing, structure, fire separation, exits, or a possible illegal unit. The goal is not appearance. The goal is safety, code compliance, and a clean record for the property.

Step 6: Apply for an After-the-Fact Permit if Required

If the municipality confirms that a permit was required, you may need to apply after the work has already been done.

This does not mean approval is guaranteed. The city may ask for drawings, measurements, photos, professional reports, engineering details, or proof that the work meets code. If the work is unsafe or non-compliant, it may need to be corrected or removed.

This is why landlords should not promise the tenant that the work can stay. Until the proper authority reviews it, you do not know whether the work can be legalized.

Step 7: Complete Inspections and Close the Permit

Getting the permit is not the finish line. The work must be inspected, and the permit should be properly closed.

Toronto states that property owners are required to schedule a final inspection when the project is complete, and open permits can affect future real estate transactions or future permit applications.

This is a major point for landlords. An open permit can scare buyers, delay a sale, complicate financing, or become a negotiation issue. Toronto also notes that open permits may delay or complicate real estate transactions because buyers and lenders may want proof that construction was completed and inspected.

If your goal is to protect the value of the property, do not stop halfway. Get the file closed.

Can the Tenant Be Responsible for the Cost?

Possibly, but you need evidence and a proper process.

If the tenant made unauthorized changes that caused damage, safety concerns, permit costs, inspection costs, or repair costs, you may be able to seek compensation. Ontario’s Residential Tenancies Act makes tenants responsible for undue damage caused by their wilful or negligent conduct, or by people they allow into the rental unit or residential complex.

However, landlords should be careful. Do not invent charges, use rough guesses, or try to punish the tenant outside the legal process. Keep quotes, invoices, photos, inspection reports, written notices, and proof of payment.

If the tenant refuses to pay, you may need to proceed through the Landlord and Tenant Board.

Can a Landlord Evict a Tenant for Unauthorized Renovations?

Sometimes, but it depends on the facts.

A tenant hanging shelves is not the same as a tenant adding wiring, changing plumbing, damaging structural elements, or creating an illegal unit. The more serious the work, the stronger the landlord’s concern may be.

The key questions are whether the tenant caused undue damage, created a safety risk, substantially interfered with the landlord’s rights, or breached the lease. Before moving toward eviction, landlords should get advice and make sure they are using the correct notice and process.

Do not make eviction the first move. First, stop the work, document the issue, understand the permit problem, and assess the damage.

The Takeaway

If a tenant has done unpermitted work in your Ontario rental property, act quickly, but do not panic.

Stop the work, document everything, contact the local building department, check whether ESA review is needed, hire qualified professionals, apply for permits if required, complete inspections, and close the file properly.

Even if the tenant caused the issue, the property is still your asset. Your goal is to protect its safety, value, insurability, and future resale potential.

If you are thinking about buying a home or investment property in Toronto or the GTA, The Johnson Team can help you make a smarter move from the start. Our experienced buyer agents know what to look for, what questions to ask, and how to help you spot potential red flags before you commit. Whether you are buying your first home, your next home, or a property with rental potential, contact The Johnson Team today to get connected with a buyer’s agent right away.

 


Posted by Maryann Quenet on

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