Property owners in Caledon who rent their home under short-term leases, like Airbnbs, now need to pay a fee of $250 that will jump to $500 in a few months.

Caledon’s new Residential Rental Licensing (RRL) program launched earlier this month a way to “protect tenants and neighbourhoods by addressing issues such as overcrowding, illegal units and poor property maintenance,” the town said in a news release.

The town approved the new rules in the fall of 2025, which are rolling out in stages. Short-term rentals require a licence to operate as of Sept. 8, while long-term rental rules will take effect in 2027.

“The Residential Rental Licensing Program is about ensuring rental housing in Caledon is safe and meets established standards,” said Judith D’Souza Soares, commissioner of community services for the town. “This program provides greater clarity for property owners, helps protect renters and supports strong, healthy neighbourhoods across the town.”

Under the new rules, the town considers homes rented for less than 28 days and up to six months per year a short-term if the property is the renter’s primary residence.

Hotels, motels, group homes or student housing that have gone through a site plan approval process with the town’s planning department will be exempt, the town says. Short-term licences are available for a $250 fee until Nov. 9, and will then double to $500.

The introductory rates are available for a limited time “to provide a simple transition into the new system.” There’s also a $233 Fire Inspection Fee, which applies if the fire department is required to check for safety, the town says.

For more information or to register for Caledon’s new RRL program, visit www.Caledon.ca.

Brampton launched its RRL pilot project in 2024, requiring landlords in certain wards with properties that have four or fewer rental units to obtain a licence to operate.

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The landlord licensing program went citywide in 2026 following another deadly fire that killed three adults, a two-year-old toddler and an unborn baby in Brampton.


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