ANSWERING MOST COMMON RENTAL QUESTIONS

Renting a house or apartment is often a stepping stone towards home ownership. Just like when buying a home, finding a place to rent requires time, effort, and expertise. It demands thorough research to know where to look and what to consider in the lease agreement. Rent negotiation may also be a consideration, along with the need to protect oneself from rental scams. This ultimate guide to renting provides answers to these and many more frequently asked questions about renting in Ontario.

  • WHY USE A REALTOR® WHEN RENTING?
  • It’s free, offers professional guidance, expert advice, and continuous support throughout the rental process. You’ll have a property expert by your side without incurring any costs. Any licensed agent can help find a rental that fits your needs and budget.
  • WHAT TO CONSIDER WHEN RENTING A PROPERTY?
  • When searching for a rental property, consider your preferences and prioritize location. If your preferred location is costly, explore alternative options like condos or apartments. Think about parking, public transit, shopping, and amenities based on your needs. Visiting the property in person allows you to assess its condition and surroundings. Ask about the landlord, payment methods, deposit requirements, and lease terms to avoid future complications.
  • HOW TO IDENTIFY RENTAL SCAMS OR OFFERS THAT SEEM TOO GOOD TO BE TRUE?
  • Working with a REALTOR® while searching for a rental can protect you from scams. Still, knowing how to spot one yourself is essential. Keep an eye out for unusually low prices that seem too good to be true. If you can’t view the property in person, request a FaceTime or video walk-through. Be cautious of listings with borrowed pictures and requests for payment without proper paperwork. To ensure a scam-free experience, use REALTOR.ca for legitimate MLS® System listings placed by licensed agents under provincial real estate regulations.
  • WHAT SHOULD YOU LOOK FOR IN A LEASE AGREEMENT?
  • Reading the lease agreement may seem like a hassle, but it’s crucial to understand what you are agreeing to. This contract will shape your living conditions for the next year or more, so being informed is essential. Apart from rent, the lease covers various terms like ending lease, subletting, pets, roommates, visitors, smoking, parking, and renovation policies. Always read and obtain written confirmation for any changes or questions. If discrepancies arise, the lease will prevail. If you are sharing with roommates, consider separate leasing agreements to hold each person accountable for their portion of the rent. While not always available, it is worth inquiring about it.
  • WHAT DOCUMENTS DO YOU NEED FOR A RENTAL APPLICATION?
  • Before submitting your rental application, it’s helpful to have certain documents ready to ensure a smooth process. These include a government-issued ID, an introductory letter about yourself and your interest in the property, a credit check, a letter of employment, and a referral letter from your previous landlord (if available). Some places may require application fees, but make sure to inquire about what the fee covers and if it’s refundable in case you don’t secure the unit.
  • CAN YOU NEGOTIATE RENT?
  • Is rent negotiation possible? While negotiation is a part of life, it might not always lead to massive discounts in the rental market. Rental prices are often determined by market demand. In high-demand areas, the price might be fixed, but in slower markets, landlords might be open to some negotiation. Be realistic, though; significant reductions are unlikely, but $50 to $100 off might be possible, depending on the unit and availability. If the rate isn’t flexible, consider asking about inclusions, lease dates, or early move-ins. Working with a REALTOR® is helpful for skilled negotiation based on property factors, market conditions, and your budget.
  • DOES YOUR CREDIT SCORE AFFECT RENTING?
  • Maintaining good credit is always wise, not just for buying cars or homes, but also for certain rental situations. While some landlords may want to check your credit to ensure you’ll pay rent on time, it’s not a requirement for everyone. Why does your credit score matter? If you have a few missed payments on non-rent-related items but a flawless rental history, it shows your rent is a priority. However, if you have multiple collections, including one from another rental agency, landlords may take a closer look. But don’t assume you need excellent credit to rent from a company versus a private landlord. Remember that landlords can request personal information for a credit check, but they must comply with the Personal Information Protection and Electronic Documents Act (PIPEDA) and cannot share your data with a credit reporting agency without your consent.
  • DO YOU NEED TENANT INSURANCE?
  • t’s not just a suggestion, it’s often a requirement from landlords. Typical tenant insurance includes coverage for accidental damages, injuries to visitors, personal belongings like electronics and furniture, and additional living expenses if you can’t stay in your home. If you have car insurance, you can probably bundle it for a better rate. Just know your coverage and keep a copy of your policy handy in case you need it fast.

You have the freedom to decide how and where you want to rent. Whether you prefer a townhome in a quiet suburb or an apartment in the bustling downtown area, your choices should be driven by what suits your lifestyle best. To ensure you’re protected and getting good deals, it’s a good idea to work with a REALTOR®. Enjoy the journey!