Renting For Canadians For Dummies Cheat Sheet

Whether you’re relocating to an apartment in a new city, a student searching for your first rental, or an experienced renter stepping up your game, you need a few tools to search for a new place to call home confidently. This Cheat Sheet covers a few critical steps for successfully finding a rental quickly.

Your upfront costs to move in to a rental

Sticker shock for moving into a rental is real, and you can avoid it by being prepared and knowing the numbers in advance. The following list outlines multiple costs you should be aware of and when they’re due.

• First month’s rent and one-month security deposit: Some rentals require these two payments to move in. While the security deposit is often due at the time of signing the lease, the first month’s rent is not due till you actually move in. For a $2,000 apartment, this adds up to $4,000.
• Pet deposit: Some buildings charge a deposit for your pet. This will vary, but expect to pay a half-month’s rent; in the case of a $2,000 rent, this works out to $1,000.
• Parking fee: Certain rentals may ask you to pay a monthly fee for parking. This is due with the first month’s rent, and with your monthly rent payments each month thereafter. A typical rate is $100.
• Amenity fees: If your building, or the condo building you’re renting in, has special amenities that require a monthly fee and you know you want to use them – say, a storage locker or workshop – be prepared to shell out funds for these when you initially move in. Costs will vary.
• Move-in fee: If your building charges a move-in fee, this will be due with your first month’s rent; it typically ranges from $100 to $200.

Standard documents for your rental application

Although the documents you need for your rental application may vary, some are standard requirements. Providing all the requested documents can help improve your chances of having your application approved. Here’s a list of the most commonly required documents for rental approval.

• Rental application form: No surprise here: Supporting documentation doesn’t do you any good if you don’t submit the actual application paperwork! The application typically requests your full name, current address, previous address, reason for moving, date of birth, Social Insurance Number, salary, and employer name. It may also ask for your consent to request a credit report.
• Pay stubs: The landlord uses your pay stubs to verify your income can meet the rental payment obligations. Your pay stub will also display your year-to-date income, which should match the salary you’ve already stated. This verification is a standard procedure in the rental application process to determine your financial stability and ability to make on-time payments.
• Employment verification letter or offer letter: Some landlords require you to provide a letter of employment confirming your salary and hire date. If you’re applying for a rental and haven’t started your employment, you need to submit a letter indicating the job offer.
• Bank statement: Most landlords require you to submit your current bank statement. They confirm direct deposits from your employer as part of the due diligence process.
• Investment statement: Sometimes a landlord asks you to send a copy of your most recent investment account statement to confirm your assets. If your regular income seems insufficient, showing additional assets may help you get approved.
• Tax return: Landlords use your previous year’s tax return (or Notice of Assessment) to verify your previous income. In some situations, the landlord asks for two years of tax returns to confirm consistent and reliable income.
• Landlord reference letter: A landlord reference letter is required for most rental applications, especially if you’re moving from another rental. If this application is for your first rental, a letter from a professor, employer, or colleague who can verify your trustworthiness should be sufficient.
• Photo ID: Any rental you apply for will require identification. Acceptable forms of identification include a valid driver’s licence, government-issued photo ID, Social Insurance card or birth certificate.
• Social Insurance Number (SIN): The landlord uses your SIN to request your credit report. You’ve likely provided this info as part of your application form.
• Personal reference letter: Occasionally, landlords may request a personal reference letter to assess your suitability as a tenant. Lining someone up to provide a reference just in case is always a good idea.

A few important items in your rental’s lease

As a new renter, you may feel overwhelmed by some of the language and the terms in your lease agreement. Before you sign on the dotted line, you should clearly understand the terms and your responsibilities. This list covers some of the most important items.

• Rent payment: Most leases will include
  • A due date for the rent.
  • The amount of rent due for each month.
  • Any late fees.
  • The different methods the rent can be paid.
  If the lease does not indicate these details, the landlord will include that language in a separate document.
• Lease terms: As the tenant, you must understand the terms and conditions of your lease before signing it. If you don’t understand something, get clarification before signing. Remember: When you sign the lease agreement, you’re legally bound to its terms, so make sure you understand what you’re signing before the lease is fully executed.
• Length of your lease: The length of your lease agreement is the time between the start and end date (including those two dates, obviously). During this period, both you and the landlord are bound to the terms and conditions.
• Utilities: Verifying which utilities are included in the rent before signing your lease is a good practice. Some rentals include some or all utilities, and some don’t. You don’t want any surprises or additional expenses, so make sure that you know what your utility obligations are before moving in. You also want to be able to arrange for connections to any utilities that are your responsibility.
• Security deposit: The security deposit is what you pay to ensure the rental is returned in the same or similar condition that you moved into, minus standard wear and tear. Standard wear and tear can include lightly scratched floors and worn carpet, faded paint, and small nail holes from hanging pictures. In other words, the property should have working appliances, including smoke detectors; doors on hinges; floors free of holes; operating windows; and no major debris like furniture you don’t want. Additionally, you should leave it in broom-swept condition. After you move, the security deposit is typically returned within 15–60 days, in accordiance with provincial regulations.
• Occupants: Your lease should include all occupants expected to live at the property. It should also discuss what’s permissible regarding guests and the length of their stays. Resepect these terms; if you move someone in without prior notice, you may violate the lease and both of you could be evicted.
• Alterations: Your lease should explicitly state that alterations require approval in advance. This means that before you make any changes or upgrades to the unit, you need to get permission from the owner or property manager.
• Pets: Most properties require pet approval. Your lease will specify whether (and sometimes which) pets are allowed. You are accountable for following these guidelines.
• Tenant insurance: Many rentals require you to have insurance before moving in, and your lease will indicate whether your place is one of them. Speak to the property owner or property manager about tenant insurance.

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