Recently moved to Canada and searching for an ideal home to rent? First off, welcome! We’re happy to help you here at Medallion Capital Group, so don’t hesitate to call or email us. If you’re looking for rental tips for newcomers in Canada, you’ve come to the right place.
Should you be planning on renting as soon as you move, here’s what you need to know.
When renting in Canada, you will normally be asked to fill out a rental application and submit documentation before the landlord will rent to you. To increase your chances of obtaining the unit you prefer, it’s important to have these documents ready in advance:
If you haven’t obtained employment yet, there’s an extra required step. You will need to prove you can pay for the rental property over the term of the lease. If you have investments or cash in your bank account, you can find out if the landlord will accept these as proof of available funds.
It can be difficult to find a suitable living arrangement in certain cities across Canada. Where there is high demand and limited supply, it’s not uncommon to see many renters competing for the same rental unit. And when you’re new to the country with limited credit and few references for the landlords to see your creditworthiness and trustworthiness, it can be very difficult to compete with other renters. That’s why it makes the most sense to go through a property management company.
A company like ours will help you qualify for a rental property in advance, afterwards showing you the units that will suit your needs and budget. It makes the entire rental hunting experience a lot easier as you only need to fill out one application! After you’re approved, you can start looking through their inventory for a unit that you like.
Property management companies are also held to higher standards and must follow certain laws. Their buildings need to be in good condition and their staff need to be responsive to tenant requests. Otherwise, their reputation will be on the line, so they can’t afford to take risks.
Most rentals here in Canada come unfurnished and require that the tenant pay for a majority of the utilities, including internet. So don’t forget to read the lease before signing. You should also check if the lease document is legal.
How does someone verify legality? Well, each province in Canada has a standard lease document that the landlord must use and cannot alter. There are also certain rights that are standard across Canada. Make sure you understand your rights and review the lease carefully so you won’t be taken advantage of.
You’ll also want to purchase renter’s insurance that will cover you for any damages, theft, property loss and any injuries that occur in your rental unit. If a landlord has their own insurance, it won’t cover your personal property brought inside. Think of their insurance as for the “shell” or outside of the building as well as any essential features like ventilation, plumbing, and windows. If you are sharing a space with another you don’t know very well, your personal renter’s insurance policy will also cover any stolen belongings.
Alternatively, if you’re planning to purchase a home in the next year or so, it’s important that you keep a record of your rental payments. Majority of the lenders will allow you to use a “New to Canada” program if you have held a full-time job for at least three months. As part of this program, they will require that you provide a rental payment history, confirmed via a letter from the landlord and related bank statements.
Canada is often perceived to be a more relaxed country, but when it comes to collecting rent, landlords expect you to pay on time. If you miss a payment, you will be in breach of your rental contract and the landlord can take action against you. If you are having issues with the payments, speak to the landlord immediately. They may be more understanding or even willing to help if you’re having a tough time.
Looking for a property manager you can trust? Our team at Medallion Capital Group would love to hear from you! We’re proud to be responsible for a wide array of residential unit types and apartment buildings across the GTA. Our accredited managers maintain properties to the highest standards, perform tenant screening and selection, offer multiple payment options for rent collection, and have a 24/7 emergency phone line. Whether you need us for finding an ideal new home, repairs, or maintenance, we ensure our tenants are well taken care of. Get in touch with us today for more details or for assistance!