Tenancy Essentials: What Tenants Need To Know Before Moving In

Can a landlord charge a tenant a deposit or a fee for allowing them to rent a unit?

A landlord may ask for a rent deposit prior to the tenant entering the tenancy agreement.  However, the rent deposit cannot exceed a month’s worth of rent/ the rental period (whichever one is less).  For instance, if the rent is to be paid bi-weekly, you cannot ask for a month’s worth of rent.  The deposit is to be used as last month’s rent prior to the termination of the tenancy; thus a landlord may not use the money to pay for damages or other expenses.

Information a landlord must provide their tenant(s).

Landlords must provide all new tenants with the following:

1. Information regarding
a. The rights and responsibilities of landlords and tenants
b. The role of the Board
c. How to contact the Board

2. Brochure called Information for New Tenants that landlords must use which is to be provided to the tenant before the tenancy commences (when the tenant is entitled to move in).

For written tenancy agreements:

1.The landlord’s legal name and address must be included in the lease

2.Once the tenant has signed the lease and returned it to the landlord, the landlord has 21 days to sign the lease/agreement and provide the tenant with a copy of the lease *thus both the tenants’ and the landlords’ signatures would now be on the lease*

What if there is no written tenancy agreement?

The landlord is still obligated to provide the tenant with the landlord’s legal name and address in writing, again within 21 days of the tenancy beginning.

What happens if the tenant is not provided with the above-noted documents?

If the tenant is not provided with a signed lease or if the landlord fails to provide the tenant with their legal name and address within 21 days the tenant DOES NOT have to pay rent.  Nevertheless, if the landlord does provide the tenant with the above-noted documents the tenant will be required to pay the pending rent.  Failure or refusal to pay the landlord for the missed payment can result in eviction for the tenant.

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Do You Have A Tenancy Agreement/Lease?

What should be included in a tenancy agreement/ lease?

When drafting a tenancy agreement/ lease there are some important factors to be kept in mind. This piece will highlight some of the key components and information that could be included in such an agreement.

First of all, it is in your best interest to have a written tenancy agreement rather than an oral agreement as written agreements allow the tribunal to objectively assess the terms of the agreement in case of a conflict.  The Landlord and Tenant Board does not provide the tenancy agreement or lease form.  Landlords may seek legal assistance prior to drafting a lease.  A written tenancy agreement usually includes:

1. Legal name of the landlord

2. Address of the landlord

3. Date tenant can move into rental unit

4. Rent amount

5. The date the rent is to be paid (ie. Specific date of the month/year)

6. Services included in the rent (ie. electricity/parking)

7. Any services that will result in separate charges

8. Rules that the landlord requires the tenant to follow

** The bolded terms must be included in the agreement to ensure that the tenant can contact the landlord regarding any issues or documents that are to be sent by the tenant to the landlord in accordance to the Residential Tenancies Act.  Non-bolded terms are optional and do not have to be included in the agreement however can be useful to include.

What information may a landlord ask an applicant/ potential tenant for?

• Income
• Credit references
• Rental history
• Current residence
• Employment history
• Personal references

Please keep in mind that the Ontario Human Rights Code has special rules about asking for information about the income of a prospective tenant(s).  Landlords must abide by these rules.

The Code is enforced by the Ontario Human Rights Commission.  For answers to any questions regarding the rules for requesting income information, contact the Commission by phone at 416-326-9511 or toll-free 1-800-387-9080.

 

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Points of Discussion:

1. Does your lease incorporate these points?
2. What factors would you add into your lease?