Pitfalls to avoid when renting an apartment

Discover our advice and the pitfalls to avoid when renting an apartment, whether you're a tenant or an owner, in our article. 

Renting a property can be complicated, whether you’re an owner or a tenant.

For a landlord, it’s all about finding a serious tenant who will pay the rent on time and leave the property in good condition.

For a tenant, it’s all about finding the best value for money. What’s more, Montreal has a very low vacancy rate, around 2.7% in the latest surveys, so you need to be quick and reactive in your search. Some landlords take advantage of this situation by imposing illegal clauses on tenants.

Here are the pitfalls to avoid.

I’m a tenant.

Renting a home gives you greater flexibility in choosing where to live. Firstly, it’s a short-term commitment with fewer maintenance responsibilities. 

Secondly, it’s a more affordable housing option that saves you money, because the monthly costs are lower.

The Canada Mortgage and Housing Corporation (CMHC), for example, advises you to allocate less than 30% of your pre-tax income to housing costs.

Research

Once you’ve set yourself a maximum rent and defined where you want to live, you can start your search.

You will find housing advertisements in various media:

– Internet ad sites such as Kijiji or Facebook
– Local newspapers in the area you are looking for
– Classified ads for free publications often found in local stores
– Friends, family and acquaintances
– Real estate agencies
– For rent” signs in your area of interest

Visits

The most important thing to remember when visiting a property is to check a few things so you can choose the apartment that’s right for you.

• What services are included in the rent? (heating, electricity, water, internet…)
• What type of heating is used (natural gas, oil, electricity)? Some energy sources are more expensive than others.
• Is the property served by public transport?
• Is there a parking lot? How much does it cost? Where can other vehicles park?
•  Are there any additional charges, such as for parking or laundry?
• What is the reason for the departure of the current tenants?
• If pets are allowed, which ones? Is smoking allowed?

What can you expect?

First of all, the visit allows you to decide whether the property is right for you. What’s more, it also allows the owner to choose the tenant he or she feels is the most reliable.

That’s why the owner has the right to ask you for several items of information.

– your income and where you work
– how many people will be living in the home, and whether there will be pets
– if there is a smoker among the people who will occupy the home
– written authorization for a credit check
– previous owner’s references

Please note that a landlord cannot refuse to rent to people with children. In addition, it does not have the right to request information that contravenes the human rights set out in provincial legislation. Apart from that, he cannot ask whether the tenant plans to have children or other children. Nor should ethnic origin, religion, sexual orientation or marital status influence the choice of tenant. Finally, the landlord cannot ask you for your social insurance number.

Signing the lease

There are two types of lease in Quebec: a written lease and a verbal lease.

A written contract that clearly sets out all the clauses of the lease is preferable. It will mention, for example, the rent, the duration of the lease, the responsibilities of the parties, what is included and excluded, and the conditions for terminating the lease. Safety for you!

For more details on what should appear on a lease, please consult this link. 

Please note that when you sign the lease, the landlord may ask you to pay the first month’s rent in advance. On the other hand, he can’t ask you to pay more or make a security deposit. It’s illegal in Quebec!

Payment of rent

This can be done in a number of ways: by cheque, in cash or by bank transfer. For cash payments, remember to ask for written proof of payment. It’s a guarantee of safety for you.

Rent must be paid on the day specified in the lease. If payment is received one day later, it is considered late.

Lease renewal and rent increase

As a general rule, leases in Quebec run from July 01 to June 30, for a period of one year. They are automatically renewed under the same conditions. In the event of a rent increase, your landlord must send you the notice between 3 and 6 months before the end of the lease, i.e. between January 1 and March 31.

Home repossession

Occasionally, your landlord may wish to repossess your home. In this case, certain conditions apply.

First of all, he can repossess the home:

• if he wants to stay there himself
• to accommodate a close family member (parents or children)
• to house any other relative for whom he or she is the main breadwinner (material or moral) or a former spouse for whom he or she remains the main breadwinner (material or moral) after their legal separation (by judgment), divorce or dissolution of their civil union.

The landlord must then send a notice to the tenant 6 months before the end of the lease for it to be valid.

I’m an owner

A landlord may find it difficult to find a serious tenant who will keep the property in good condition.

Every year, CORPIQ (Corporation des propriétaires immobiliers du Québec) reports a growing number of scams involving non-paying tenants.

They often have the same way of doing things, appearing serious and well-dressed. However, they use false names and identification. Once the lease is signed, they never pay the rent.

How do you detect these fraudsters?

First of all, you need to verify the person’s identity by asking for their date of birth, their name… and, above all, meet them in person. You can also use social networks. These are often good indicators.

Secondly, it is preferable to have the applicant fill out a rental application form to proceed with the pre-investigation, with the applicant’s signed consent (form available free of charge on the CORPIQ website).

Then, don’t hesitate to ask for a credit check. This lets you know whether the candidate is a good payer.

In addition, take the time to validate all references, whether employment, income or previous owners.

Finally, you can also investigate further by checking whether the applicant has a criminal record or a court judgment from the Régie du logement.

Source: CMHC