Finding and Vetting a Good Tenant for Your Rental: A Comprehensive Guide

October 27, 2023

A successful landlord-tenant relationship begins with finding the right tenant. As a landlord, the future of your rental property significantly hinges on this crucial choice. It’s not merely about filling the vacancy; it’s about ensuring a consistent rental income, minimizing potential property damage, and reducing chances of conflicts or legal hassles. Let’s dive into a detailed approach on how to effectively find and vet prospective tenants.

Advertise Effectively

Start by ensuring your property is well-advertised. Use high-quality photos and descriptions that accurately represent your property. Platforms like Kijiji, Craigslist, Facebook Marketplace, Rentals.ca, RentCafé, and local property management websites are good starting points.

Application Process

Design a comprehensive rental application form. Ensure it asks for:

  • Full Name

  • Previous addresses (last 3-5 years)

  • Employment history and current job details

  • References (preferably from past landlords)

  • Permission to perform credit and background checks

Face-to-Face Meeting or Virtual Interview

Before proceeding with background checks, meet the potential tenant in person or have a virtual interview. This gives you a chance to gauge their character, ask questions, and address any potential concerns.

Credit Check

A credit check provides a snapshot of an applicant’s financial responsibility. It will give you insight into their financial habits, outstanding debts, and payment histories. Services like Equifax and TransUnion can assist with these checks in Canada. A good credit score generally indicates that the tenant is financially responsible, though remember to consider the whole picture, as sometimes life situations can impact this score.

Background Check

This check provides broader information, including criminal history. While a negative mark doesn’t necessarily mean you should reject the applicant outright, it gives a more comprehensive view of their history.

Dive Deep with CanLII and Openroom

Both CanLII and Openroom are valuable resources that provide decisions from the Landlord Tenant Board. By searching an applicant’s name:

  • CanLII: This is a free legal database that includes rulings from the Landlord Tenant Board. If your potential tenant has had disputes that ended up in front of the Board, you can review the nature of these conflicts and their outcomes.

  • Openroom: Similar to CanLII, Openroom focuses explicitly on Landlord and Tenant Board decisions. It’s a more niche platform, providing insights into previous disputes involving prospective tenants.

Utilizing these platforms will give you a clearer picture of any potential red flags, especially related to past landlord conflicts or consistent rental issues.

Check References

Always call the references provided, especially the former landlords. They can offer insights into the tenant’s behavior, payment habits, and any potential issues they faced.

Trust Your Instincts

While the data-driven approach is crucial, your intuition as a landlord, built over time and experience, is invaluable. If something feels off or too good to be true, dig a bit deeper.

Lease Agreement

Once you’ve found a suitable tenant, ensure you have a comprehensive lease agreement that outlines all terms and conditions. This will protect both parties in case of any future disputes.

Finding the right tenant is both an art and a science. While online platforms and background checks provide valuable data, the importance of personal instincts, honed over time, can’t be underestimated. By following the steps above and ensuring thorough vetting, you can cultivate a mutually beneficial and hassle-free landlord-tenant relationship.

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