Finding somewhere to live in Toronto

The standard lease and what it fixes

Most residential tenancies in Ontario must use the government's standard lease form, which sets out the rules in plain language and cannot be overridden by clauses a landlord adds. Anything appended that contradicts the Residential Tenancies Act is unenforceable, whatever it says. A landlord who produces a different document, or refuses to use the form, is telling you something useful.

• The Residential Tenancies Act governs the tenancy; the Landlord and Tenant Board resolves disputes.
• Rent increases are capped annually for units first occupied on or before 15 November 2018.
• Units first occupied after that date are exempt from the cap — ask directly, in writing.
• Notice to end a tenancy uses numbered forms (N4, N12 and so on); a letter is not a notice.

What a landlord may and may not collect

A landlord may take first and last month's rent, and a key deposit limited to the actual replacement cost of the keys. Damage deposits, pet deposits and security deposits beyond that are not permitted in Ontario. Post-dated cheques and pre-authorised payment cannot lawfully be required either, though many landlords ask and most tenants agree.

• First and last month's rent: permitted.
• A damage deposit or a security deposit on top: not permitted.
• Key deposit: limited to replacement cost, and refundable.
• A landlord cannot require rent in advance beyond last month's — even if you offer it.

The application, and the credit problem

The standard rental application asks for employment and income details, references and consent to a credit check, and the credit check is where a newcomer fails. With no Canadian file, the workarounds are a guarantor with Canadian credit, a strong employment letter with salary and start date, proof of savings, or a landlord willing to look at a foreign credit report. Many people offer extra months up front; it works in practice, though a landlord cannot demand it.

• Bring: employment letter, recent pay stubs, bank statements, photo ID, references, credit consent.
• Equifax and TransUnion hold Canadian credit files; yours will be empty on arrival.
• Start a secured credit card in your first month so the file is not empty next year.

Where to look, and who pays the agent

A large share of Toronto rentals — particularly condominiums — is listed on the MLS and handled by real estate agents, and the landlord pays the commission. That means using an agent generally costs the tenant nothing, which is a real difference from New York. Purpose-built rental buildings advertise directly, and Facebook groups and classified sites carry both the cheapest listings and almost all of the fraud.

In order

1. 1Apply for a SIN on arrival — it comes before almost everything else.
2. 2Open a bank account and start a secured credit card immediately.
3. 3Assemble the package: employment letter, pay stubs, bank statements, ID, references.
4. 4Line up a guarantor with Canadian credit if you can.
5. 5Ask whether the unit was first occupied before or after 15 November 2018.
6. 6Insist on the Ontario standard lease and read the added clauses against the Act.
7. 7Pay first and last month only; refuse a damage deposit.
8. 8Set up hydro and tenant insurance before the move-in date.