If you’re looking into becoming a landlord, you may need some help with how to get started. There’s a lot to do in property management and a lot of laws you need to know about, things can get confusing.
For instance, when you search for tenants, is it okay to exclude those with children? Can you evict a tenant for not paying their rent? Each province or territory has different laws, so you need to be on top of your game. Getting informed can make all the difference in the case of emergency; you’ll know how to handle it.
While others say that property management is absolutely amenable and doable by anybody, there are things that should not be taken lightly.
In this blog series, I am going to deep dive into several key points that cannot be taken for granted. In this chapter, I will discuss relevant laws that should not be ignored.
While it’s true that there are some similarities between territories and provinces, there are still some discrepancies for which you should watch out. You wouldn’t want to infringe on the law and lose your ability to rent.
For example, you can collect a security deposit in most places, but you can’t in Ontario or Quebec. In Ontario, it is legal to collect a rent deposit, but you can’t use that money to cover any repairs to the rental property.
In Quebec, you can’t ask for any sort of deposit at all and in Alberta, unless agreed upon in writing, interest on the security deposit is paid annually.
Another example of a change in legislation between territories/provinces is that, in most places, a breach of a lease over an issue that was not directly addressed in the provincial/territorial legislation, such as owning a pet if the lease expressly states no pets, is not grounds for eviction. However, in some, this breach could result in the eviction of your tenant.
In addition to legislation changing between territories and provinces, it also regularly changes with time. You can stay up to date with the laws by researching or getting books, booklets or guides that are available locally and published for new landlords, but be sure that the publications you receive are up-to-date. The Provincial and Territorial fact sheets gives you a bunch of helpful information.
If researching on your own is not in your plate then you’ve got another option. Seek legal advice from lawyers who specializes in tenancy and nothing else. Here are a few law firms that you may check out:
Investing in consultations would be helpful for your property management business because it helps prevent unexpected errors along the way and helps you become prepared to usual conflicts between landlords and tenants.
Remembering the first quick tips you’d need to keep in mind:
Privacy laws can affect the way that you collect and keep information on prospective tenants. You should make sure you are fully versed and up to date in these laws so you don’t get yourself in trouble.
The website on which you can find more information from the Privacy Commissioner is www.priv.gc.ca/index_e.asp.
You need to be sure the building you are trying to rent out complies with local bylaws as well. Bylaws cover guidelines and standards for fire and building safety as well as zoning and permit issues.
Lastly, it’s also important for you to keep thorough records and receipts for all financial transactions. You also need to do an initial inspection before your tenant moves in so that they can’t claim something was previously damaged to try to get out of the charges for repairs. In some areas, this is even required by law.
Before entering the property management industry you’ve got to check on the most important things first before moving on to other documents and measures.
The first three things you need to look at first are the following:
- Tenancy Legislation of your property’s area
- The Privacy Law
- Relevant Bylaws which are applicable to properties in buildings.
Neglecting any of these can put your property management business in jeopardy. Without proper knowledge and venturing on your own can make you blinded. Without legal support, you might end up being taken advantage of tenants. Do you think property management is for you? Or not? If you are unsure, take the test below.
A property management company most especially in Vancouver, like Bolld Real Estate Management, will cover all these items for you. Complete management from A to Z is what property management firms cover for properties. Many have chosen Bolld Real Estate Management after getting a quote. See if property management is for you. You may also book a strategy call with a
In the next chapter, we’ll get into the nitty-gritty of marketing your rental unit so you can find your ideal tenants. Get notified first by signing up for our newsletter.