Rental Property Investing

69% of Canadians think owning a rental property is a "savvy investment" according to the Star.  Based on all the interest we're seeing in new rental mortgages, we're not surprised.

But it's not all peaches and cream, especially in Ontario.

Real Estate lawyer Joe Hoffer says Ontario's Residential Tenancies Act entails the strictest landlord regulations "probably in North America."  The Act, which governs Ontario's 1.35 million rental units, affords tenants several pages of rights.

As a result, the Star has these suggestions for any aspiring landlords:

• Know your tenant's rights, and know what you can't do as a landlord
• Ensure vendors provide full disclosure of compliance with building and fire codes
• Check with the Landlord and Tenant Board to ensure there's no disputes on the property you're buying
• Use a lawyer that's done several multi-unit property closings and can advise on rental pitfalls

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Some additional resources for prospective landlords...

• FRPO: Resources for property owners/managers with "free" legal advice for members
• Rent Check: For checking tenants' credit reports
• Landlord's Self-Help Centre: A non-profit serving Ontario landlords

Comments

[J.P.]

I wonder if this landlord would be compliant with Ontario's Residential Tenancies Act.

http://www.funnyordie.com/videos/74

(Editors Note: We try not to be a stick in the mud and censor comments but we will provide this friendly warning. The above post is from a reader and contains material that may be offensive. If you find profanity distrubing [and some do] please do not click on this link. Thank you.)

[NeverStopBuying.com]

Whew, for a moment I thought you meant 69% of Canadians OWN rental property, that would mean I am "normal" by owning them

It goes both ways, we have been lucky to have great tenants/family, while my friend was relieved that her 4-month student tenant will be gone in a week

[Canadian Mortgage]

NSB, You hit it on the head. It often pays to do more due dilligence on a tenant than you might think is necessary. Bad tenants not only stress you out, but can wipe out a whole year's return on investment if there's a rental dispute.